Survey Says Home Mortgage Loans Are More Difficult to Get Approved

The Mortgage Loan Outlet remains steadfast in delivering homeowners the latest financing and housing news. Whether you are a first-time homebuyer purchasing your dream home, someone looking to make a housing move, or a person interested in refinancing the equity in their home to access cash for debt consolidation or to fund home improvement projects, we have various mortgage programs that can make that dream a reality!

Cash Out Mortgage Loans - Money can still be found in the traditional and government sponsored mortgages.

Mortgage loan Foreclosures Rise - The trouble with tighter lending and slumping home values is that it is usually a recipe for increased loan defaults and foreclosures.

Fixed Rate Mortgage Refinance
Borrowers get fixed interest rates for the life of the loan. Select either a traditional or government mortgage.
Terms offered : 15,20, 30, 40 and 50 Year Fixed

Adjustable Rate Refinance
These are adjustable interest loans vary according to the margin and index. Terms offered: 2/28, 3/1, 5/1, 7/1, 10/1
Available Index : LIBOR, MTA, COFI, CODI, COSI

Interest Only Mortgage
These are adjustable or fixed loans that allow you to make a payment that just covers the interest each month.
Terms offered : 2/28, 3/1, 5/1, 7/1, 10/1

2 of 3 People Say Mortgages and Equity Loans Are Tougher to Qualify for:

Amy McAlister wrote an article recently about the credit crunch is impacting not only applicant’s ability to qualify but also– at least for some–their mindset towards financial institutions, industry group and released Friday morning. According to a recent survey conducted by Deloitte LLP’s financial services, many borrowers have attempted to secure several types of credit and mortgage products over the past year, a majority found it to be more difficult. Of those who applied for a home mortgage, 67% found it more difficult; for a home equity line of credit, that number was 65%. FHA mortgage refinancing has increased and the number of sub-prime and prime loan defaults has gone off the charts.

"Given that more than 90% of those surveyed believe the U.S. economy is experiencing little or negative growth, it is not surprising that consumers are restricting spending and delaying large purchases," said Jim Reichbach, Deloitte’s financial services industry practice leader. "Quite simply, they do not want to extend themselves further. At the same time, banks have limited access to credit for some consumers, while more aggressively targeting the better credit-quality consumer."

Despite the negative headlines that mortgage companies have been enduring across the country, the survey found that 2 out 3 applicants held the same perception of their primary financial institution as they did before the crunch. For the 5% who actually said the see their relationship as more positive, they cited enhanced customer service and an increased number of mortgage products and incentives to choose from as top reasons. On the opposite side of the spectrum, 15% of survey respondents have come to view their banking relationship more negatively over the past year. For those who have changed banks 5% overall, the key reason specified was a rise in lending costs and loan fees. "As past surveys have shown, banks and mortgage companies have not done a adequate job at engendering customer loyalty and, given the events of the past year, need to re-establish consumer trust," said Adam Schneider, a principal with Deloitte Consulting LLP, who works with banks and other financial institutions. For more survey information, visit http://www.deliotte.com.