Could a new waiver mean that appraisals are no longer needed on purchase transactions? Check it out to hear more!
I’m Brian Manning and here’s your weekly update!
Guys, I‘ve been excited to this video all week because there’s so much good stuff to talk about and I just knew it was gonna be a good one, so let’s get right to i!
First let’s talk about some lending news. So, on August 18th Fannie Mae announced that they’re gonna allow a property inspection waiver for purchase transactions and then this week. On August 22nd Freddie Mac announced the same thing, they will also allow for a property especially waiver. What does this mean? This means that during you purchase transaction we run the file through the automated system whether it’s desktop underwriter or loan prospector, there is a good chance that we would get an approval with a property inspection waiver which means that we don’t need an appraisal, which will certainly see a decline in time and money so that would be an ability to expedite the process and move up closing dates.
So, a couple of things — only works for purchases, at least in this release. There has always been availability for refinance but we’re not going into that now. It has to be a primary residence or second home. Has to have minimum downpayment 20%. I’m interested in to see how many transactions we get to work on in the future that don’t require an appraisal. Just really great exciting news.
Monday this week quiet news they not much talk about there.
Tuesday this week was the FHFA report. FHFA talks about homes across the USF conventional mortgages on them and what are they appreciating so FHFA reports that these homes have appreciated six point nine percent on the year of your basis great numbers solid and consistent Wednesday this week we got mortgage applications really just looking at purchases purchase mortgage applications right now or eight point seven percent again still in the face of higher rates almost a half a percent higher half a percent higher compared to last year and inventory being down so they re still seeing a strong purchase market.
Thursday we’ve got existing home sales. Existing home sells down a little bit down 1.3%, um probably due to a lack of inventory because on a national basis theres just low inventory. What is amazing as well is the DOM — 28 days so still a hot market.
Today’s big news is really going to be Janet Yellen and Mario Draghi. So lets start with Janet Yellen first. Through the Jackson Hole meeting press conference Janet Yellen really had very few comments on monetary policy. A lot of investors and all of us are waiting to see when they’re going to kind of float into this quantitative tightening or they’re gonna bail out of their bond buying program. You know most of our comments were really on substantial progress towards maximum employment and price stability and the rest of us features really spend defending financial reform so no indications there as far as when they’re gonna start bailing out of this.
Probably equally as important at 3 p.m. today we have Mario Draghi who is president of the ECB who has a tendency to go off the speech and talk on his own so he can certainly move markets around the world. Mario Draghi and Europe talking about their version of quantitative easing which they’re currently in right now in their bond buying program and everyone is wanting to wait and see are they going. To start bailing out of their bond buying program as well and stop investing as much money in bonds so very important news. Let’s watch the markets and see what happens is to have an impact on race as well.
l’m around all weekend. If you have any questions please give me a call I’d love to help you, Id love you part of your business and I ‘d love to pre-approve your borrowers!
Happy Friday! Have a great day!