Lenders Tighten Their Belts And Sub-prime Borrowers Feel the Squeeze

By Greg On March 22, 2007 Under Mortgage

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I found this recent news item and thought the readers of this blog would find it interesting…

As many as 31 sub-prime lenders have ceased lending operations since December 2006. Many of the remaining sub-prime lenders are taking defensive measures to make sure they’re not next. As a result, new homeowners have limited options available to them to get our of their adjustable rate mortgages.

(PRWEB) March 21, 2007 — In order to stop, or at least slow down the rate of future loans defaulting, many sub-prime lenders have changed their lending guidelines. By raising credit score requirements and being tougher on appraised values, they intend to prevent the riskier loans from getting through their underwriting process.

…read the entire press release

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