Real Estate News About Woodbridge, Mount Vernon, and Lorton Virginia: Sub-Prime Mortgages Are Back (But Don't Call Them Sub-Prime)

Sub-Prime Mortgages Are Back (But Don't Call Them Sub-Prime)

Remember sub-prime loans?  Loans that required a body with a pulse that could fog a mirror, no matter whether or not the borrower had a chance of making the payments.

Sub-prime loans (but don't call them sub-prime) are returning to the market.

Mountainview Mortgage Management Company (MMMC) is offering sub-prime loans under the banner of "non-prime" loans (catchy... don't ya think?).

If you have a 640 credit score, and it's been a year since your bankruptcy, you can get a non-prime loan, so long as you meet the generous debt-to-income ratios.

This time, these loans will not be packaged into mortgage backed securities and sold on Wall Street, as was done with sub-prime loans.  These sub-prime... er.. uh... I mean non-prime loans will be portfolio loans, meaning they will be held in the vault at MMMC.

Folks, don't get me wrong, I have nothing against borrowers who need a non-prime loan to buy a home.  It's been my experience that folks who buy homes with sub-prime and non-prime loans are responsible home owners who make their mortgage payments faithfully.

Back in the go-go days of 2003-2006, when houses were selling like crazy, mortgage rates were at 2.5%, and folks were getting all sorts of creative loans, even folks with 750 credit scores were going for some of the sub-prime programs because the initial interest rates were stupid-low.

Turning back to today.  MMMC works on a referral basis.  I can introduce you to a loan officer at MMMC who can get your application started for a loan.

You can get an application started for a non-prime loan with MMMC by texting or calling me at 703-677-1120.

You can also search for a home in Woodbridge to match with your loan at one of the most accurate websites for home searches when you CLICK HERE NOW.

You want to know more about selling your house in Woodbridge?  Text or call me and we'll have a conversation about your options.  You probably have more options than you know.  You may also email me using the email link on my website.

Erick BlackwelderCall or text Erick Blackwelder right now for help finding a home, or help selling your house.  

Don't worry... Erick doesn't bite, and you won't get a sales pitch.  Text or call Erick now at 703-677-1120 for a FREE consultation.

CLICK HERE NOW to search the Multiple Listing Service (MLS) for homes for sale in and around Woodbridge, Lorton, and Mount Vernon.

Exit Realty Associates
8998C Lorton Station Blvd
Lorton, VA  22079
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Comment balloon 1 commentErick Blackwelder • October 08 2014 11:34AM

Comments

Great post and insight into Sub- prime or non-prime loans.  I wonder how popular they are currently with the interests rates being higher than you mentioned and the stringency of loan qualification today?

Posted by Tanya Van Blake-Coleman, Improving the Quality of Your Life (Van Blake-Coleman Realty, St. Thomas/www.talk-to-Tanya.com) over 5 years ago

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