Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

JPMorgan Chase to raise mortgage borrowing standards as economic outlook darkens
https://www.cnbc.com/2020/04/11/jpmorgan-chase-to-raise-mortgage-borrowing-standards-as-economic-outlook-darkens.html ^

Posted on 04/12/2020 6:42:48 AM PDT by BusterDog

From Tuesday, customers applying for a new mortgage will need a credit score of at least 700, and will be required to make a down payment equal to 20% of the home’s value.

(Excerpt) Read more at cnbc.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: banking; economy; housing; mortgage
Navigation: use the links below to view more comments.
first previous 1-2021-4041-53 next last
To: BusterDog

I was trying to get a 30x50 garage built on my property but needed a Heloc to do it. I got it two weeks ago. I was concerned that they would not give me one because of the virus lockdown so it was imperative to get the loan because, to be blunt, if everything does go to hell in a handbasket, that building would allow us to survive pretty much untouched.

And then the builder, who told us they wouldn’t be able to get to it until mid-late summer had time freed up and they were able to start construction last wednesday. The frame is done, the prep for the concrete is done. concrete is poured monday and the completion of the building will be sometime before Thursday.

And then we can build, repair, etc. for everything we may need to survive when the world around us collapses.

This announcement proves my concerns were justified.


21 posted on 04/12/2020 7:11:24 AM PDT by cuban leaf (The political war playing out in every country now: Globalists vs Nationalists)
[ Post Reply | Private Reply | To 1 | View Replies]

To: billyboy15

As long as they don’t get a dime of coronavirus funding then you are right. This bank has gotten government welfare too many times.


22 posted on 04/12/2020 7:14:44 AM PDT by napscoordinator (Trump/Hunter, jr for President/Vice President 2016)
[ Post Reply | Private Reply | To 4 | View Replies]

To: buckalfa

Problem is housing has gone up a lot. Boomers were able to get a single family home for 29,000 and today that same house is 400K. Totally crazy.


23 posted on 04/12/2020 7:18:50 AM PDT by napscoordinator (Trump/Hunter, jr for President/Vice President 2016)
[ Post Reply | Private Reply | To 17 | View Replies]

To: trebb

Lol. That was bush era. He destroyed housing and banking as well as economy.


24 posted on 04/12/2020 7:20:07 AM PDT by napscoordinator (Trump/Hunter, jr for President/Vice President 2016)
[ Post Reply | Private Reply | To 18 | View Replies]

To: BusterDog

That’s what the standard should have been all along.


25 posted on 04/12/2020 7:25:43 AM PDT by Lurkinanloomin (Natural Born Citizens Are Born Here of Citizen Parents_Know Islam, No Peace-No Islam, Know Peace)
[ Post Reply | Private Reply | To 1 | View Replies]

To: hercuroc

In 1979 my husband and I bought a house. FHA with 5% down. The 20% down thing is an urban legend.


26 posted on 04/12/2020 7:37:28 AM PDT by Georgia Girl 2 (The only purpose of a pistol is to fight your way back to the rifle you should never have dropped)
[ Post Reply | Private Reply | To 11 | View Replies]

To: BusterDog

Can you spell “disparate impact?” Thought so. The lawyers will be stampeding to be first in line tomorrow morning. Time to get ruthless on social distancing and authorize use of lethal force.


27 posted on 04/12/2020 7:39:02 AM PDT by sphinx
[ Post Reply | Private Reply | To 1 | View Replies]

To: napscoordinator

.gov has to inflate asset prices to cover for the wages losses over the years.


28 posted on 04/12/2020 7:43:21 AM PDT by Theoria (I should never have surrendered. I should have fought until I was the last man alive)
[ Post Reply | Private Reply | To 23 | View Replies]

To: BusterDog

There goes the housing market.


29 posted on 04/12/2020 7:43:43 AM PDT by xenia ("In times of universal deceit, telling the truth becomes a revolutionary act." George Orwell)
[ Post Reply | Private Reply | To 1 | View Replies]

To: PeteB570

FHA has a cap on loan limits which is about the average price point for a given market.


30 posted on 04/12/2020 7:46:24 AM PDT by Rebelbase
[ Post Reply | Private Reply | To 7 | View Replies]

To: BusterDog

as economic outlook darkens”

CNBC. Always have a doom story to run just before the markets open.


31 posted on 04/12/2020 7:50:19 AM PDT by gibsonguy
[ Post Reply | Private Reply | To 1 | View Replies]

To: BusterDog

as economic outlook darkens”

CNBC. Always have a doom story to run just before the markets open.


32 posted on 04/12/2020 7:50:30 AM PDT by gibsonguy
[ Post Reply | Private Reply | To 1 | View Replies]

To: Lonesome in Massachussets

Don’t think they will be able to continue tight mortgage restrictions if those requirements have a “disparate impact.”


33 posted on 04/12/2020 8:09:45 AM PDT by Sgt_Schultze (When your business model depends on slave labor, you're always going to need more slaves)
[ Post Reply | Private Reply | To 14 | View Replies]

To: BusterDog

Just an overlay from JPMChase to mitigate risk. Does not mean this is now a “standard” for everyone. All lenders have overlays, some more restrictive than others.
Do shop around when contemplating a mortgage or refi. Your local mortgage broker is an excellent place to start.


34 posted on 04/12/2020 8:13:02 AM PDT by SakoL61R
[ Post Reply | Private Reply | To 1 | View Replies]

To: napscoordinator; trebb
Not true. It started earlier than W. Have a look at this article from 2008. No surprise the loosening caused the crisis, and will again once the race-hustling crowd organizes.
35 posted on 04/12/2020 8:14:31 AM PDT by Sgt_Schultze (When your business model depends on slave labor, you're always going to need more slaves)
[ Post Reply | Private Reply | To 24 | View Replies]

To: BusterDog

Well, it’s pretty much all over for me now. I fully expect to be living in my car at some point in the near future.

/not kidding but lol, anyway


36 posted on 04/12/2020 8:16:45 AM PDT by Tired of Taxes
[ Post Reply | Private Reply | To 1 | View Replies]

To: BusterDog

Jamie Diamond and his bank are trying to make a recession happen. He just doesn’t want to be wrong about his prediction.


37 posted on 04/12/2020 8:23:20 AM PDT by McGavin999 (Queen Fancy Nancy Of North Poopistan)
[ Post Reply | Private Reply | To 1 | View Replies]

To: hercuroc

A SEASONAL illegal worker in California was able to buy a $650,000 house in Fresno, Calif.

It was repossessed 8 months later—only made ONE payment.

I am NOT kidding.


38 posted on 04/12/2020 8:24:59 AM PDT by ridesthemiles
[ Post Reply | Private Reply | To 11 | View Replies]

To: Georgia Girl 2; hercuroc

In all fairness to “hercuroc”, the comment indicated 30 years ago and in CA (which not surprised it could have different mortgage lending standards). GA Girl goes back 41 years ago with a 5% on an FHA, which has the backing of the federal govt, because it is to help people get into homes.

In DE 1987, I bought my 1st home w 10% down ... + PMI. I remember the application process - I came away feeling like a criminal after Mr Private Banker got done with me. DE is a big banking state so they like to run things. My house appreciated 20% in 3 years.

I moved to 2nd home in 1990 that was priced at 20% more than my 1st, and put 20% down - my mortgage payment was slightly higher, but no PMI. The 2nd mortgage application process (nor any since then) didn’t bother me. I learned in the intervening time that these rude bankers needed to write loans to make money and they weren’t about to let me walk away. In the late 1990s through the end of W’s term, mortgage lenders had a totally different attitude - they were very open about wanting my business - coming in w/ 20, 30% and more + a job was red carpet treatment - even in jumbo loan territory.

If many banks follow suit with requiring 20% minimum, the PMI underwriting business should suffer in the mortgage market and depend only on outstanding loans, praying no substantial increase in foreclsure.


39 posted on 04/12/2020 8:35:38 AM PDT by Susquehanna Patriot
[ Post Reply | Private Reply | To 26 | View Replies]

To: buckalfa

I don’t know that it is a “privilege” earned. The mortgage market was conservative in its lending standards for decades - it was financially prudent for both sides of the table. When the government pushed for relaxation and also came in to bail out the big money bankers (remember the RTC crisis?) then maybe just maybe there was a privilege - but that was extended to the big money - not to the financially prudent homeowner.


40 posted on 04/12/2020 8:40:31 AM PDT by Susquehanna Patriot
[ Post Reply | Private Reply | To 17 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-2021-4041-53 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson