Comments on: Bank of America says “No more garbage loans!”

By: Morgan Brown

Morgan Brown — Tue, 28 Aug 2007 23:03:18 +0000

Thanks Chuck and Shawn – I also received email confirmation that their CLTV’s for the broker-side seconds will max out at 89.99% LTV starting September 4th.

By: Shawn Weeks

Shawn Weeks — Tue, 28 Aug 2007 18:54:55 +0000

It is my understanding that Bank of America is suspending their Alt-A, while Wells Fargo is limiting it to 90%. However, they still have plenty of conventional 100% programs.

If Nir posts anything, consider the source. He has not been correct on a single thing he has posted.

My advice: Know your base programs and stick with proven winners, Bank of America, ABN AMRO (now part of Citibank), Vertice (prime lending division of Wachovia). AND market your tails off now!!!!

By: ChuckS

ChuckS — Tue, 28 Aug 2007 16:33:36 +0000

I have confirmed through a BofA wholesale AE that they have suspended the Expanded criteria programs through the wholesale channel. Why the guidelines do not mention it, I do not know. Sorry for the confusion.

By: Michelle

Michelle — Tue, 28 Aug 2007 02:12:29 +0000

Not to fear, the beloved Agencies still offer 2-100% LTV loans (My Community and Flex 100), these are offered on Purchase and Rate/Term transactions.

It sounds pretty risky that Wells Fargo would allow a Seller aka. private party to carry back a 2nd of 20% and not a lending institution (although these have become a rare find these days).

By: Morgan Brown

Morgan Brown — Tue, 28 Aug 2007 01:59:45 +0000

So my comments about Wells were correct. Thanks Chuck for your insight from the account side. — Morgan

By: ChuckS

ChuckS — Mon, 27 Aug 2007 23:58:50 +0000

Nir’s comment is inaccurate as well. Wells Fargo is not bringing back 100% stated. Today was the last day you could lock a 100% full doc loan through Wells Fargo Wholesale. Bank of America continues to offer stated income programs. Oh Nir, invest in “spell check”.

By: ChuckS

ChuckS — Mon, 27 Aug 2007 21:43:52 +0000

Morgan, My wife’s a wholesale rep for Wells Fargo. I’ll clarify if Nir’s comments are accurate.

By: ChuckS

ChuckS — Mon, 27 Aug 2007 21:40:51 +0000

MortgageSound, What area do you cover? I continue to monitor BofA’s wholesale channel and nothing has changed regarding your comments. Have you spoken directly with a wholesale rep?

By: Morgan Brown

Morgan Brown — Mon, 27 Aug 2007 21:40:34 +0000

ChuckS – any update from your end?

Thanks MortgageSound.

By: MortgageSound

MortgageSound — Mon, 27 Aug 2007 21:25:19 +0000

“Jumbo SISA Products have been suspended”

“Expanded Criteria Products
(including SIVA, NINA, No Ratio and 80/20)
have been suspended”

Nice bold headline on every wholesae ratesheet I have seen so far today from Bank of America.