In the mortgage industry, lenders are exploring ways to create better spanning processes that reduces the chance of bad loan delivery that has consequences for the lender and the borrower. In a recent statement, Thompson announced that they are considering initiatives to test ways to increase the approval of loans with defects.
This suggests that lenders are looking to reduce the amount of rejects due to loan defects. While the details are still in development, this initiative has great potential to benefit the lender and the borrower through improved lending processes. Essentially, lenders could reduce the risk of poor-quality loans and increase the potential for long-term success for both parties.
Most Important Elements:
• Lenders exploring ways to reduce rejections due to loan defects
• Thompson announced considering initiatives to test ways to increase loan approvals with defects
• Lenders looking to reduce risk of poor-quality loans and increase potential for long-term success
• Details still in development
• Initiative has great potential to benefit lender and borrower
You can read this full article at: https://www.housingwire.com/articles/fhfa-says-gses-are-open-to-alternatives-to-loan-repurchases/(subscription required)
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