I really don't understand this whole new phenomenom about REO listing agents (and now short sale & standard transaction agents) requiring a pre-approval from a "Direct Lender".  Maybe I'm just bitter because my client who was told by a "Direct Lender" that their financing was secure and all they had to do was find a property.  So I found them a property and then 20 days later the "Direct Lender" denies the client due to credit/employment/income factors (layered risk) that were present prior to the client being issued their pre-approval.  Maybe its because for the most part the loan reps I see at Direct Lenders at the banking institutions I go to (Bofa, Chase, Wells Fargo) are young, seemingly inexperienced and likely unlicensed.  Many loan reps working at

Did you know that the state of California is offering a $10,000 tax credit for homebuyers buying new construction?

Well time is running out on this great opportunity.

For more information go to CA Franchise Tax Board website at:

http://www.ftb.ca.gov/individuals/New_home_Credit.shtml

Update: as of July 3rd, 2009 the state has run out of funds for this program.  Sometimes when sales people are telling you that you'd have to "Act Now" its actually true....

If all borrowers are required to sign IRS 4506-T forms that allow underwriter to verify income documentation, why do lenders require income documentation?  Shouldn't they just be able to take a signed 4506-T form get the IRS transcript and verify the income coming directly from the IRS?  Wouldn't the world be easier for loan originators and processors too if they could just order a 4506-T verification direct from the IRS covering a 2 year time period, get the transcript and divide by 24 to get the borrowers monthly income?

Just thinking out loud into the blogosphere...

Click here to view an interesting article by the Baylor University school of Business:

New study on 3 factors that affect how consumers choose their agents...

Here is an interesting application of the job loss protection gurauntees the auto industry introduced being applied to the Real Estate Market

http://www.mortgagenewsdaily.com/channels/video/79154.aspx

Here is the website for the program the Real Estate Company is using as the insurance backstop for making this claim

http://www.helpprogram.org/index.htm

C.A.R. launches Mortgage Protection Program (Thursday, April 2, 2009)