New QM Rules Going To Put Home Loans Out of Reach For Some Buyers Come January

Dennis Norman - St Louis RealtorJanuary 10, 2014 new QM rules (qualified mortgage) will go into effect and will most likely negatively impact the ability of some home buyers to obtain a mortgage.  In terms of how many borrowers the new rules will affect, it is hard to say.  There have been several analysis’ done of the percentage of home loans originated in 2012 would not have met the QM rules and the estimates vary from 12 percent to more than half.  Personally, I think the lower estimates are probably closer to accurate, but it is still a significant number…potentially somewhere around 1 of every 9 home buyers may not be able to obtain a mortgage that, absent the new QM rules, would have been able to.

UPDATE 12/06/13 – Read/download the CFPB Compliance Guide for new QM rule

Watch CFPB Video on QM Rule Here 

What are the QM Rules and who do they affect? Continue reading “New QM Rules Going To Put Home Loans Out of Reach For Some Buyers Come January