Will new rules make it harder to get a mortgage?

The Toombs Team Real Estate Blog

Planning on buying a home next year? Be warned: A mortgage may be harder to get, at least in the early months of the year.

“You’ve heard all the stories about how difficult it is to get a mortgage and all the documentation required — there’s going to be a lot more of the same,” said Ron Haynie, senior vice president of the Independent and Community Bankers Association.

A slew of new mortgage regulations will take effect between Jan. 10 and Jan. 20 next year. The most noteworthy of these for borrowers is the ability-to-repay rule and the qualified mortgage, or QM, rule, which together establish new standards and practices for mortgages that lenders must follow.

While not every loan has to be a QM loan, lenders have a good reason to make them that way: QM loans, when done right, shields lenders from legal liability if loans sour, said…

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