New Rules for Real Estate What You Need to Know
Changes to Mortgage Lending Requirements
The landscape of mortgage lending is constantly evolving. Recently, there’s been a tightening of lending criteria in some areas. Expect stricter income verification processes, potentially requiring more documentation to prove your earnings and employment stability. Lenders are also scrutinizing debt-to-income ratios (DTI) more carefully. A higher credit score might be needed to qualify for the same loan amount as before, or you might find yourself facing higher interest rates if your credit score isn’t stellar. This is largely a reaction to fluctuating economic conditions and the aim is to reduce risk for lenders.