Rising foreclosures and reduced liquidity, even in the aftermath of the Federal Reserve bailoutlast week, have tremendously changed the mortgage market.  Credit is becoming less available for those with preious credit issues and those with great credit are going to experience reduced mortgage program choices.

The good news is really dependent on what your financial mortgage plans are for the upcoming few years.  Most credit problems can be corrected with time and the current market has forced many to take this time to review and repair any issues that might keep them from obtaining a conventional FNMA, FHA or VA type mortgage.

Keep in mind, lenders are reducing risk associated with many loans and I see lenders leaning towards conventional FNMA type mortgage lending programs.  First time home buyers shouldn’t fret.  FNMA has some of the best first time home buyer financing which includes 100% financing.

The consumer credit crunch simply means home buyers will need to review their credit profiles with a mortgage professional prior to purchasing their new home.  It’s the mortgage professional who keeps on top of all of the market program changes and let me tell you it’s been very interesting especially in the last couple of weeks.

For more info on FNMA mortgage programs please call me or visit FNMA’s web site.

Stephen Thaggard 

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