what is MBS non-comforming loan ? Thanks.作者: JRossSter 时间: 2013-4-6 22:39
Generally it’s because the borrower of the note is of poor credit aka subprime, it’s a jumbo mortgage, or the mortgage is exotic. The GSEs do not purchase mortgages that fit one of the above criteria.作者: JRossSter 时间: 2013-4-6 22:40
In addition to the poor credit rating mentioned by Chuckrox8, other reasons why the loan may be non confirming are (a) it exceeds the maximum loan-to-value ratio and (b) that it doesn’t have the necessary mortgage insurance.
Check out page 358 in reading 57. Cheers
