Jeff Engum's (jengum) Blog

What is so evil about a 100% Loan? What we have learned in the whole sub prime debacle is the 100% loans are bad, evil and scary. The borrower needs blood in the transaction or they will just walk away. I have been doing FHA and VA for a very long time while others were doing 100% sub prime loans...

What is shadow inventory? Shadow inventory is the inventory of homes that will be soon on the market. Sub prime and adjustable mortgages homes will soon be on the market with loan modification not working. We will see a ton of new inventory coming soon. With all borrowers in the US, 12% of all ho...

A CALL FOR ACTION ON R-1366 R-1366 is open for comment. Below is the definition of the Amendment from the Federal Reserve Board. Proposed amendments that would revise Closed-end mortgage disclosures to highlight potentially risky features such as adjustable rates, prepayment penalties, and negati...

Should Realtors increase there commission? I believe that Realtors should move up their commission rates. Below are reasons why it should be moved up. 1) The increased amount of short sales, foreclosure and HUD homes. 2) Dealing with banks, asset management companies, Fannie Mae and Freddie Mac. ...

Big changes to FHA-January 1, 2010 1) The funding source of any FHA loan must have one million dollars in funds verified by FHA. 2) Brokers will no longer need to be individually certified by FHA to do FHA loans. 3) The streamline refinance as we know it today will no longer by available to borro...