Hunter Financial Group Weighs in on New Mortgage Regulations

PHILADELPHIA, PA, November 09, 2012 (Press-News.org) The housing market has, since the housing bubble burst, healed tremendously. Although it certainly has more progress to make, the real estate industry has rebounded with a great deal of success. Part of this can be attributed to better regulations regarding lending, and the addition of such regulations to the industry has not stopped. Bloomberg reports that two new rules, slated to take effect in January, are being prepared. Hunter Financial Group, a mortgage solution company, reflects on the ways in which proposed regulatory changes will affect the credit market and, ultimately, lending practices.

According to the article, "Regulators are preparing to release the language of two rules taking effect in January to set standards for non-abusive lending and require banks to hold a slice of risky mortgages on their books. In addition, U.S. banking overseers must also complete new capital standards mandated in the international Basel III accords next year."

With so many new housing rules scheduled to go into effect around the same time, the overlapping of these new guidelines has been called a "perfect storm of regulation" by Maurice Veissi, president of the National Association of Realtors. Veissi is not the only professional to understand the implications that these new regulations, and the way in which they are being introduced, can change the real estate industry.

"There's this intersection of policies that are absolutely not being considered by this massive array of institutions, all involved in deciding the future of homeowners and rental opportunity," remarks David Stevens, who is president of the Mortgage Bankers Association.

Hunter Financial Group, in a recent press statement that calls upon statistics provided by the previously cited article, comments: "While housing prices are on the rise, the credit market remains tight due to concerns about new financial regulations taking effect in January of 2013. The industry's fears about the crises correction has resulted in high credit standards. In September, the average credit score for loans closed were 750 and home buyers made down payments averaging 22 percent. There is a concern that qualified borrowers might not be able to take advantage of record low interest rates."

Hunter Financial Group hopes that the new regulations are implemented smoothly and that, ultimately, they improve the ability of buyers to access financing that they can afford and that is presented at the lowest interest rates possible.

ABOUT:

A full-service mortgage company, Hunter Financial Group is an HUD/FHA approved lender. The organization offers a wide range of mortgage services and products to its clientele, including conforming, non-conforming, and conventional loans for home equity lines of credit, refinances, and purchases. The goal of Hunter Financial Group is to supply each client with the lowest financing rate possible while upholding a high standard of customer support. The professionals at Hunter Financial Group call upon decades of experience in the mortgage field, and they use this experience to benefit clients in eight different states.

Website: http://hunterfinancialgroup.net