subject: FANNIE MAE and FREDDIE MAC UNDER CONSERVATIVESHIP! [print this page] FANNIE MAE and FREDDIE MAC UNDER CONSERVATIVESHIP!
Mortgage industry investment giants Fannie Mae and Freddie Mac have was placed under government control! Do you have any idea what that meant one year ago? Both investors had lost so much money due to the current mortgage crisis and filing bankruptcy or further loss of funds, could potentially crash real estate banking as we know it. Here's the situation: When you or I apply, and are approved a mortgage loan with a bank, broker or mortgage company, two things generally happen after the closing: 1) the loan is serviced in-house by employees of the lender, which is costly and a poor business decision or 2) the loan is sold to outside investors who use the funds to hedge, invest in stock and mutual funds, to earn profits on the secondary market. However, since the rise of foreclosures due to adjustable rate mortgages and relaxed nonconforming loan requirements, Fannie Mae and Freddie Mac are stuck with bad notes that are no longer being funded.
So by now, I know you are wondering how Fannie and Freddie being in the red affect me. Well let me tell you! If you have non-traditional income, (income that cannot be easily proven-waitress, hair stylist, taxi driver), are a small business owner showing a loss, owe or pay child support, if you have a side hustle that is used to supplement your current W2 income, if you have imperfect credit, or gaps in employment, or you are afraid of the current state of the economy, this effects you BIG TIME! Traditional lenders are not going to touch you in this market unless you are highly qualified! If you are lucky enough to find financing, it is going to cost you dearly! Now, here is where I come in. If flipping isn't your forte, I'll show you how to become a successful landlord! Listen closely. The two largest mortgage investors were in trouble and needed the government to step in and manage their finances, we must be in a position to take control of our own financial future! For more information on real estate investing go to http://www.annettapowellblog.com
