Jumbo loans, loan not completed after rate lock

[FICOlearner123]

I have locked rate for a 7/1 ARM, completed appraisal recert for a refii, heard back from my loan officer that the lender has decided not to process jumbo loans. How are things with other jumbo loan refii applications?

[Revelate]

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@FICOlearner123 wrote:

I have locked rate for a 7/1 ARM, completed appraisal recert for a refii, heard back from my loan officer that the lender has decided not to process jumbo loans. How are things with other jumbo loan refii applications?

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Who was the lender in this case?

I'd go ask some of the big banks usually they're competitive on jumbos anyway and if anyone is doing them it'd be them.

[VALoanMaster]

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@FICOlearner123 wrote:

I have locked rate for a 7/1 ARM, completed appraisal recert for a refii, heard back from my loan officer that the lender has decided not to process jumbo loans. How are things with other jumbo loan refii applications?

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Unfortunately we are starting to see some of the same stuff that happened in 2007 -2008 on the lending side. Non QM lenders have stopped taking new loans or reduced the allowable loan to value tiers. Some jumbo lenders have stopped taking new loans & I know of one investor that has increased their score requirements for FHA, VA & USDA to 680+.

Credit is tightening up &, if this is anything like 07/08, underwriters are going to start killing loans that are marginal (but but still eligible).

[FICOlearner123]

Loan Depot

[Revelate]

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@FICOlearner123 wrote:

Loan Depot

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Ask the big banks (Chase, BOFA, Wells et al.) if anyone is still doing jumbos it'll be them and frankly in the jumbo case that's who I typically would suggest talking to there.

Conventional loans they generally dump that onto others, usually.