Wednesday, October 14, 2009

No More Negative Amortization

Negative amortization home loans were crazy to begin with, but we won't see them any more because they have been outlawed. (Negative amortization loans have payments so low that the principle can actually increase over time.)

Another really good idea is the new law that allows buyers of foreclosed homes to choose the escrow company and escrow officer instead of being forced by the seller to use theirs. Nothing like being held hostage.

Last but not least, another new law requires that mortgage documents be written in the same language that was used in oral negotiations. Duh!

These things just make good sense!

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