LLPAs/Add-ons Significant increases!For Conventional Mortgages there have been Loan Level Price adjustments since 2008. Simply put- not everyone gets the same rate with these adjustors adding price for risk.While there has always been some minor adjustments to the LLPAs each year this is the biggest change since the advent of LLPAs. We will start seeing these changes on rate sheets in the next few weeks for 60 day locks... Here are some of the highlights:The negative side: Ever since we had LLPAs 740 was the magic number for credit scores. This will be a significant change with 2 new credit buckets 760+ and 780+ So the new magic number for Credit score is 780. There are higher add-ons for most loans with credit scores between 680-779 Refinances will be significantly more expensive VS a...
Comments
2