06/02/2017
Awesome news for buyers using conventional financing: On July 29th FNMA will release DU 10.1. This update will effect conventional loans only.
1. Significant increase in DU approval for loans with a DTI between 45% and 50%.
2. Significant increase in the number of self-employed borrowers approved for income calculation using 1 year of tax returns.
3. Significant decrease in the number of loans requiring resolution of disputed accounts.
4. DU will begin allowing future income in limited situations.
These changes represent the largest loosening of credit standards in the last 10 years and FNMA expects to see a significant increase in the number of loans receiving an Approve/Eligible recommendation.
