ITIN Market Up Date
Mortgage Guaranty Insurance Corporation (MGIC, pronounced Magic) has eliminated their insurance program for any ITIN loans. MGIC was an industry leader of the ITIN Loans. Most bankers used the MGIC guidelines as a secured standard for re-selling these loans in the secondary market. One of the unique aspects of MGIC was that it allowed bankers to offer this ITIN product to Mortgage Brokers.
Unfortunately, as a result of MGIC's decision, most if not all ITIN Loans will have major changes which may include the elimination of any exciting ITIN Loans. I have heard that Banco Popular has begun eliminating their ITIN Loans in specific states, in particularly Ohio. You have heard any other states let me know.
Currently, the only source of ITIN Loans was Banco Popular and "portfolio lenders". I am not sure if this is going to scare off these small lenders. There are two other sources but more difficult to process then Banco Popular, unfortunately, they don't process these loans through Mortgage Brokers. If you are a realtor and are interested in finding out more about this source merely contact me at YourHome411@comcast.net
I'll be in Washington, DC at the National Association of Hispanic Real Estate Professionals Legislative Conference, so I'll let you all know if I hear anything new about MGIC's decision and if any solutions are available for the ITIN community. Are any of you planning to attend?
Eliud Gautier
ITIN Real Estate Specialist
EXiT Realty of Cherry Hill
