There’s been a lot of fretting about the new “ability to repay” requirements spelled out in the “qualified mortgage” rules taking effect Jan. 10, but Bloomberg Businessweek’s economics editor Peter Coy advises would-be homebuyers not to fret. For one thing, he notes, total debt-to-income ratio limits of 43 percent won’t kick in on loans eligible for purchase by Fannie Mae and Freddie Mac until 2021.
“If the new rules do prevent you from landing a mortgage loan, it could be a sign that you aren’t financially ready for homeownership,” Coy says. Source: businessweek.com.
