Six years after the sub-prime mortgage meltdown, What Now?

Tamarindo, Costa Rica by Amir Zee

Six years after the sub-prime mortgage meltdown, banks remain tight even with solid borrowers.

First-time buyers and self-employed borrowers must jump through especially complex hoops. Lenders say their cautions stems in part from uncertainty over a tougher new regulatory environment, along with unrelenting demands from government-sponsored mortgage buyers that the banks repurchase soured loans. Salaried professionals with credit scores in the high 700s have the best shot at being approved for a mortgage loan in this environment, along with borrowers who have never missed a payment and want to refinance.  

However, even these borrowers may face stiff documentation demands, including having to explain any bank deposit other than a regular paycheck.