“It is better today, because at least there’s movement on deals. Lenders have been more willing to process loans on vacation homes since October”
In the heart of the winter, many homeowners may be romanticizing about a vacation home in warmer climes.Fewer people had the opportunity to buy one last year, what with the mortgage crisis. Lenders now appear more willing to finance second homes, but borrowers must be patient, eminently qualified and strategic about their housing choices.“People are beginning to see some opportunities, but they have to be strong borrowers,” said John Walsh, the president of Total Mortgage Services in Milford, Conn.The improving conditions for borrowers, Mr. Walsh said, come mainly from the drop in vacation home prices, not any relaxation in lending standards. The lower prices, and lower loan amounts, make it easier for people to afford a second mortgage payment.
By Bob Tedeschi, Jan. 14, 2010 NYT