But, bro­kers said, many lenders are clearly read­ing those guide­lines through an increas­ingly con­ser­v­a­tive lens. “Lenders are pick­ing and choos­ing what part of the Fred­die and Fan­nie guide­lines they want to use and how they will inter­pret them because one bad loan could put a com­pany out of busi­ness,” said Jef­frey J. Jaye, pres­i­dent of the Upfront Mort­gage Bro­kers Asso­ci­a­tion, a trade group for bro­kers who dis­close their fees upfront.

via Seek­ing a Mort­gage? Don’t Get Preg­nant — Yahoo! Finance.

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