B of A Ramping Up For More Jumbo Loans

This is worth following...for those of you that have been in the Real Estate and Mortgage Industries you will recall that in early 2002, the increase in jumbo loans signaled the first of many real estate "booms" that would continue over the next several years. Bank of America is committing resources and staff to targeting this recently ignored market. Of course we will need to follow closely to see if their guidelines for these loans are realistic. In particular, loan-to-value and interest rates are the key elements of qualifying for jumbo loans. In addition, because most of America's wealth comes from self-employment, there will most likely need to be an "Alt-A" component that will allow for alternative income documentation.