In these uncertain times, there’s a lot of confusion and misinformation out there for you, the consumer, so Kenneth Wohl, of SpiritBank asked me to pass this brief summary along, in hopes of clearing some things up:

Kell Kelly, CEO of SpiritBank, recently said ‘Main Street’ Banks have money to lend and he is right.  He utilized the example that National Economic Turbulence can lead to Potential Business Failures which can, in turn, lead to Tighter Credit Regulations which can then lead right back to National Economic Turbulence.  The fact that no credit is available is a myth.

Oklahoma has been spared from much of the real estate doom & gloom experienced by many other States.  Our modest but largely sustainable real estate appreciation is one bright spot in an otherwise slumping national real estate market.  That said, we are still impacted by tightened credit standards and lending program changes made by Fannie Mae, Freddie Mac and to a lesser extent, FHA & VA.

Borrowers who have maintained a good credit rating, can document their income and assets and have money for a modest down payment have the same access to mortgage credit as they have always had.

What does all of this mean?

• Oklahoma Banks have money to lend – including home mortgage money.
• Mortgage programs offered by FHA & VA have made very few recent credit or guideline changes.
• Fannie Mae and Freddie Mac changes have taken away 100% loans, stated income loans and generally tightened standards to what they used to be and  should always have been.
• Real estate is still a great value in Oklahoma and an asset that is likely to grow in value over time.
• Now is a great time to buy a home.

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