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Super Bowl ‘rocket’ home loan ad brings jeers loan and— might not be therefore fast

Super Bowl ‘rocket’ home loan ad brings jeers loan and— might not be therefore fast

Posted: Feb 8, 2016 2:26 p.m. ET

Quicken’s ‘Rocket’ mortgage process raises eyebrows


“You might get a home loan in your phone, ” according to your Super Bowl ad.

It had been an advertising for Quicken Loans’ Rocket Mortgage, therefore called since it tries to link candidates with mortgages in only eight moments. That’s all of the time that’s had a need to get a mortgage – not only a pre-approval, Quicken claims.

And when customers have mortgages, it is an attempt within the supply for the entire economy, the commercial informs us.

For a lot of viewers, that hit a touch too close to home towards the business design that cratered the economic climate in 2008.

Uhhh. This #RocketMortgage advertising simply explained the subprime mortgage crisis right? #SuperBowlAds

In the event that you asked bankers whom worked in fixed earnings in the right time and energy to explain 2008-era logic re: MBS, they may have just shown Rocket Mortgage advertisement

Quicken ended up being busy defending it self on Sunday.

@espiers The home loan globe is drastically various now, Elizabeth. Most of our loans continue to be underwritten to agency directions. 1/2

@dougchia Douglas, financing now could be more rigorous than pre-2008. Agency loans have actually strict instructions for credit, asset, and DTI ratios (1/2)

However the “8-minute mortgage” claim is just a bit misleading – and Rocket, at the very least because it is working now, won’t end up being the variety of home loan mill that enabled the crisis that is financial.

Rocket’s breakthrough would be to enable candidates to import initial supply papers like paystubs and bank statements, in place of permitting candidates input information which should be confirmed later on in a split distribution.

But there are essential steps in the home loan procedure that are outside of the control of the applicant, such as the assessment, for instance. Read More »

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