Time flies. It was four years ago many of us were watching the mess called “Tiger King. Summer is upon us again. “People are complaining about this being the hottest summer in the last 150 years. I’m more of a glass half full kind of guy. I’m thinking of it as the coldest summer in the next 150 years!” Whether or not you believe in climate change, past poor forest management practices, or that the severity of storm damage has increased, is of no consequence. What is of consequence is that insurance companies, government agencies (including Freddie and Fannie), large investors, servicers, and the rating agencies have either changed their pricing, or will, and that impacts your borrowers. (The current STRATMOR blog is “Catastrophe and Climate Risk Is Only Increasing”.) Homeowner’s insurance is just one example: I’ve heard from plenty of LOs, “They could afford the mortgage payment, but the monthly insurance premium killed the deal.” And how do you think the thousands of homes lost in wildfires, tornadoes, hurricanes, and flooding impact the inventory situation? (Today’s podcast is found here, and this week’s are sponsored by Visio Lending. Visio is the nation’s premier lender for buy and hold investors with over 2.5 billion closed loans for single-family rental properties, including vacation rentals. Hear an interview with Carrington’s Steven Winokur on an overview of the non-QM space, evolution, and investor appetite. Software, Products, and Services for Lenders and Brokers