President Obama’s got a new plan to fix the mortgage industry, and boy is this one hard hitting: If the Obama plan for simplifying the mortgage process is approved, here’s how it might work: The government would give its seal of approval to a handful of mortgage types — a standard 30-year fixed-rate mortgage and perhaps a few varieties of adjustable-rate loans. For a loan to get the "vanilla" label, the lender would have to verify borrowers’ income and have them set aside money for property tax and insurance. Borrowers would still be able to get mortgages that don’t…
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