Does anybody know about a new law in Minnesota about getting rid of stated income mortgages?

My wife and I are going to be moving this summer in order to attend a nursing school in Northern Minnesota. The houses that are available in our price range are either money pits or just plain old nasty. So we have decided to build a small 1,400 sq. ft. house that is designed the way we want it and is clean (unlike the other houses in the area) anyway we have run into a problem. Because we are full time students the only mortgage we are able to get is a stated income mortgage, meaning we don't have to prove that we are going to have steady incomes when we move. Well, I got a call from our mortgage lady last week and she said the Minnesota congress just voted to pass a law making these types of mortgages illegal. She said we need to close on a home soon before the Governor signs this into law in order to get anything. Does anybody know anything about this? How long after the Governer signs this will it take effect? Where could I call / write to get more info? Congressman?Does anybody know about a new law in Minnesota about getting rid of stated income mortgages?
Some Minnesota lawmakers and local home loan industry officials say laws need to be change to better protect home buyers from unscrupulous mortgage brokers. The first hearing on several proposals is scheduled to take place later this week before a Minnesota House committee





The Governor's proposal will help protect consumers from mortgage fraud as the real estate market in Minnesota and nationally slows down, exposing more homeowners to potential problems. Mortgage fraud has increased in volume and sophistication recently, with new cases involving unscrupulous real estate agents, mortgage brokers, appraisers and title companies that conspire to complete transactions for loans that often exceed the value of the property.





The new proposals support the Guidelines on Nontraditional Mortgage Products that were sent to all licensed mortgage originators by the Minnesota Department of Commerce in December of 2006. The guidelines encourage lenders to make more meaningful disclosures and more careful underwriting to protect consumers from mortgage products they cannot afford.





As of yet, the law has not changed. There are however changes in the Federal CODEDoes anybody know about a new law in Minnesota about getting rid of stated income mortgages?
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http://www.state.mn.us/portal/鈥?/a>

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