Something the 2009 housing crisis has proven is that it’s not always good to get a mortgage loan.
The 80′s and 90′s brought interesting rules to giving mortgage loans to people, some of which people really weren’t qualified to handle. The idea that real estate would always improve and that banks would always be solvent enough to handle almost anything had already been burst in the early 90′s when more than 700 banks closed in the first President Bush’s term.
So, banks needed to become more fiscally responsible, yet didn’t. And it’s ended up hurting a lot of people across the country, and in Utah as well. However, not all banks ended up having difficulties, and some are helping to lead the housing revolution in Utah back to better days.
Bank of Utah is one of the leading banks in the state, and one of the most conservative as well. Based in Ogden, this community bank was very cautious in how they advanced home loans to qualified prospects. They concentrated on working with home builders that worked with first-time buyers and some moving into second homes. They also concentrated more on those home builders that had enough money to repay loans if they had problems finding buyers for homes being built before they had buyers.
By not doing what many other banks were doing, Bank of Utah made a profit last year while most banks lost money, including 9 banks being closed. That’s a great thing for potential buyers of homes to feel good that their local bank will be there for the long haul, and that they’re going to make sure potential customers can really afford to purchase homes. Most people who go through the initial stages of finding out how much house they can afford will dole out numbers that are often impossible to get your mind around, yet if the realtor is a good salesperson will have you believing that you actually can afford a home that’s going to stress your comfort level as it pertains to finances.
You always want to work with a bank and broker who will tell you the truth, even if it means you might not be able to get the house you really want. Also, always trust your own instincts; if your household makes $50,000 a year and your broker says you can afford a $200,000 home, find both another broker and bank.
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Mitch writes on real estate, finance, and many other things. 
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