5 ways to convince the bank you deserve a (better) home loan

Banks are experiencing Post-Traumatic Stress Disorder from the foreclosure crisis -- big time. They are painfully aware that loose lending kicked off the nasty economic domino effect that ended in millions of foreclosures, and billions of dollars in lost real estate wealth as a result.

We're all aware that, as a result of this mortgage PTSD, banks have raised the bar on what it takes to get a home loan. They know the riskiest borrowers are the ones whose income and assets were undocumented, and those who had no skin in the game because they hadn't put down a down payment. These are the folks who were the most likely to lose or walk away from their homes when the values plummeted.