Mortgage/Liens DOS
Good points. Anticipating problems with DOS should not be ignored, though, and it's important to cross the T's http://www.and.the I's. DOS came about when interest rates rose and lenders didn't want new buyers--for whom they had no information, credit scores, etc--assuming older, lower interest loans without their permission. Since interest rates appear to be on the rise now, a word to the wise is sufficient.
Given a choice, lenders would prefer to refi any loan at a higher interest rate if possible, wouldn't you? Still, they probably don't have DOS analysts looking at the finer points of every outstanding loan. And it's unlikely they have eyes in every county courthouse looking for transactions involving the properties they've lent on.
DOS gives lenders, potentially, more control, since they have another option for dealing with a 'problem' loan.
And you're right, DOS should be no problem as long as the payments get made, but it also deserves some attention and at least a hazy plan B, just in case.
I've got a broker on my team standing by with a interest only no-doc loan just in case. If it's a high interest mortgage or a lot of equity, I'll probably use him anyway