He said, “By responsibly modifying the definition of points and fees for a home loan to be considered a qualified mortgage and ensuring that consumers can choose the lender and title provider best suited to their needs, this bill would allow more low- and middle-income families the opportunity to finance a home purchase.”
He also asked Congress to pass the Portfolio Lending and Mortgage Access Act. “This legislation is intended to ease the ability to repay requirements for community lenders who may fear originating non-qualified mortgage loans and, therefore, may limit access to credit for home buyers whom they believe to be creditworthy,” said Woods.
Noting that federal agencies, in addition to Congress, could alleviate some of the unduly burdensome regulations surrounding credit access, he says lenders impose tighter restrictions than the VA, FHA and Fannie Mae and Freddie Mac require. As MHProNews has learned, despite recent improvement in the economy, Woods states lenders continue to withhold credit from developers seeking construction credit, saying regulators are pressuring them to reduce their loan portfolios. ##
(Image credit: housingwire)
