Is age discrimination allowed in mortgage lending? The answer is absolutely not!
I was recently approached and asked if a 72 year woman could buy a condominium and get a 30 year mortgage. The individual was retired and receiving pension and social security income. The question was asked if she could qualify using that income and get a mortgage since she would be over 100 when the loan would be paid in full.
Regulation B of the Equal Credit Opportunity Act(ECOA) prohibits discrimination for the following:
Race or Color
Applicant's receipt of income from a public assistance program
*Age is prohibited as long as the borrower has the legal capacity to enter into a contract
The income used to qualify someone is also allowed to come from social security and pensions as long as it is likely to continue.
Any questions or comments please call Tom Turner NMLS 70986 at 203-257-9083 or email email@example.com