Mortgages still available for low to moderate income, minority borrowers

Recent housing woes gave pause to many borrowers, but no groups fell more uncertainty about their home owning prospects than low to moderate wage earners and minorities. Coupled with run ups in home values in recent years, these potential buyers may see their own housing picture bleak. This is not a “sky is falling” situation by any means. Some loan requirements are changing but there are sill many options for down payment assistance and affordable loans plus home buyer education and pre-purchase counseling. Although homeownership rates in the U.S. are at a near all-time high of 69%, most of these home owning candidates are first-time buyers who are often unfamiliar with a home purchase process works. The non-profit classes, supported by Bank of America and other lenders, are usually held on Saturdays. Classes cover how to work with real estate agents, the loan process, credit scores, how to make an offer on a home and other ins-and-outs of buying a home. These counseling classes have gained in importance as borrowers need to work on credit scores and down payment assistance before applying for a loan. Much has been made about how low to moderate income and minority borrowers have fallen prey to high-cost or unscrupulous lenders. Borrowers should find a reputable, trusted lender that won’t have hidden fees or charges and they should know how home loans and the home buying process really work. That’s why I support the home buyer education because it works and truly helps borrowers!