Mortgage Brokers Want More Liberal Lenders

San Francisco Chronicle (08/08/08); Sichelman, Lew
The California Association of Mortgage Brokers has called on lenders and investors to relax their underwriting rules because many prospective home buyers with good credit are unable to qualify for financing. During its annual convention, the mortgage brokers said lenders also could create payment modification plans and streamlined refinancing programs to help borrowers who are not delinquent on their loans but who now owe more than their homes are worth. "More remains to be done to help homeowners struggling to meet their mortgage payments as well as to help those who want to purchase a home," said the group's president, Fred Arnold. The organization added that housing will become less affordable in California next year unless Congress designates the state as a high-cost market.