Chris Polychron, 2015 NAR President, hosted a Credit Access Symposium today at NAR headquarters in Washington DC.
A diverse group of housing industry stakeholders came together to discuss how alternative credit scoring models could expand access to mortgage credit for responsible borrowers who may have thin credit histories or extenuating circumstances like medical debts.
The event was organized by NAR, the Asian Real Estate Association of America and the National Association of Hispanic Real Estate Professionals. It included two roundtable discussions and a keynote address from Secretary of Housing and Urban Development Julian Castro.
NAR first called on federal regulators and the credit and lending communities in 2011 to reassess the entire credit structure and look for ways to increase the availability of credit to qualified borrowers who are good credit risks.
Polychron praised the efforts of NAR’s partners, pressed Secretary Castro on new FHA regulations for condos, and encouraged more discussion to maintain momentum for credit access reform in Washington.
“We still have hurdles to clear,” said Polychron. “Constrained supply and supply mismatch continue to hold us back. Government-sponsored enterprises have to open up their book of business to more qualified buyers. We also need more research on the impact that current credit scoring policies impact the availability of credit to consumers with “thin” credit files. And finally, we need to better evaluate scoring models and methods that rely on non-traditional credit histories.”