The release of data on mortgage originations collected under the Home Mortgage Disclosure Act has given rise to a number of articles that cite "racial disparities" in loan denial and approval rates. But do these numbers represent differences arising from the application of consistent credit standards to various groups, or are they disparities that arise from inconsistent credit standards?
We invite you to join us for this year’s international conference on housing risk — cosponsored by the Collateral Risk Network and AEI International Center on Housing Risk — which will focus on new mortgage and collateral risk measures and their applications.
At the core of the US financial collapse was the lack of an objective standard of safety and soundness in mortgage underwriting and collateral risk assessment. Opaque information regarding these risks meant that homebuyers, lenders, investors, insurers, regulators, and policymakers had neither incentives nor information to moderate the bubble.
The Wealth Building Home Loan, a new approach to home finance, received rave reviews by several leaders of national stature, including the "godfather" of mortgage finance, Lewis Ranieri, at the American Mortgage Conference held September 8-10.
Created by AEI's Edward Pinto and Stephen Oliner, the Wealth Building Home Loan is a new approach to low-income home finance that provides low-income borrowers a straight, broad highway to building wealth based on a 15-year, fully amortizing, fixed-rate loan.