Mortgage Lenders Say Credit Standards Are Easing

One of the main obstacles potential home buyers face is the fear that they won’t be approved for a mortgage. Believing that you don’t make enough, have too much debt, or can’t afford to buy a house is one reason many people don’t even bother to get in touch with their lender to explore their financing options. If you’re someone who wants to buy a house, but thinks they won’t make the cut, Fannie Mae’s quarterly Mortgage Lender Sentiment Survey has some good news for you. According to the results of the survey – which asks senior executives at lending institutions across the country for their perspective on whether mortgage lending standards are getting tighter or are loosening – found the share of lenders who say they have eased credit standards over the prior three months has been rising since the end of last year and the number that say they expect to ease them further in the coming three months has now reached or surpassed survey highs. There are a number of reasons why mortgage lenders may be making it easier for buyers to gain access to credit but, among the top reasons cited, concern about economic conditions was high on the list. More here.

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