Comment Detail

Comment

The Chicago Anti Eviction Campaign request that the credit scores requirements be lowered to a minimum of 500 and that bad credit not be a determining factor in approving low income and African Americans from first time homeownership. We also request that FHFA provide a loan product that would allow housing authorities to lower their credit score requirements for their public housing/section 8/subsidized housing -to- homeownership programs. We also request that lower credit score borrowers be given the option of rent-to-own or a lease-to-own if they do not qualify for traditional financing. As advocates we see far too many renters who could be bonafide responsible homeowners if financing barriers were not in place. Renters with a consistent payment history in addition to a extensive work history should be given opportunities to own a home. As a housing provider we also see people who would rather own versus rent which is often higher than a mortgage be turned away because their isn't a good loan product or an affordable/ credible credit repair institution that could get them qualified by fixing their credit issues. We believe that providing Community Land Trusts with loan products or backing CLT's with an innovative mortgage product would lessen the burden on government while providing potential homeowners with an opportunity to own deed restricted property.