Thread: New credit scoring weighed

New credit scoring weighed

By Garance Burke
Associated Press

FRESNO, Calif. -- The slumping housing market could get a $200 billion boost from new immigrant home buyers if mainstream lenders start using alternative methods to score credit, a national group of Hispanic real estate agents said Friday.

Creditors like Citigroup's Citibank see immigrants as a growing market niche, but those who lack Social Security numbers or legal status in the United States often are rejected by the three major credit bureaus.

A handful of new credit reporting systems allows lenders to calculate risk by evaluating a prospective client's utility bills, rent checks and other payments.

Should the new reporting methods gain wider acceptance on Wall Street and among secondary mortgage lenders, many housing markets would stand to gain the most, the National Association of Hispanic Real Estate Professionals said.

"Gateway states like California and Texas will disproportionately benefit from the housing boom because so many of their residents are immigrants," said Gary Acosta, the association's co-founder. "Boosting homeownership among these populations is a positive contribution to the overall fabric of our society and our economy."

A study by the Joint Center for Housing Studies at Harvard University shows Latinos will account for nearly one-third of the home-buying pool by 2010. That same year, the disposable income of Hispanics will exceed $1.08 trillion, or 9.2 percent of total purchasing power nationwide, according to the Selig Center for Economic Growth at the University of Georgia.

No law requires that buyers be in the country legally in order to purchase real estate, Acosta said. Citibank, for instance, doesn't require that borrowers be citizens or legal residents of the United States, Citigroup spokeswoman Janice Tarter said.

As with many other minority and immigrant communities, bringing Hispanic families into the mortgage market is a continuing challenge, say officials at Federal Reserve Banks across the country.

Community groups from California to Atlanta have begun offering financial education classes in Spanish as the number of mortgage products available to immigrants and underserved populations has grown.

In Fresno, the housing advocacy group ACORN helps clients secure loans by writing alternative credit profiles, which often draw on months of data from telephone bills and employment records, said Lydia Lopez, the local manager.

Once ACORN vets the client's financial stability, they send them to Citibank, which finances the home loans.

http://www.courier-journal.com/apps/...NESS/611050363

Just another way of say, "we love you Mr. Illegal Immigrant, and want your money." The favoritism shown toward illegals is getting disgusting quickly!

For the love of money
People will steal from their mother
For the love of money
People will rob their own brother
For the love of money
People can't even walk the street
Because they never know who in the world they're gonna beat
For that lean, mean, mean green
Almighty dollar, money

For the love of money
People will lie, Lord, they will cheat
For the love of money
People don't care who they hurt or beat
For the love of money
A woman will sell her precious body
For a small piece of paper it carries a lot of weight
Call it lean, mean, mean green

Almighty dollar

Harvard University shows Latinos will account for nearly one-third of the home-buying pool by 2010.

There it is again... 2010

The year 2010 is sounding to be a very interesting year...or devistating depending on your point of view. It pops up all the time.

2010 in detention center document:

http://freeinternetpress.com/story.php?sid=9174

Let me see, housing prices go up, now they are going down.
Now the banks are lowering requirements for mortgages. IF
illegals buy houses that will be lower in price, and IF there
is no blanket amnesty, and Endgame goes into action, after
order to remove aliens (please note use of alien in linked
doc) than who benefits? Banks. Who owns the banks?

And if amnesty is granted, then draft will come to support more war,
where govts need to borrow from intl bankers.

No law requires that buyers be in the country legally in order to purchase real estate, Acosta said

Not quite right....it's against the law to aid an illegal to reside in the country! I guess these banks don't expect them to get deported or they don't care. It would seem like a huge headache to loan money to people that can be deported at any time. Besides I thought all these people were poor! Be prepared for 5-6 familes moving into a home near you!

Yeah. The law requires that illegal aliens do not live in owned real estate in this country.

If the banks are giving owner occupied interest rates to persons that can not legally occupy the property methinks there is grounds for a major law suit on behalf of real estate investors being charged the higher rate with 20% down payment required.

added to homepage

http://www.alipac.us/modules.php?name=N ... e&sid=1676

It is time to change the laws on allowing those not here legally to buy property, and more importantly, time for a Constitutional Amendment that requires citizenship of at least one parent or verified legal residence of both parents for a child to have citizenship here in the US of A.