You would have to be completely “unplugged” from every conceivable outlet of 21st century media to miss the fact that the home lending industry is going through a serious crisis nationwide. The stock market has lost upwards of 1,000 points over “liquidity concerns” and over 120 mortgage lenders have shut their doors. A significant component of the lending drama concerns the issue of abusive lending practices in the “subprime” mortgage market. The National Association of Realtors® recently sent a letter to the Federal Reserve System Board of Governors that specifically addressed ongoing NAR efforts to combat unfair, deceptive and abusive mortgage lending acts and practices. In the words of the NAR, “The Fed must act responsibly to protect consumers, and NAR pledges its support. We champion the principle that all mortgage originators should act in ‘good faith and with fair dealings’ in all transactions, just as Realtors® are required by NAR’s Code of Ethics to treat all parties in the transaction honestly.” MS Las Vegas Real Estate salutes the NAR for pointing the spotlight on industry practices that result in borrowers getting trapped in abusive situations. We further agree with their position that existing lending guidelines are not enough to protect consumers as currently written. The guiding document as regards this issue is the (recently enhanced) NAR statement on Responsible Lending Principles.

This entry was posted by Michelle Sterling on Friday, August 17th, 2007 at 6:41 pm and is filed under Business & The Economy, Las Vegas Real Estate. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.