Horsford Applauds Changes in Home Loan Qualifications to Close Racial Wealth Gap and Increase Homeownership
WASHINGTON – Congressman Steven Horsford (NV-04) gave welcome remarks at the Innovations in Mortgage Finance Symposium, speaking about his commitment to closing the racial wealth gap and building intergenerational wealth in all of our communities, particularly Black communities.
At the symposium, the Federal Home Loan Bank of San Francisco announcedthat they will accept alternatives to credit scores for low-to-moderate income families, so they can use their rent history, phone bill, and other important items that aren’t a factor in the traditional FICO scores. This action will expand access to affordable mortgages to those who, due to systemic factors outside of their control, have little to no credit history and have before now been unable to access affordable financing to achieve the American dream of homeownership.
View the welcome remarks by clicking here.
Transcript of Congressman Horsford’s remarks:
Hello, I’m Congressman Steven Horsford. I’m proud to represent Nevada’s Fourth Congressional District, and I’m pleased to welcome all of you to the Innovators in Mortgage Finance Symposium, hosted by the Federal Home Loan Bank of San Francisco and the Urban Institute.
Today’s event is important to me because, as Chair of the Congressional Black Caucus, this year my focus is on closing the racial wealth gap and building intergenerational wealth in all of our communities, particularly Black communities.
As a member of the House Financial Services Committee, I am fortunate to work on legislation that would expand access to homeownership. One of the barriers to affordable mortgage financing in communities like those that I represent in North Las Vegas has been the historic lack of credit history in underserved communities.
Due to systemic factors outside of their individuals’ control, many people with little or no credit history have been unable to access affordable financing to achieve a part of the American dream. But the magnitude of the crisis that we face today is too great for any single solution. We must use every tool in our toolbox to help close the racial wealth gap.
Homeownership is one of the most meaningful and substantive ways that families build intergenerational wealth in America. When we have homeownership, not only is there money to send our children to college, but it also ensures that wealth can be passed on and helps give our children the opportunity to start their lives differently than many of us.
I’m grateful to the stakeholders and leaders who are gathered here today who are investing in, exploring, and promoting innovative solutions available to everyone, especially for those who have been systematically denied these opportunities in the past. I’m proud to support approaches that maintain close coordination between the public and private sectors to continue building wealth in our communities. And I am excited to see the results that will be produced by the innovators here, who are committed to advancing racial equity. I believe that your work and this research will help rewrite the rules on wealth building.
Thank you again to the Federal Home Loan Bank of San Francisco and to your member financial institutions’ commitment to real results. I am eager to see the further progress made at the symposium. Thank you for your continued partnership.