Minority Borrowers Have More Trouble Getting Mortgages

Mortgage underwriting standards that favor borrowers with stable incomes, low debt and good credit scores exclude more black and Hispanic borrowers than whites, an issue that regulators, consumer and civil rights advocates, and even bankers say needs attention. Some recent studies have indicated that while lenders may not intentionally discriminate against minorities, tight credit requirements both dissuade black and Hispanic would-be homeowners from applying for loans and disqualify them from receiving them. Bankers generally do not dispute that stringent lending requirements have made it harder for borrowers to qualify for mortgages. However, they defend lending only to those they deem able to repay.