ABA EVP James Ballentine said:
It’s clear that new regulatory requirements have restrained mortgage lending, and have made it particularly difficult for some creditworthy borrowers to obtain a home loan. This legislation is a common-sense approach that will help borrowers gain access to some of the lowest risk mortgage products offered by banks. Loans held in portfolio are well underwritten and conservative by their very nature — banks hold only the safest loans in portfolio. There is no need to create additional barriers for creditworthy borrowers for loans held in a bank’s portfolio.