Real Estate Finance Committee
Hyatt Grand
Champions Hotel
Indian Wells Ballroom, Joshua Tree Room
Indian Wells, CA
Thursday, January 24, 2008
9:00 am - 11:30 am
Please
Note: Only the C.A.R. Board of Directors may take action on behalf of the
California Association of REALTORS®; not individual committees. The Summary
of Action Items for the Board of Directors may be found at:
http://www.car.org/index.php?id=MzgyNDc.
The
archive section for each committee, including meeting materials for each
committee, may be found at
https://www.car.org/index.php?id=MjMy
. Set out below is a summary of Real Estate Finance Committee activity,
including the additional action on those items (if any) by other C.A.R.
bodies.
CALL TO
ORDER
The Chair
convened the meeting of the Real Estate Finance Committee at 9:00 AM.
ACTION ITEM - FHA Risk Based
Pricing
A motion was
made and seconded:
That C.A.R., in conjunction with NAR, modify its existing policy on
risk-based pricing for the FHA mortgage insurance programs so it:
--Does not disadvantage the market FHA was designed to serve,
--Does not rely solely on FICO scores but considers compensating factors;
including, but not limited to rental, cellular phone, utility, insurance
premiums and medical payment history,
--Does not mandate a specific down payment for purchase borrowers, but
instead adjust pricing based on down payment and loan-to-value ratio,
and
--Does not use risk based pricing models to qualify borrowers.
Real Estate
Finance Committee: Approved
Federal Issues Committee: Approved
Executive Committee: Approved
Board of Directors: Approved
ACTION ITEM - Preservation of Affordable Housing
A motion was made and seconded:
That C.A.R., in conjunction with NAR, support the development and
preservation of affordable housing through the creation of a National
Affordable Housing Trust Fund that does not take money away from other
federal, state and local housing programs; and oppose any Trust Fund whose
sources of funding negatively impact housing prices, transaction fees or
loan costs.
Real Estate Finance Committee: Approved
Federal Issues Committee: Approved
Executive Committee: Approved
Board of Directors: Approved
ACTION ITEM- Federal
Subsidies
A motion was made and seconded:
That C.A.R., in conjunction with NAR, accept the end of federal subsidies
for non-primary residences that were built pre-Flood Insurance Rate Maps
(FIRM) and are required to have flood insurance; but, the program must
provide comprehensive coverage for second homes, vacation homes and rental
properties.
Real Estate Finance Committee: Approved
Federal Issues Committee: Approved
Executive Committee: Approved
Board of Directors: Approved
ACTION ITEM - National Flood
Insurance Program
A motion was made and seconded:
That C.A.R., in conjunction with NAR, support allowing the National Flood
Insurance program to offer coverage for wind.
Real Estate Finance Committee: Approved
Federal Issues Committee: Approved
Executive Committee: Approved
Board of Directors: Approved
ACTION ITEM - Subprime and Mortgage
Reform
A motion was made and seconded:
That C.A.R., in conjunction with NAR, increase the REALTORS® presence on
Capitol Hill while congress is debating the issue of subprime and mortgage
reform. This would include utilizing NAR?s and C.A.R.?s existing
policy to advocate for or against individual provisions within subprime and
mortgage reform bills.
Real Estate Finance Committee: Approved
Federal Issues Committee: Approved
Executive Committee: Approved
Board of Directors: Approved
ADJOURNMENT
The meeting was adjourned at 11:30 AM
