Countrywide Expands Commitment to $1 Trillion in Home Loans to Minority and Lower-Income Borrowers
January 14 2005 - 8:30AM
PR Newswire (US)
Countrywide Expands Commitment to $1 Trillion in Home Loans to
Minority and Lower-Income Borrowers - We House America Challenge
Leads the Industry in Affordable Lending - ORLANDO, Fla., Jan. 14
/PRNewswire/ -- Countrywide Home Loans, Inc., a national leader in
expanding homeownership across America, today announced an
extension of its We House America(R) initiative to fund $1 trillion
in home loans to minorities and lower-income borrowers and
communities through 2010. "The $1 Trillion We House America
Challenge, expanded from $600 billion announced in 2003, embodies
Countrywide's long-standing commitment to lead the mortgage
industry in closing the homeownership gap for minority and
lower-income families and communities," said Countrywide Financial
Corporation Chairman and CEO Angelo Mozilo, who announced the
initiative at the International Builders' Show in Orlando. "For
several years now, Countrywide has been a leading lender to
minorities and lower-income households," Mozilo said. "I am proud
of our lending record and pleased to announce the expansion of our
lending commitment to $1 trillion. The We House America program has
already placed 2.4 million families into homes, and we expect to
nearly triple that number by 2010." To help reach the $1 trillion
funding goal, Countrywide will build on its existing comprehensive
programs and policies that have made it the industry leader. The
company will continue to develop innovative programs emphasizing
non-traditional lending criteria, thus helping to address
challenges Mozilo has made to the industry, such as calling for
improved underwriting systems that eliminate the over-reliance on
traditional credit scores that can mask a borrower's true
credit-worthiness. Countrywide is already responding to this
challenge with the launch last year of its successful Optimum Loan
program. That program addresses major obstacles for hard-to-qualify
borrowers, such as allowing for non-occupant co-borrowers, other
secondary income, and pooled funds for down payments. The company
is also increasing its support for financial literacy programs.
Expanded access to high quality financial literacy training can
alleviate one of the chief obstacles to homeownership, a lack of
knowledge and understanding of credit and financial responsibility.
The program will be announced next week at the U.S. Conference of
Mayors Winter Meeting in Washington D.C. "To ensure that this
objective is achieved, we intend to expand upon our existing
partnerships with specific community groups," Mozilo said. "We have
also called upon one of our esteemed directors, the Honorable Henry
Cisneros, former Secretary of Housing and Urban Development and a
former mayor of San Antonio. Henry will put to use his long and
respected experience as an advocate for affordable housing who
understands the benefits to communities of homeownership. He has
graciously agreed to lend his support and expertise to this effort
with the goal of assuring Countrywide's continued leadership in
innovative, responsible and flexible mortgage products." Secretary
Cisneros said of the initiative, "Countrywide's $1 trillion
commitment is very tangible proof of this company's commitment to
fair, affordable and responsible lending. This company is leading
the industry in closing the homeownership gap through ambitious
lending commitments, innovative programs, and a strong corporate
culture that constantly looks for ways to improve. This is an
exciting initiative for Countrywide and I am looking forward to
being part of this important effort." Countrywide formalized its
commitment to affordable lending more than a decade ago by
launching We House America, an initiative to provide increased
homeownership opportunities for all Americans. The previous
commitment covered the years of 2001 through 2010 and has provided
$341 billion of home loans as of December 31, 2004. The company is
now extending the goal to $1 trillion by 2010. About Countrywide
Financial Corporation Founded in 1969, Countrywide Financial
Corporation is a member of the S&P 500 and Fortune 500. Through
its family of companies, Countrywide provides mortgage banking and
diversified financial services in domestic and international
markets. Mortgage banking businesses include loan production and
servicing principally through Countrywide Home Loans, Inc., which
originates, purchases, securitizes, sells, and services residential
loans. Also included in Countrywide's mortgage banking segment is
the LandSafe group of companies that provide loan closing services.
Diversified financial services encompass capital markets, banking,
insurance, and global, largely through the activities of
Countrywide Capital Markets, a mortgage-related investment banker;
Countrywide Bank, a division of Treasury Bank, NA, a banking entity
offering customers CDs, money market accounts, and home loan
products; Balboa Life & Casualty Group, whose companies are
national providers of property, liability, and life insurance;
Balboa Reinsurance, a captive mortgage reinsurance company; and
Global Home Loans, a U.K. mortgage banking joint venture in which
Countrywide holds a majority interest. For more information about
the Company, visit Countrywide's website at
http://www.countrywide.com/. DATASOURCE: Countrywide Financial
Corporation CONTACT: Media, Susan Martin or Jumana Bauwens,
+1-800-796-8448, , or Investor Relations, +1-818-225-3550, , all of
Countrywide Financial Corporation Web site:
http://www.countrywide.com/ Company News On-Call:
http://www.prnewswire.com/comp/158187.html
http://www.prnewswire.com/comp/102559.html
Copyright