Attractive Quote by Mark Zandi
“The average credit score of today's FHA borrowers is higher than the average American household with a score. As it becomes more costly and difficult to get a FHA loan, loans from private mortgage lenders will become more attractive and their market share will grow.”
About This Quote
Source Report: Mortgage Market Outlook, 2023, Federal Reserve
Higher FHA borrower credit scores indicate tighter eligibility, pushing borrowers toward private lenders, which will likely increase their market share.
In simple terms: FHA loans are getting harder to get, so private loans will grow.
Key Takeaway
Expect private lenders to gain share.
Themes
housing finance
credit risk
market dynamics
Mood
cautious
analytical
Type
economic
forecasting
When to use this quote
- homebuyers seeking loans
- financial planners advising clients
- real estate investors evaluating financing options
Key Concepts
risk assessment
policy impact
lender competition
Questions to Reflect On
- How will higher private loan rates affect first‑time buyers?
- What policies could protect borrowers?
A Different Perspective
If private lenders raise rates, affordability could suffer.
