Mortgage Default Rate Said to Be Stabilizing

Charlotte Observer (NC) (09/25/07)At a recent forum in Singapore, HUD Assistant Secretary Darlene Williams reported stabilization in U.S. mortgage defaults. Although the Federal Reserve's move to lower the federal-funds rate indicates the central bank's willingness to take steps to prop up the economy, Williams said it likely will not impact mortgage defaults. Williams also underscored the importance of subprime mortgages in boosting homeownership rates, noting that they "democratize credit, and so we don't want to throw that option away."