US Regulator Mulls Crypto Mortgages Amid Housing Crisis
The Federal Housing Finance Agency (FHFA) is exploring the potential for cryptocurrency holdings to assist mortgage seekers in qualifying for home loans amid a decline in mortgage applications. Bill Pulte, head of the FHFA, announced plans to study this integration. Homeownership rates in the US remain stable at around 62%, but new mortgage applications have sharply decreased due to factors like insufficient housing supply, high borrowing costs, and Federal Reserve interest rate policies. Currently, federal loan programs do not permit crypto as collateral, but acknowledging it could expand lending options. Some lenders already accept crypto as collateral, primarily targeting investors. The growing acceptance of crypto among the general public, with 20% of Americans owning it, suggests that allowing crypto for down payments could enhance homeownership opportunities.
