Countrywide Home Loans Inc. is advising prospective prime borrowers not to panic about the current mortgage industry turmoil, as it still offers them 100 percent loan-to-value programs.
While many subprime mortgage bankers have had to make significant program adjustments, the majority of borrowers still have access to a variety of loan programs, including no-downpayment mortgages, the Calabasas, Calif.-based lender said in an announcement Saturday.
"We recognize it's been widely reported that some major lenders, like Countrywide, no longer offer 100% financing," Countrywide Managing Director Tom Hunt said in the statement. "In fact, we have made changes to certain subprime and other special mortgage programs, but we have not eliminated 100% financing."
Countrywide, which last week said it cut 108 sales positions from its wholesale division's specialty lending group, still has the highest LTV options for prime and nonprime borrowers, Hunt claimed.
"Don't Panic," the press release said. "While there is a lot of news about changes in the mortgage market, most consumers will still be able to find a mortgage loan that fits their circumstances. Be sure you speak with a reputable lender who can offer you a wide array or loan choices."