To make it possible for low-income borrowers to obtain mortgages, subprime lenders:
A)lowered the loan payment-income ratio.
B)required proof of income.
C)offered standard 30-year mortgage rates.
D)All of the Answer s are correct.

Question

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Subprime lenders lowered the loan payment-income ratio to make it possible for low-income borrowers to obtain mortgages. This meant that borrowers could qualify for larger loans even if their income levels were low. However, this also contributed to the subprime mortgage crisis as borrowers were unable to repay their loans when interest rates rose or when they suffered financial difficulties.

To Make It Possible for Low-Income Borrowers to Obtain Mortgages