Inclusive Lending

Why Pride Matters in the Mortgage Industry

For many years, it was not safe to be openly a member of the LGBTQ+ community. In some places, it still isn't. It wasn't until 2003 (21 years ago) that the Supreme Court ruled that laws criminalizing same-sex relationships were unconstitutional. In 2009 (27 years ago), the U.S. Federal Hate Crime Law was expanded to protect the LBGTQ+ community and in 2015 (9 years ago), same-sex marriage was legalized by the Supreme Court.

Discrimination against the LGBTQ+ community is both recent and ongoing, but we still have a lot to celebrate. According to the ACLU, 269 out of the 515 anti-LGBTQ+ bills that have been introduced across the U.S. this year have been defeated. The Equal Employment Opportunity Commission just issued new rules regarding workplace discrimination that expand protections for the LGBTQ+ community. And companies like New American Funding continue to actively support the queer community and do the work to empower our goals.

What is Pride Month?

Pride marches began as an act of resistance and are an expression of queer joy. The first Pride marches were held across the U.S. on June 28, 1970, to commemorate the first anniversary of the Stonewall Uprising. These marches have continued ever since. While they are still demonstrations, they are also celebrations. Celebrations of queerness and pride in who we are despite consistent oppression. June was officially recognized as Pride Month in 1999.

Stonewall, Pride marches, and Pride month celebrations are all results of decades of organizing and activism by the LGBTQ+ community. However, movements aren't just the result of history book-worthy events. They are the culmination of millions of individual choices made by members of the community and the allies that support them.

Lending to LGBTQ+ Homebuyers

Unfortunately, discrimination against the LGBTQ+ community happens in all industries, including lending. While discrimination will continue to be addressed at a systemic level, individuals can also act to ensure that queer people are accepted for who they are, wherever they are. This acceptance can be particularly empowering in the mortgage industry, where homebuyers come to fulfill their dreams of owning a home.

Jennifer Madrid is a Senior Loan Officer and Sales Coach Trainer at New American Funding. She has worked with members of the LGBTQ+ community and has noticed the unique challenges they face when it comes to the loan process.

"You know, it gets tricky from a documentation standpoint. If the pronouns your client uses don't match with what is on their driver's license or if they're in the process of having their name changed," Jennifer said.

"I had a client once whose husband had recently passed away. Legally, they had been in a same-sex marriage, and her driver's license said male, but she identifies as a woman and her name had changed, so the documentation was a little confusing," Jennifer continued. "I was sensitive and made sure that I was using her correct pronouns and was respectful when I needed to ask for clarification. We talked things through and got everything handled. She was very happy and now we've closed two loans together."

Acting with respect and inclusivity doesn't have to be a complicated thing, even when it comes to something as technical as lending. One of the biggest threats to the queer community is erasure. Ignoring someone's identity who is Transgender or assuming marriage is heterosexual disregards the existence of queer people. Something as small as using someone's stated pronouns or rephrasing questions to be more neutral can make a huge difference in how the LGBTQ+ community is supported and included.

"There's this layer of learning how to communicate that we need to educate ourselves on as Loan Officers," Jennifer said. "How do I speak on this without being offensive? And it's really about finding language that's inclusive and still addresses our need for compliance."

Pride at New American Funding

New American Funding is committed to supporting diversity in mortgage lending. Our newest initiative, NAF Pride, formally extends that commitment to the LGBTQ+ community. NAF believes that homeownership should be accessible to all, and we will continue to grow and find ways to address the needs of historically underrepresented borrowers.