A regulatory proposal to require a minimum downpayment of 20% on 'qualified residential mortgages' will make it more expensive for first-time homebuyers to obtain private mortgages, according to the Mortgage Bankers Association.

The current QRM proposal will restrict access to homeownership for qualified working class borrowers unless the downpayment requirement is eliminated before the rule is finalized, MBA chief executive David Stevens said during a recent speech.

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