The U.S. Department of Housing and Urban Development (HUD) has published early findings from a rigorous, large-scale, random assignment study on the benefits that housing education and counseling provides to first-time homebuyers.

Early results from the study are encouraging and suggest homebuyer education and counseling may lead to favorable results for first-time homebuyers in terms of mortgage literacy and preparedness, homebuyer outcomes and loan performance. 

This critical study will help confirm whether first-time homebuyer education and counseling can expand access to credit and help borrowers make better choices to achieve housing and financial stability. Although there have been numerous recent studies documenting the effectiveness of housing counseling, this study is groundbreaking in its scale, experimental design, elimination of any selection bias, and expected length that the families will be followed. 

Between September 2013 and January 2016, HUD enrolled a diverse sample of more than 5,800 prospective first-time homebuyers across 28 metro areas. The study involves three large national lenders, 63 HUD-approved housing counseling agencies, and two remote service providers. 

Each family was randomly assigned to one of three treatment groups: remote (online education and telephone-based counseling), in-person (group workshops and individual counseling) and a control group that was not offered any services. HUD found that 65 percent of early participants who were offered remote homebuyer education and counseling got a mortgage versus just 25 percent of those who were offered in-person education and counseling. 

“The early findings of this study underscores the need to continue supporting housing education and counseling programs, and the particular importance of making remote education and telephone counseling easily accessible to prospective homebuyers,” said Katherine O’Regan, HUD’s Assistant Secretary for Police Development and Research. “Over the next four year, we expect to produce long-sought answers about the impact of homebuyer education and counseling on mortgage literacy and preparedness, homebuyer outcomes and loan performance.”

Here in Visalia, Tulare and Porterville many mortgage lenders offer these education services to potential homebuyers. Take time this week to call a local mortgage lender and sign up for the training which will make you more knowledgeable homebuyer. It could save you a ton of money.


Jeremy Engle
Country Club Mortgage 
559.734.5000 Central Valley Phone 
805.544.2775 Central Coast
888.330.2272 fax
Phone Email: jeremy@jeremyengle.com 
400 E. Main St. Suite 120 Visalia, CA 93291  
6795 N. Palm, Suite 101 Fresno CA 93711  
4211 Spring Tree Ln. Bakersfield CA 93314  
1204 Nipomo St. San Luis Obispo CA 93401   
NMLS # 293517 | DRE # 01474957
Apply online 24/7 @ www.jeremyengle.com