Americans want to live the American dream, just like everyone else who comes here. Give them the chance, and see how great our economy can become. Sadly, many of those who want to work can’t find gainful employment and have been looking too long, dropping off the list of unemployed and not counted in the out-of-work statistic the government charts. In spite of this problem, more homes are selling this year than last. In fact, seven California cities were among the top 14 American cities for recently reported home sale growth. Sale prices in La Jolla, and throughout the state, are up year over year. The National Association of Realtors reports more states are breaking home sales price records as inventories are depleting. The national median home price of $236,400, reported for June of 2015, is 6.5 percent above year- ago levels. The last peak was in July of 2006, but the price averaged $6,000 less. Commercial properties have appreciated, as well. Per property information provider CoreLogic, 15 states reached new residential pricing highs in June of 2015. California had been in the top 14 states until recently. Generally, home prices have been appreciating for four years in a row. These numbers are encouraging. There is a cloud behind the euphoria, though. Tight guidelines make it harder for trade-up buyers to qualify. Increasingly, they are staying in their homes in Southern California. Also encouraging is the fact that interest rates remain low. China recently devalued the yuan. The immediate trickle-down effect to the American mortgage market is that home interest rates will continue to be in a low range a bit longer. If you can buy or refinance, now is the time. The Consumer Financial Protection Bureau (CFPB), which falls under the Dodd Frank Act, is behaving without supervision, because it has none. Director Richard Cordray reportedly runs the bureau unfettered by rules or oversight. He has extracted settlements from lenders for a variety of infractions, known and unknown. Even when an initially expected settlement had been reached, he reportedly has upped the fees as much as $200,000 or much more. Only the largest lenders can survive such fines, and not for long. Consequently, all lenders have become even more cautious and err on the side of not doing loans. As a result many families that could enjoy homeownership are unable to quality, even when their profile makes sense. The ratio of home ownership to renting is now as low as it was in 1967 (this has been reported by several news sources)! So prices are up, but percentage of ownership is down. Rents will obviously be going up; this has already begun. Rates will start creeping up even more this year. With fewer people working and fewer that can qualify for loans, an even bigger gap in home ownership is being created. What are we to do? Interestingly, the “too big to fail” banks have made loans to the top percentage of super-well- qualified buyers/investors. In my mortgage business, I have found an increasing need to shop a client’s scenario anonymously for him or her to find the best fit for the loan. As a broker, I have a plethora of choices for lenders and am not confined to one bank. But a few private mortgage companies like mine, will not be able to stem the tide forever. If the Fed doesn’t take a look at the monster CFPB it has created and adjust and define regulations, the problem will exacerbate. As it now stands, as of Oct. 1, new guidelines will be in effect. We have taken classes on the new forms and time frames that are changing, but nothing has been sufficiently defined. The CFPB has no clear rule book for lenders to follow. Underwriting guidelines are stringent, yet somewhat flexible in some cases. Fannie Mae and the FHA have just announced a reduction in the waiting period for a new loan after a life-shattering event. Short sales, bankruptcy and preforeclosure used to take a four-year waiting period before getting a new loan. As of today, it is two years and one year, respectively. We all want to do the right thing. Most of us have clients’ best interests at heart. Congress: Tell everyone what the rules are, and we will follow them. We all want happy homeowners!