CFPB offers online tool that spotlights mortgage trends


July 10, 2014

The CFPB had previously issued the following notice regarding a new online mortgage information tool. We are including the notice in its entirety below.

CONSUMER FINANCIAL PROTECTION BUREAU SPOTLIGHTS MORTGAGE TRENDS WITH NEW ONLINE TOOL

Interactive Heat Map and Graphs Make Local Mortgage Information More Accessible to the Public

Washington, D.C. – Today the Consumer Financial Protection Bureau (CFPB) launched an online tool to provide consumers with easy access to public mortgage information collected under the Home Mortgage Disclosure Act (HMDA). The tool enables greater transparency by helping inform people of
trends in their local mortgage markets.

“Just as the real estate motto ‘location, location, location’ was true before the recent financial crisis, it was true for the crisis. Every community was affected differently,” said CFPB Director Richard Cordray. “Our tool puts valuable information into the hands of the public in an accessible way, so they can understand what is happening in their local mortgage markets. A more transparent mortgage market will lead to a better marketplace and better outcomes for consumers.”

The CFPB’s online HMDA tool is available at: www.consumerfinance.gov/hmda

In 1975, Congress passed the Home Mortgage Disclosure Act requiring most mortgage lenders to make loan information available to the public. In 2012, there were approximately 18.7 million HMDA records from 7,400 financial institutions. This information includes the majority of the country’s mortgage applications and mortgages made – known as loan “originations” – by banks, savings associations, credit unions, and mortgage companies. The public information is important because it helps show whether lenders are serving the housing needs of their communities; it gives public
officials information that helps them make decisions and policies; and it sheds light on lending patterns that could be discriminatory.

The Dodd-Frank Wall Street Reform and Consumer Protection Act transferred HMDA rulemaking authority from the Federal Reserve Board to the CFPB on July 21, 2011. While the CFPB has the rulemaking authority, other federal banking regulators and the Department of Housing and Urban Development still share other authorities. Each year, the Federal Financial Institutions Examination Council (FFIEC), comprised of the federal banking regulators, releases the full public HMDA data set to the public.

The CFPB tool being released today focuses on the number of mortgage applications and originations, in addition to loan purposes and loan types for 2010 through 2012. It looks specifically at first-lien, owner-occupied, one- to four- family and manufactured homes. Using the tool, the public can see
nationwide summaries or they can choose interactive features that allow them to isolate the information for metropolitan areas. The public can easily explore millions of data points with these user-friendly graphs and charts.

Trends and highlights from the information shown by the tool include:

The CFPB is committed to further enhancing the functionality of its online HMDA tool and plans to release additional features over time.

The FFIEC also publishes the full set of HMDA data today. For more information, go to: http://www.ffiec.gov/hmda.

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