The CFPB and Federal Housing Finance Agency (FHFA) recently published for public use updated loan level data from the National Survey of Mortgage Originations (NSMO). The data also provide updated mortgage performance and credit information for a nationally representative sample of mortgage borrowers from 2013 to 2020. The NSMO public use file may be accessed here.
In releasing the updated data, the CFPB and FHFA highlight certain changes from 2019 to 2020. In 2020, mortgage refinance volume was historically high given the very low interest rates at the time, and the mortgage industry also had to cope with health safety issues presented by COVID-19. The CFPB and FHFA set forth the following “key highlights”:
- The percentage of mortgage borrowers who reported that using a paperless online mortgage process was important to them increased from 42% in 2019 to 48% in 2020.
- The percentage of mortgage borrowers who reported that the mortgage closing did not occur as originally scheduled increased from 17% in 2019 to 21% in 2020.
- The percentage of mortgage borrowers who rated themselves very familiar with available interest rates increased from 55% in 2019 to 69% in 2020.
- The percentage of mortgage borrowers who reported being very satisfied that they got the lowest interest rate for which they could qualify increased from 67% in 2019 to 75% in 2020.
- Borrowers who refinanced in 2020 were more well off financially than those who refinanced in 2019. Specifically, the percentage of mortgage borrowers who reported:
- That their household income was $175,000 or higher increased from 20% in 2019 to 29% in 2020.
- That they owned stocks, bonds, or mutual funds increased from 43% in 2019 to 53% in 2020.
- The percentage of mortgage borrowers who refinanced their loan and reported that they were not at all concerned about qualifying for the new loan increased from 66% in 2019 to 76% in 2020.
The NSMO is part of the National Mortgage Database (NMDB). The CFPB and FHFA describe the NMDB as “the first comprehensive repository of detailed mortgage loan information designed to support policymaking and research efforts and to help regulators better understand emerging mortgage and housing market trends.”