Could the new Qualified Mortgage (QM) rule bring about a dangerous housing bubble?
Could the CFPB be worried that its ability-to-repay/qualified mortgage rule is already contracting the availability of mortgage credit?
Possible fraudulent lending activity increased last year just as the Consumer Financial Protection Bureau prepared to issue new regulations requiring lenders to verify borrowers’ financial records and ability to repay mortgages.
The U.S. Consumer Financial Protection Bureau (CFPB) is expected to deliver the definitions and rules that make a qualified mortgage.
Most industry watchers believe that the housing market finally turned the corner in 2012, stabilizing and beginning a sustainable recovery after a protracted, seemingly endless down cycle.