Cover of the Q3 2016 Survey of Mortgage Originators

For the 12th consecutive quarter, NAR surveyed a panel of mortgage originators on current trends in lending. This survey covered lenders' experiences in the fall of 2016 and also included questions on the impact of recent policy and regulatory changes.

Key Findings

  • Non-QM lending has not bounced back from the implementation of the risk retention rule, while rebuttable presumption lending continues to gain ground.
Bar graph: Share of production for safe harbor QM, rebuttable presumption QM, and non-QM
  • Credit access for lower-credit prime borrowers is expected to rise while all other categories are likely to moderate.
Bar graph: Outlook for access to credit for mortgages
  • The share of transactions delayed due to TRID rose to 2.6%, but both TRID and non-TRID cancellations fell.
Bar graph: Share of company transactions delayed or cancelled due to TRID
  • More than half of lenders passed TRID-related costs to consumer with a weighted average increase of $220.
Pie chart: Increased fees to cover TRID-related costs
  • Only 16.7% of participating lenders shared the closing disclosure (CD) unconditionally with REALTORS®, while 50% did not share under any circumstances.
Stacked bar graph: Policy with respect to providing REALTORS® with closing documents for transactions involving them
  • 83.3% of respondents indicated that the CFPB's July clarification sharing did not impact their decision to share the CD. Several lenders indicated that more clarification was needed or that they were not aware of the CFPB's statement.
  • The majority of lenders in this survey sold their servicing rights and only 8.3% of respondents indicated that servicing was a factor in determining overlays.
Bar graph: Firm restrictions for riskier borrowers

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