Dodd-Frank reform bill passed in House, approval now pending from President Trump

Key Highlights

  1. Mortgage Bankers Association and National Association of Realtors both supporth passage of this bill
  2. Will loosening of regulation make up for lost sales volume from higher interest rates?

Let’s see what if any new mortgage products will hit the market as a result of this loosening of regulations. I suspect it will mainly be a loosening of the ridiculous amounts of unnecessary disclosures and mandatory waiting periods involved in the 1-4 unit residential mortgage market.

Bill passes 258 to 159

2 thoughts on “Dodd-Frank reform bill passed in House, approval now pending from President Trump”

  1. How many disclosures are there and how many will be eliminated? Is there a difference between them? Why do we need new products and how will they help the new buyers?

    • Hi Rich,

      Without going into a bunch of boring detail currently a final loan doc closing package is 2-3 inches thick. They are a combination of federal and state mandated documents. I don’t know what exactly the changes to the federal side due to these changes (won’t affect state). Probably won’t be much.

      Getting a loan can be tough…a lot of hoops to jump through. Its done to minimize risk for those lending money. New programs mean new opportunities to buy for those that may not have qualified in the past and new opportunities to invest for investors.

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