National datasets on 2021 mortgage lending transactions reported under the Home Mortgage Disclosures Act (HMDA) by 4,338 U.S. financial institutions – banks, savings associations, credit unions, and mortgage companies – was released to the public Thursday by the federal financial institution regulatory agencies.
Acting under the umbrella of the Federal Financial Institutions Examination Council (FFIEC), the agencies also released the Snapshot National Loan-Level Dataset, which contains the national HMDA datasets as of May 1, 2022. The FFIEC shared the following key observations from this snapshot:
- For 2021, the number of reporting institutions declined by about 3.1% from 4,475 in the previous year to 4,338.
- The 2021 data include information on 23.3 million home loan applications. Among them, 21.1 million were closed-end and 1.8 million were open-end. Another 350,000 records are from financial institutions making use of Economic Growth, Regulatory Relief, and Consumer Protection Act’s (EGRRCPA) partial exemptions and did not indicate whether the records were closed-end or open-end.
- The share of mortgages originated by non-depository, independent mortgage companies has increased and, in 2021, accounted for 63.9% of first lien, one- to four-family, site-built, owner-occupied home-purchase loans, up from 60.7% in 2020.
- In terms of borrower race and ethnicity, the share of closed-end home purchase loans for first lien, one- to four-family, site-built, owner-occupied properties made to Black or African American borrowers rose from 7.3% in 2020 to 7.9% in 2021, the share made to Hispanic-White borrowers increased slightly from 9.1% to 9.2%, and those made to Asian borrowers increased from 5.5% to 7.1%.
- In 2021, Black or African American and Hispanic-White applicants experienced denial rates for first lien, one- to four-family, site-built, owner-occupied conventional, closed-end home purchase loans of 15.7% and 9.8% respectively, while the denial rates for Asian and non-Hispanic-White applicants were 7.5% and 5.6% respectively.
Other data products released Thursday include the HMDA Dynamic National Loan-Level Dataset, which is updated on a weekly basis to reflect late submissions and resubmissions; and Aggregate and Disclosure Reports, which give summary information on individual financial institutions and geographies. The FFIEC said users can use the HMDA Data Browser to create custom tables and download datasets that can be further analyzed.
The FFIEC noted also that beginning in late March 2022, it made available Loan/Application Registers for each HMDA filer of 2021 data, modified to protect borrower privacy.