Federal Housing Finance Agency and Consumer Financial Protection Bureau to Partner on Development of National Mortgage Database

November 1, 2012 FHFA and CFPB announced creation of a National Mortgage Database—the first comprehensive repository of detailed mortgage loan information. The database will primarily be used to support the agencies’ policy making and research efforts and to help regulators better understand emerging mortgage and housing market trends.

“This partnership between FHFA and CFPB will create a unique resource that benefits the government and public as we seek to answer important questions about how the housing finance market is evolving and changing,” said FHFA Acting Director Edward J. DeMarco. “This collaborative effort is a great way to pool expertise and leverage resources for the benefit of regulators and the public.”

“In order to understand what is going on in the mortgage marketplace and develop appropriate consumer protections, we must have the best facts and data,” said CFPB Director Richard Cordray. “This database will be a valuable tool for regulators and researchers and we look forward to partnering with FHFA on this important work.”

Examples of how the National Mortgage Database can support the agencies’ work include:

  • Monitor the relative health of mortgage markets and consumers. The database will provide detailed mortgage loan performance information including whether payments are made on-time, as well as information regarding loan modifications, foreclosures, and bankruptcies. This will help policy makers better understand how various products are being used and how they are performing. 
  • Provide new insight on consumer decision making. Agencies will be able to use the database to conduct surveys to better understand consumer decision making and experiences across a range of topics such as mortgage shopping or distressed homeownership.
  • Monitor new and emerging products in the mortgage market. The database will allow the agencies to monitor volume and performance of products in the mortgage market and help regulators to identify potential problems or new risks. 
  • View both first and second lien mortgages for a given borrower. Policy makers increasingly need visibility into how many mortgages consumers may have and how they’re performing. The National Mortgage Database will be the first comprehensive database to permit such analysis.
  • Understand the impact of consumers’ debt burden. The database will also include information about a borrower’s other debt obligations, such as auto loans or student loans. This will permit policymakers to better understand emerging borrowing trends and overall consumer debt burden.

It is expected to have a first version out in 2013.