Collingwood Group Mortgage Industry Outlook Report:
Government Regulation Hobbling Mortgage Industry
WASHINGTON, D.C. (October 7, 2014) – Increased government regulations are hobbling the mortgage industry. That’s the result from the exclusive Collingwood Group Mortgage Industry Outlook Report debuted today. Seventy-eight percent of Mortgage and Housing Industry professionals surveyed said new mortgage regulations are hurting their business and only two percent indicated that it is “extremely likely” that the housing market will improve in the next six months.
Each month, The Collingwood Group, a Washington, DC based advisory firm will survey top Mortgage and Housing Industry officials to assess the state of their business and what it all means for home buyers and sellers.
“The results of our first survey indicate a pretty grim outlook for the next six months,” according to Collingwood Group Chairman Tim Rood, “the fast pace of regulatory enforcement is a 1, 2 punch for many lenders.”
The initial survey conducted in September shows increased government regulations are forcing the industry to tighten credit availability and are making it tougher for potential home buyers to get loans. Further, the Collingwood Group Mortgage Industry Outlook report suggests all this is having a strong impact on businesses’ bottom lines.
“Many lenders are torn between making credit available to lower credit score borrowers and mitigating exposure to regulatory risk,” explains Brian Montgomery, Collingwood Vice Chairman and former Acting United States Secretary of Housing and Urban Development and Commissioner of the Federal Housing Administration.
We invite you to download the complete report here.