Election Impact on Housing
There has been much discussion this week about the outcome of the midterm elections and what the implications of a Republican house and senate will be on the housing industry. Collingwood speculates that with the Republicans in control of both houses of Congress there could be some pressure for various officials to relax the regulatory requirements and reduce the level of enforcement actions. Collingwood Chairman, Tim Rood, appeared on Fox Business Network’s Cavto Thursday night to discuss this topic and noted that the new congress will be poised to loosen regulations that are keeping housing down. He says that, “With the Republican controlled congress there is going to be a lot of energy around loosening some of the incredibly tight regulations around the lending activities.”
Rood also told Cavuto, “Over the last two years lenders have had to adopt about 300 new rules that have to do with what you originate, how you can originate it, how you manufacture it, how you service it. It’s unprecedented to say the least. “
The October edition of Collingwood’s Mortgage Industry Outlook Report released this week illustrates the frustration that the industry has been experiencing around regulations and enforcement actions. The report should provide a blueprint to the newly Republican Controlled Congress that mortgage regulations need to change—our survey finds 80% of respondents feel that the enforcement of regulations are “somewhat” to “extremely” unfair—clearly they are looking toward Congress to do something. The full results of our monthly survey of mortgage industry professionals is now available for download. Click below to download the complete report.