ATR/QM Rule Will Further Limit Access to Mortgages, S&P Says
December 2, 2013
The scope of the ability-to-repay/qualified mortgage final rule released earlier this year by the CFPB will make it more difficult for borrowers to obtain loans and tighten already-strict underwriting standards, according to analysts at Standard & Poors Ratings Services. We anticipate that the rule will prevent many of the types of loosely underwritten mortgages that caused systemic risk during the 2006 and 2007 origination period, but may do so at the expense of limiting credit access sometimes to qualified borrowers, they...