CFPB, FHFA release report on how borrowers view mortgage process

The Consumer Financial Protection Bureau (CFPB) along with the Federal Housing Finance Agency (FHFA) released a report on the experiences and perceptions of borrowers during the mortgage process.

© Shutterstock

Since 2014, FHFA and CFPB have sent quarterly surveys to borrowers who recently obtained mortgages. The surveys gather feedback on borrowers’ experiences during the mortgage process, as well as their perceptions and expectations of the mortgage market.

“This year’s survey provides new insights into appraisal satisfaction and willingness to move for borrowers with new mortgages,” Jason Brown, CFPB assistant director for research, said. “With the release of the public use file, we invite researchers to help us understand the challenges facing consumers and help us to find ways to improve the market for consumers.”

Among the highlights, 70 percent of respondents said they were very satisfied with their property appraisal, while 23 percent reported being somewhat satisfied. Only 6 percent were not at all satisfied.

Also, when questioned on their willingness to move from their primary residence, 50 percent of respondents reported being unwilling to move, while 20 percent were unsure about moving. Another 25 percent said they were willing and able to move, while 5 percent said they were willing but unable to move.

Further, 8 percent of respondents selected accommodations for people with disabilities as an important factor in their choice of a mortgage lender/broker.

The data was collected through the National Survey of Mortgage Originations (NSMO). The NSMO is a component of the National Mortgage Database — first comprehensive repository of detailed mortgage loan information designed to support policymaking and research efforts and to help regulators better understand market trends.

“The NSMO provides a unique view of mortgage borrowers, helping illustrate underlying trends that can identify emerging issues in mortgage lending,” Saty Patrabansh, FHFA associate director for the Office of Data and Statistics, said. “The data released today will provide insights into consumer behavior and borrowers’ experiences, leading to better analysis of how mortgage processes could be improved for future borrowers.”