The threshold for exempting higher-price mortgage loans has been increased
The threshold for exempting higher-price mortgage loans has been increased.
The Consumer Financial Protection Bureau (CFPB), Board of Governors of the Federal Reserve System, and Office of the Comptroller of the Currency (OCC) announced Monday that from January 1, 2018 the threshold will increase by $500 to $26,000.
This takes into account the annual percentage increase in the consumer price index for urban wage earners and clerical workers.
The requirement that lenders obtain a written appraisal based on a physical visit to the home's interior before making a higher-priced mortgage loan was part of the Dodd-Frank Wall Street Protection Act 2010 and includes the exemption for small loans.
The exemption is only increased where there is an annual increase in the Consumer Price Index CPI-W metric and is rounded to the nearest $100.
The Consumer Financial Protection Bureau (CFPB), Board of Governors of the Federal Reserve System, and Office of the Comptroller of the Currency (OCC) announced Monday that from January 1, 2018 the threshold will increase by $500 to $26,000.
This takes into account the annual percentage increase in the consumer price index for urban wage earners and clerical workers.
The requirement that lenders obtain a written appraisal based on a physical visit to the home's interior before making a higher-priced mortgage loan was part of the Dodd-Frank Wall Street Protection Act 2010 and includes the exemption for small loans.
The exemption is only increased where there is an annual increase in the Consumer Price Index CPI-W metric and is rounded to the nearest $100.
