More than half of mortgage loans originated between 2005 and 2007 and foreclosed within two years had features that the Qualified Mortgage rule restricts, the Consumer Financial Protection Bureau said. However, these loans had largely disappeared from the market prior to the adoption of the 2013 QM rule, the agency said in a five-year assessment of the regulation.
In a separate report on its RESPA mortgage-servicing rule, the CFPB said delinquent loans were less likely to proceed to foreclosure after it took effect in 2014. The report estimates that at least 127,000 fewer borrowers who became delinquent that year would have recovered from delinquency within three years if the rule had not been implemented.
Read the QM Assessment
Read the RESPA Report