The Federal Housing Finance Agency (FHFA) and Consumer Financial Protection Bureau (CFPB) have teamed up to begin work on the National Mortgage Database, which is being billed as the first-ever ‘comprehensive repository of detailed mortgage loan information.’ Development of the database, which is being designed to track as far back as 1998, is now underway, and the agencies expect early versions of the full dataset to be complete in 2013.
According to the agencies, the database will primarily be used to ‘support the agencies' policymaking and research efforts and to help regulators better understand emerging mortgage and housing market trends.’ The agencies claim that the database is being created due to a ‘lack of comprehensive data available on a complete, national scale.’
The database is being designed to match a nationwide sampling of credit bureau files on borrower's mortgages and payment histories with informational files, such as the Home Mortgage Disclosure Act database, property valuation models, and other data files to create a comprehensive picture for each mortgage. The database will include loan information spanning from origination through servicing, and it will also include a variety of borrower characteristics including financial and credit profiles, the properties being purchased or refinanced and the ongoing payment history of the loan.
However, the agencies stress that the database will not contain personally identifiable information. It is not certain whether the database will be accessible outside of the FHFA and the CFPB.
‘This partnership between the FHFA and the CFPB will create a unique resource that benefits the government and public as we seek to answer important questions about how the housing finance market is evolving and changing,’ says FHFA Acting Director Edward DeMarco. ‘This collaborative effort is a great way to pool expertise and leverage resources for the benefit of regulators and the public.’
‘In order to understand what is going on in the mortgage marketplace and develop appropriate consumer protections, we must have the best facts and data,’ says CFPB Director Richard Cordray. ‘This database will be a valuable tool for regulators and researchers and we look forward to partnering with FHFA on this important work.’