6.22.20
On Monday, June 22, the Consumer Financial Protection Bureau (CFPB) announced two notices of proposed rulemaking regarding the qualified mortgage (QM) patch. The first proposal would revise the QM definition by adopting a loan pricing test in place of the current 43% Debt-To-Income ratio. The second proposal would extend the expiration of the QM Patch until the regulation’s proposed Regulation Z amendments (in the first proposal) are implemented. SFA praised the CFPB’s announcement with CEO Michael Bright commenting, “We appreciate the focus on a transparent, level playing field for the ultimate benefit of consumers in today’s announcement and look forward to working with the bureau further on a holistic solution for the entire housing market ecosystem including consumers across every community.”