Developments in Securities Regulation, Corporate Governance, Capital Markets, M&A and Other Topics of Interest. MORE

FannieMae has released a survey that indicates the CFPB’s Ability-to-Repay (“ATR”) and Qualified Mortgage (“QM”) rules will lead to increased lender costs.  Specifically, most firms (74%) reported that they expect their operational costs to increase as a result of QM rules. Lenders, on net, expect to tighten credit standards as a result of QM rules, with 36% of lenders reporting expected tightening and 6% of lenders reporting expected easing.  In addition, most lenders (80%) say they “do not plan to pursue non-QM loans” or prefer to “wait and see (business as usual). Larger lenders are more likely to pursue non-QM loans to increase their market share.


Stinson Leonard Street LLP provides sophisticated transactional and litigation legal services to clients ranging from individuals and privately held enterprises to national and international public companies. As one of the 75 largest firms in the U.S., Stinson Leonard Street has more than 520 attorneys and offices in 14 cities, including Minneapolis, Mankato and St. Cloud, Minn.; Kansas City, St. Louis and Jefferson City, Mo.; Phoenix, Ariz.; Denver, Colo.; Washington, D.C.; Decatur, Ill.; Wichita and Overland Park, Kan.; Omaha, Neb.; and Bismarck, N.D.

The views expressed herein are the views of the blogger and not those of Stinson Leonard Street or any client.