A new study from the Federal Reserve looks past all the inconclusive studies of the QM’s impact on mortgage availability to conclude that non-conforming high-DTI loan volume dropped markedly in concert with significant price increases as the QM kicked in. Because the study’s data go beyond prior research to look at the QM through September of 2018, it captures the impact of sharp increase in GSE and FHA volume in the high-DTI sector which was insufficient to protect non-conforming borrowers outside FHA or VA.
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