Impact of Ability-to-Repay and Qualified Mortgage Rules on Residential Mortgage Loan Purchasers, RMBS Participants and Mortgage Industry Investors

October 03, 2013

Loan originators, their advisors and service providers are moving rapidly to achieve compliance by January 10, 2014 with the Consumer Financial Protection Bureau’s (“Bureau’s”) new rule, which generally imposes an affirmative obligation on mortgage lenders to document a customer’s ability-to-repay whenever a residential mortgage loan is made (“ATR Rule”). The ATR Rule provides certain legal protection from suitability challenges with respect to loans that are treated as qualified mortgages (“QMs”).

Read "Impact of Ability-to-Repay and Qualified Mortgage Rules on Residential Mortgage Loan Purchasers, RMBS Participants and Mortgage Industry Investors."