Methodology & sources

Data source

CFPB / FFIEC HMDA Data Browser (loan-level public dataset). We use the loan-level public file for 2024, the most recent year available, accessed through the CFPB HMDA Data Browser. The universe is single-family 1-4 unit, site-built; home purchase + refinance + cash-out; originated & denied. HMDA is a U.S. government work in the public domain.

For each state we separate investor loans (the property is an investment property) from owner-occupant loans, then compute medians from the full distribution of reported values. National figures are computed from the pooled 50-state-plus-DC distribution, not as an average of state medians.

How each metric is defined

Investor rate premium

Median interest rate on investor (occupancy_type = 3) originations minus the median rate on owner-occupant (occupancy_type = 1) originations, in basis points.

Denial rate

Denied investor applications ÷ (originated + denied investor applications).

Investor share

Investor originations ÷ all single-family 1-4 originations (any occupancy) in the state.

DSCR / business-purpose share

Investor originations flagged business_or_commercial_purpose = 1 ÷ all investor originations.

Cash-out share

Investor originations with loan_purpose = 32 (cash-out refinance) ÷ all investor originations.

Median LTV

Median loan_to_value_ratio on investor originations.

Coverage caveats

No dataset is perfect. These limits matter when interpreting the numbers — we state them plainly so the report can be cited with confidence.

Financed loans only

HMDA records mortgage applications and loans, so all-cash investor purchases — a large share of investor activity — are not captured. Read every figure as describing the financed market.

Business-purpose loans are partially covered

Under Regulation C (12 CFR 1003.3(c)(10)), a business-purpose loan secured by a dwelling is reported only when it is a home purchase, home improvement, or refinance. Most DSCR purchase and refinance loans qualify, but the full private-lending universe is undercounted. Treat the business-purpose share as a floor.

Agricultural loans excluded

Loans used primarily for agricultural purposes are excluded under 12 CFR 1003.3(c)(9), so farm and rural-ag investor loans drop out.

Privacy modifications

The public file rounds property value to the nearest $10,000 and bins debt-to-income and age. Interest rate and loan amount are disclosed, so the rate-premium analysis uses exact reported rates.

Small-filer exemptions

Some smaller institutions report partial data ("Exempt" fields). Rows missing a usable interest rate or loan-to-value are excluded from those medians; rate coverage exceeds 90% nationally.