Promoting Access to Mortgage Credit

Executive Order Number: 14393
President: Donald Trump
Signed: March 13, 2026
Published: March 18, 2026
Source: Federal Register
Original Document: https://www.govinfo.gov/content/pkg/FR-2026-03-18/pdf/2026-05384.pdf

AI-Generated Summary

Executive Order 14393: Promoting Access to Mortgage Credit (March 13, 2026)

Purpose

The order seeks to enhance access to affordable mortgage credit for creditworthy Americans, particularly rural, low- and moderate-income households, by reducing regulatory burdens from Dodd-Frank Act rules and subsequent regulations. These burdens have diminished community bank participation in mortgage lending, concentrated risks outside banks, and limited credit availability. Policy goals include tailoring rules for community and smaller banks (assets under $100 billion), fostering innovation and competition, modernizing processes, aligning capital/liquidity frameworks, and strengthening housing-finance liquidity.

Key Actions and Directives

The order directs multiple agencies (e.g., CFPB, Federal Reserve, FDIC, NCUA, OCC, FHFA, HUD, VA, USDA) to consider, as appropriate and consistent with applicable law, various reforms across these areas:

Origination and ATR/QM Reform (Sec. 2): CFPB to propose tailoring ATR/QM, TRID, TILA/RESPA rules for smaller banks; replace TRID timing with materiality standard; exempt/modify points/fees caps; modernize rescission; streamline refinancing. Supervisors to revise guidance for outcome-focused exams and correction-first treatment.
HMDA Modernization (Sec. 3): CFPB to raise reporting thresholds, exclude inquiries, protect privacy, reduce burdens.
Capital and Liquidity Alignment (Sec. 4): Tailor risk weights for mortgages/servicing; modernize FHLB/Fed collateral systems; expand FHLB advances/liquidity programs; FHFA report on housing finance efficiency within 120 days.
Construction Lending (Sec. 5): Exclude 1-4 family residential from commercial RE concentration guidance.
Appraisal Modernization (Sec. 6): Expand alternative valuations (e.g., AI, desktop); simplify qualifications; reduce for low-risk loans; align HUD/VA standards.
Digital Mortgage Modernization (Sec. 7): Eliminate wet signatures; standardize e-signatures, e-notes, remote notarization.
Servicing and Supervisory Certainty (Sec. 8): Support portfolio servicing; extend cure-first standards; simplify loss mitigation; exempt smaller banks from complex rules.
Enforcement (Sec. 9): Policy against penalties for non-willful violations; emphasize correction and good conduct.
Licensing (Sec. 10): Eliminate duplicative requirements for smaller bank mortgage officers.

Implementation is subject to law, appropriations, and standard EO provisos (Sec. 11).

Significant Changes to Policy or Law

No immediate statutory changes; directs consideration of amendments/revisions to regulations (e.g., Reg Z, Reg C, capital rules) and supervisory guidance.
Potential shifts: Broader QM safe harbors for portfolio loans; materiality-based disclosures; tailored risk weights; expanded FHLB/Fed access; reduced reporting/enforcement focus on technical compliance.
Emphasizes prudent underwriting over process, good-faith corrections, and outcome-based supervision.

Potential Impacts

Government agencies: Increased coordination; workload for rule proposals/guidance revisions; FHFA report may spur further reforms.
Citizens/borrowers: Improved mortgage access/affordability for creditworthy individuals, especially via community banks; faster closings, lower costs from digital/modernized processes.
Mortgage market: Greater community bank participation; reduced non-bank dominance; enhanced competition potentially lowering rates; boosted housing supply/liquidity.
International relations: None apparent.

Main Stakeholders

Community/smaller banks (<$30B–$100B assets): Primary beneficiaries via burden relief.
Borrowers: Rural, low/moderate-income households.
Regulators: CFPB, Federal Reserve, FDIC, NCUA, OCC, FHFA, HUD, VA, USDA.
Other: Federal Home Loan Banks (FHLBs), mortgage servicers/originators, appraisers, housing developers.

Notable Legal, Constitutional, or Political Implications

Legal: Relies on agency discretion ("shall consider"); non-binding on rulemaking/enforcement; includes disclaimers preserving agency authority and avoiding private rights of action.
Constitutional: Invokes presidential authority under Constitution/laws; consistent with executive oversight of independent agencies.
Political: Deregulatory focus could enhance lending but risks consumer protections; may invite litigation if reforms perceived as weakening post-financial crisis safeguards (e.g., Dodd-Frank). FHFA report could inform legislative proposals.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.