Fact Sheet: President Donald J. Trump Promotes Access to Mortgage Credit

3/13/2026

Fact Sheets

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Action Summary

Objective: Expand access to home loans by reducing regulatory burdens that have increased mortgage costs and limited lending by community banks.
Regulatory Reforms:
- CFPB directed to tailor mortgage rules for smaller banks and modernize HMDA reporting to cut compliance burdens and safeguard borrower privacy.
- Federal banking regulators instructed to revise supervisory guidance, emphasizing prudent underwriting over technical, process-oriented approaches.
- Reforms in capital and liquidity rules include tailoring risk weights, expanding access to FHLB advances, and creating targeted liquidity programs for residential mortgage assets.
Appraisal Modernization: Promote updates to appraisal regulations by expanding alternative valuation models, reducing unnecessary requirements for low-risk transactions, and setting clearer timelines.
Digital Mortgage Modernization: Expand the use of electronic signatures, e-notes, and remote online notarization to reduce lending costs and shorten homebuying timelines.
Market Competition: Address more than a decade of regulatory influences that have reduced community bank participation, weakened lender competition, and increased homeownership costs, particularly affecting rural, low- and moderate-income, and first-time buyers.
Complementary Actions:
- Prior Executive Order to prevent institutional investors from buying single-family homes.
- Mandated initiatives for Fannie Mae and Freddie Mac to purchase $200 billion in mortgage-backed securities to lower borrowing costs.
Broader Impact: Part of a larger deregulatory and pro-growth agenda that includes significant tax cuts, reduced red tape, lower inflation, boosted GDP growth, and trillions in investments.

Risks & Considerations

The Executive Order aims to reduce regulatory burdens on mortgage lending, which may lead to increased competition among lenders. While this could lower mortgage costs, it may also result in a decline in lending standards, potentially increasing the risk of defaults and financial instability.
By promoting community banks and smaller lenders, there is a risk that larger financial institutions may respond by tightening their lending practices or engaging in competitive practices that could lead to market distortions.
The modernization of appraisal regulations might lead to inconsistencies in property valuations, increasing the risk of overvaluation in certain markets, which could impact the housing market’s stability.
Vanderbilt University may need to consider how these changes in the mortgage lending environment could affect students’ financial situations, especially those seeking to purchase homes while attending the university.

Impacted Programs

Vanderbilt’s Financial Aid Office may need to adapt its strategies to account for changes in the housing market, particularly as affordability and access to mortgage credit evolve.
The Owen Graduate School of Management could see increased interest in research around housing finance and its impacts on local economies, offering opportunities for collaboration and study.
Programs focused on community engagement might need to reassess initiatives aimed at supporting students and families in navigating the housing market, especially for first-time buyers.
Vanderbilt’s Department of Economics could find new avenues for research in the implications of deregulation on housing markets and economic growth.

Financial Impact

The reduction of regulatory burdens may lead to increased mortgage lending activity, which could stimulate local economies, potentially benefiting Vanderbilt’s surrounding community.
There may be changes in the financial landscape affecting the university’s funding opportunities, especially if new mortgage products become more prevalent.
As homeownership becomes more accessible due to lower costs, Vanderbilt could see an increase in applications from students who are also prospective homebuyers, impacting the demographics of its student body.
The potential for increased competition among lenders might lead to fluctuations in housing prices, which could affect the local housing market and the affordability of housing for faculty and staff.

Relevance Score: 3 (The order presents moderate risks involving compliance and financial implications for the university and its community.)

Key Actions

The Office of Financial Aid should assess the potential impacts of the executive order on housing affordability for students and staff. By understanding how changes in mortgage credit access may affect community demographics, the university can adjust its financial aid strategies accordingly to support those impacted.
The Department of Community Engagement should explore partnerships with local community banks to enhance access to mortgage lending for university employees and local residents. By collaborating on community outreach programs, Vanderbilt can help facilitate affordable housing options within the community.
The University’s Legal and Compliance Office should stay updated on the regulatory changes stemming from the executive order, particularly those affecting lending practices. This will ensure that the university remains compliant and can provide guidance to its community on navigating these changes.
The Vanderbilt Real Estate Office should evaluate the implications of the executive order on the housing market in Nashville. Understanding the potential increase in competition and changes in lending practices can inform the university’s real estate investment strategies.
The Office of Strategic Planning should analyze the potential economic benefits stemming from the executive order, particularly how it may impact local economic growth and housing accessibility. This analysis can be useful in aligning the university’s strategic goals with community development initiatives.

Opportunities

The executive order presents an opportunity for Vanderbilt’s research initiatives to explore the effects of improved access to mortgage credit on community development. By conducting studies in this area, the university can contribute valuable insights to policymakers and enhance its role as a thought leader in economic research.
Vanderbilt can capitalize on the increased focus on homeownership by developing educational programs for students and community members on navigating the mortgage process. This could enhance the university’s reputation as a community resource and improve financial literacy among its constituents.
The emphasis on supporting low- and moderate-income families through mortgage initiatives offers an opportunity for Vanderbilt’s Center for Economic Education to engage in policy advocacy and community outreach. By providing resources and support, the center can help families take advantage of the new lending opportunities.
The order’s focus on digital mortgage modernization aligns with Vanderbilt’s commitment to innovation. The university can explore research partnerships with fintech companies to develop new technologies that improve the mortgage application process for borrowers.
By engaging with local policymakers and community leaders, Vanderbilt can position itself as a key player in the conversation around housing policy reform, further establishing its role as a vital contributor to Nashville’s economic landscape.

Relevance Score: 4 (The order presents the potential for major process changes required for Vanderbilt’s engagement in community housing initiatives and financial education.)

Average Relevance Score: 2.8

Timeline for Implementation

N/A – the directive does not specify any concrete deadlines or timelines for implementation.

Relevance Score: 1

Impacted Government Organizations

Consumer Financial Protection Bureau (CFPB): Directed to tailor mortgage rules, modernize HMDA reporting requirements, and support regulatory efforts to reduce compliance burdens on smaller banks.
Federal Banking Regulators (e.g., OCC, FDIC, Federal Reserve): Tasked with revising supervisory guidance, reforming capital and liquidity rules, and modernizing appraisal regulations to support community banks and enhance lending practices.
Federal Home Loan Banks (FHLB): Instructed to expand access to longer-dated FHLB advances and create targeted liquidity programs for entry-level housing lending.
Fannie Mae & Freddie Mac: Directed to purchase $200 billion in mortgage-backed securities, thereby contributing to the aim of lowering borrowing costs and enhancing mortgage market competition.

Relevance Score: 2 (A moderate number of Federal Agencies are directly impacted by the order.)

Responsible Officials

Consumer Financial Protection Bureau (CFPB) Leadership – Tasked with tailoring mortgage rules and modernizing Home Mortgage Disclosure Act (HMDA) reporting requirements.
Federal Banking Regulators – Directed to revise supervisory guidance, modernize appraisal regulations, reform capital and liquidity rules, and consider new supervisory criteria for portfolio mortgage servicing.
Fannie Mae and Freddie Mac Executives – Instructed to purchase $200 billion in mortgage-backed securities to support more competitive mortgage rates.

Relevance Score: 4 (Directives affect agency heads responsible for implementing major regulatory reforms and financial market operations.)