The call for loan-level mortgage data sounded soon after the industry began to pick up the pieces from the housing market crash. It's grown louder since then and the information is slowly becoming more available. But without a way to identify and decipher what it means, the data are worthless. Luckily, there is new technology coming to market that provides lenders, investors and servicers the ability to monitor the loans being originated, evaluate their quality and monitor repayment performance.
Currently, the secondary mortgage market in the United States consists almost entirely of loans purchased by Fannie Mae and Freddie Mac and those insured by the Federal Housing Administration and sold to Ginnie Mae. Private-label investment is limited because of concerns about loan quality. For those private-label investors to return to the mortgage market, there has to be trust in the product that's originated.