Minority Borrowers Still Trail in Purchase Mortgages; Nonbanks Dominate Top 2021 Mortgage Lender List

Minority borrowers increased their share of purchase mortgages received in 2021, but still trail white borrowers by a huge margin, an examination of initial Home Mortgage Disclosure Act data found.

Nonbanks took up an increasing share of lending activity compared to banks in 2021, a separate look at the data found.

Purchase mortgages totaled 4.5 million last year, along with 7.1 million of refinancings and 467,723 home improvement loans originated, according to the LendingPatterns report from ComplianceTech. While the purchase total increased from the 4.2 million produced in 2020 and home improvement rose from 394,717, refis fell from 7.3 million.

While all groups of home buyers recorded an increase in units originated, the incremental shifts in market share still do not reflect the percentage of the U.S. population for each.