NYDFS INVESTIGATES POTENTIAL REDLINING, ISSUES ANNUAL MINORITY MORTGAGE LENDING REPORT

•   According to NYDFS, this is the second annual report, reviewing lending activity based on the New York Home Mortgage Disclosure Act (“HMDA”) data from 2023.

•   As in last year’s report, NYDFS analyzed mortgage lending in 23 different geographies, including New York State as a whole, all metropolitan statistical areas (“MSAs”) within the state, and a selection of counties within those MSAs.

•   DFS identified some changes in mortgage lending in New York State between the 2022 and 2023 data: the percentage of mortgages made in majority-minority tracts (MMTs) decreased slightly, from 20.69% of all mortgages in 2022 to 19.74% of all mortgages in 2023, even though the percentage of mortgage applications for properties in MMTs remained roughly consistent (23.97% of all applications in 2022 to 23.24% of all applications in 2023).

•   The percentage of originations to minorities remained almost the same, going from 28.08% of all originations in 2022 to 27.94% of all originations in 2023.

•   NYDFS noted that the analyses contained in its report, alone, are not sufficient to show discriminatory intent and should not be taken as such.