The HMDA data tell a great deal about lending patterns, but they do not tell the entire story. Nonetheless, by drawing attention to lending patterns, the data prompt discussion, investigation, analysis, and research that may deepen our understanding of why these patterns occur and allow us to increase fairness and efficiency in the home loan market.
For example, in 1991, congressional amendments to HMDA resulted in the disclosure of data that, for the first time, revealed black and Hispanic applicants for mortgage loans were far more likely than non-Hispanic white applicants to have their applications denied.