Reg Q was phased out during the 1980s; state usury laws capping mortgage rates were abolished; restrictions on interstate banking were lifted by the mid-1990s; and lenders were permitted to offer adjustable-rate mortgages as  7  Mahoney and White (1985) reported that the net worth of 156 thrift institutions was less than 1 percent of assets in 1984; when reported net worth was adjusted to exclude regulatory additions that did not represent true capital, this figure swelled to 253.
BIS Review 95/2007  7  well as mortgages that did not fully amortize and which therefore involved balloon payments at the end of the loan period. Critically, the savings and loan crisis of the late 1980s ended the dominance of deposit-taking portfolio lenders in the mortgage market.