The Institutional Risk Analyst

Federal Housing Finance Director William Pulte reappeared on X this past week, promising “decisions” on highly technical areas like loan level pricing adjustments (LLPAs) for Fannie Mae and Freddie Mac. But could director Pulte expound further on just why LLPAs need to be changed at this point in the home price cycle? After all, most home prices are falling.

Consumers and policy makers will probably be surprised to learn how imprecise the world of aggregating consumer data remains in 2026, almost 40 years since the first standardized consumer credit score, known as the FICO Score, was published in the United States in 1989. The fact that several new scores have been published by the aggregators of consumer data has not improved the situation appreciably. How can the consumer finance industry and the regulatory agencies get this r