LOAN-FEATURE SEGMENTATION
Interest-Only, Balloon & Penalty Lending
HMDA carries five loan-feature flags nobody aggregates — interest-only payments, balloon payments, negative amortization, other non-amortizing features, and prepayment-penalty terms. This board is those five columns, over closed-end 1-4 family first-lien originations for 2025, per lender.
Loans with a non-amortizing or penalty feature · 2025
4.3%
$135.4B originated
Interest-only share · 2025
3.1%
HELOCs excluded by construction
Prepayment-penalty share · 2025
0.3%
term in months, not a flag
Feature-flag reporting coverage · 2025
96.4%
the rest claimed partial exemption
Largest feature books
Most loans with at least one feature, 2025
Most concentrated in features
Highest feature share among lenders with 500+ base originations, 2025
Feature share by activity year
Share of closed-end 1-4 family first-lien originations
THIS IS NOT A NON-QM BOARD
HMDA carries no QM field. An interest-only or balloon loan can be perfectly Qualified-Mortgage compliant, and a loan with none of these five features can fail QM on debt-to-income alone. What is on this page is the publisher's feature flags — nothing here is a QM determination, and a lender near the top of a board is not thereby a non-QM lender.
The denominator is closed-end 1-4 family first-lien originations, not the full HMDA universe. Home-equity lines of credit are open-end by definition and overwhelmingly interest-only, so counting them would turn the interest-only share into a HELOC share. That is rung 4 of the origination scope ladder. A flag the filer did not report — including the partial-exemption sentinel — is not read as “no”; the reporting-coverage tile is how much of the base actually answered.
FREESource: HMDA public loan-application data (CFPB/FFIEC), action taken = 1, activity year 2025. Data attribution.