The updated Metropolitan Statistical Areas (“MSAs”) and Metropolitan Divisions (“MDs”), and changes to county-equivalents in Connecticut, took effect for Home Mortgage Disclosure Act (“HMDA”) data collected in 2024. These geographic changes will have implications for home mortgage lenders’ redlining risk assessments. Lenders must ensure they monitor their redlining risk under the new geographic definitions, and should consider additional analyses looking at previous years of HMDA data through the lens of these new definitions in order to determine trends.
In this CRA Insights, the authors Adam Gailey and Eric Simms use the examples of three metro areas and the state of Connecticut to highlight the changes in the geographies, explore implications for lenders, and discuss options for institutions performing redlining analyses.
Read more about how changes to Metro Area definitions in the 2024 HMDA data will impact redlining analyses.
