The analysis revealed that the additional information about each applicant substantially reduced the disparity in denial rates but did not eliminate the gap.
Economic factors do explain some of the disparity in denial rates, but race also plays a role.
In conclusion, the Federal Reserve Bank of Boston's study of mortgage lending patterns in the Boston metropolitan statistical area shows that the large disparities in denial rates revealed by the HMDA date are partially attributable have the fact that black and Hispanic applicants have greater debt burdens, higher loan-too-value ratios, weaker credit histories, and other economic characteristics that lenders view with disfavor.