5 trends that will shape the mortgage industry in 2018

Many of the key issues and trends that shaped 2017 will play an even bigger role in the mortgage industry in 2018.

Lenders will continue to face pressure from housing inventory shortages and rising home prices and interest rates that have put a damper on volume. Servicers will continue to feel their own pains, as compliance costs continue to weigh heavily on their operations.

And as the President Trump enters his second year in office, industry observers will be paying close attention to how his administration pursues a variety of objectives, including deregulation, housing finance reform and the future of the Consumer Financial Protection Bureau. And the midterm Congressional elections coming up in November will add another wrinkle to consider next year.

From origination to servicing and everything in between, here's a look at what's in store for the mortgage industry in 2018.

See also: 10 top mortgage stories of 2017

Lending outside the qualified mortgage rule will likely become more prominent in 2018, as originators continue to struggle to replace lost refinance volume and their compliance and risk management processes become more robust.

Fannie Mae and Freddie Mac have new technology-driven initiatives planned for 2018 that are expected to help lenders improve the borrowing experience for home buyers and make full use of the government-sponsored enterprises' credit box.