What is one of the primary objectives of the Dodd-Frank Act regarding mortgage lending?

One of the primary objectives of the Dodd-Frank Act is to establish consumer protections against unfair lending practices. The Dodd-Frank Wall Street Reform and Consumer Protection Act, enacted in response to the 2008 financial crisis, aimed to improve transparency, accountability, and consumer protection in the financial services sector, particularly in mortgage lending. This includes provisions designed to prevent predatory lending and ensure that borrowers are treated fairly by requiring lenders to assess a borrower's ability to repay loans before approving them. The creation of the Consumer Financial Protection Bureau (CFPB) is a significant aspect of the Dodd-Frank Act, providing oversight and enforcement of these consumer protection regulations.

In the context of the other options, eliminating the secondary mortgage market is contrary to the intention of maintaining liquidity in the mortgage industry. Improving data sharing practices, while beneficial, is not a central focus of the Dodd-Frank Act. Similarly, simplifying the mortgage application process, although a positive outcome, is not a direct objective of the legislation, which primarily centers around consumer protection and regulatory reform.