Mortgage Originators

Browse articles from all of our Newsletters related to Mortgage Originators.

August 21, 2014 - IMFnews

Short Takes: Manny Friedman Bullish on PennyMac / The Ocwen Mystery: Why All the Spinoffs? / Reverse Loan Officers Clean Up / CTM Has a New Parent / LenderLive Names New Servicing Executive

The average loan officer makes a $4,000 commission on each reach reverse mortgage they originate. Really?


August 21, 2014 - IMFnews

Lenders With Less Than $8 Million in Capital May Need to Sell

Franchise deals – where stock and licenses change hands – could dominate the M&A market for the remainder of the year.


August 21, 2014 - IMFnews

BofA Inks Record $16.65 Billion Global MBS Negligence Settlement

In its statement announcing the settlement, BofA stressed, “The claims relate primarily to conduct that occurred at Countrywide and Merrill Lynch prior to Bank of America's acquisition of those entities.”


August 21, 2014 - IMFnews

Final Tally: Banks Posted Solid Gains in Mortgage Income During 2Q

The second-quarter rebound in mortgage profits was linked to an increase in new lending and loan sales.


August 21, 2014 - IMFnews

First-Time Homebuyer Share of Home Purchases Rises Significantly

The increased market share for first-time homebuyers is part of a seasonal trend that has occurred in each of the past three years.


August 20, 2014 - IMFnews

Short Takes: Former Subprime CEO Continues On / Privlo Definitely Did Not Raise $350 Million / Comerica Seeks Warehouse Manager for LA / More Regulations Coming from the CFPB? / A Sea Change in Fannie Underwriting Guidelines?

A big deal or ho-hum: Fannie Mae in late July said it will allow for shorter waiting periods involving mortgage debt charge-off accounts and mortgage debt that is discharged through a bankruptcy.


August 20, 2014 - IMFnews

GSE Shareholder Group Gets Face Time with FHFA’s Watt, But…

Investors Unite now boasts almost 1,000 members, which include both common and preferred stakeholders in Fannie Mae and Freddie Mac.


August 20, 2014 - IMFnews

Pacific Union Hires Former Resolutions Chief at JPMorgan, Lending Executive From Wells

During his career, Dunnery was also a director within Fannie Mae’s national servicing organization.


August 20, 2014 - IMFnews

Compliance Vendor Warns CFPB’s HMDA Proposal Could be the Death Knell for Mortgage Lending

“I’m wondering how many people buy homes outside of buying them with cash,” Ryan said during the webinar. “To me it’s that serious.”


August 19, 2014 - IMFnews

Complaints to CFPB Regarding Credit Reports Focus on Inaccurate Information

Complaints about inaccurate data include issues such as account status, account terms, “information is not mine,” personal information, public record and “reinserted previously deleted information.”


August 19, 2014 - IMFnews

Lenders Concerned About FHA’s ‘Gotcha’ Enforcement Tactics

Lenders spend an inordinate amount of time responding to FHA indemnification requests about minor concerns that in many cases are ultimately revoked, according to the Mortgage Bankers Association.


August 18, 2014 - Inside the CFPB

Worth Noting/Comments Due This Week/Vendor Update

CFPB Making Its Presence Felt Among Fannie Mae and Freddie Mac Servicers. Fannie Mae’s latest earning filing indicates the CFPB and/or the New York State Department of Financial Services have been reviewing the activities of Fannie Mae’s three largest non-depository servicers (which would be Nationstar, Ocwen and possibly Quicken Loans, according to the latest ranking by Inside Mortgage Finance, an affiliated publication). The scrutiny of Quicken Loans seems to be a new development. The bureau would not comment. Meanwhile, during the first half of 2014, Freddie Mac said in its second quarter earnings announcement that it implemented requirements for its seller/ servicers in response to some final rules from the CFPB, including rules concerning the requirements for borrowers’ ability to ...


August 18, 2014 - Inside the CFPB

CFPB Rule Impeding Return of Private Capital to Housing Finance

A number of mortgage finance industry groups have expressed concern about how the CFPB’s ability-to-repay rule is interfering with the return of private investor capital back into the sector – mostly because of the rule’s assignee liability provisions. The industry comments came in response to a request from the Treasury Department in June for suggestions to encourage private capital to return to the non-agency mortgage-backed securities space. The Association of Institutional Investors said the ATR rule’s assignee liability provision “unfairly punishes investors who have nothing to do with the origination of loans and oftentimes have limited insight into the origination practices.” The assignee liability provision therefore introduces a risk that is almost impossible to price for those not directly involved in ...


August 18, 2014 - IMFnews

Short Takes: Nationstar Creates President’s Post at Champion / Who’s Selling the $27 Billion of MSRs? / Yet More Non-QM Menu Announcements / Moody’s Ready to Update Jumbo Criteria

Mystery continues to surround the seller of that $27 billion MSR package...


August 18, 2014 - Inside the CFPB

Most Lenders Expect Increased Costs as a Result of QM Rules

Nearly three-fourths (74 percent) of senior mortgage executives surveyed by Fannie Mae’s Economic and Strategic Research Group in June indicated that they expect operational costs to increase as a result of the CFPB’s ability-to-repay/qualified mortgage rule. Most lenders (80 percent) said they “do not plan to pursue non-QM loans” or prefer to “wait and see”. “Larger lenders are more likely to pursue non-QM loans to increase their market share,” Fannie said. Also, most firms (84 percent) reported that they expect at least 90 percent of their single-family mortgage origination dollar volume to still be considered qualified mortgages. Further, “Lenders, on net, expect to tighten credit standards as a result of QM rules,” according to the government-sponsored enterprise, with 36 percent ...


August 18, 2014 - Inside the CFPB

CFPB Mortgage Rule Having More Effect on Jumbo, Nontraditional

The Federal Reserve’s latest senior loan officer survey found the CFPB’s ability-to-repay/qualified mortgage rule is not having much of an effect on the conforming mortgage market but is being felt in the jumbo and nontraditional spaces. The July survey included a set of three special questions on the effects on the approval rates for home-purchase loans of the ATR and QM standards under the Truth in Lending Act, which came into effect early this year. The first question asks respondents to indicate the extent to which the ATR/QM rule is affecting the likelihood of their banks approving applications from individuals for mortgage loans to purchase homes for each of four categories of residential real estate loans. [includes one exclusive data chart] ...


August 18, 2014 - IMFnews

Quicken Remains No. 1 FHA Funder as Others Intentionally Shrink

Many banks are beginning to shy away from the product as the Inspector General of the Department of Housing and Urban Development and Justice Department take banks to task for underwriting flaws.


August 18, 2014 - Inside the CFPB

CFPB Orders Amerisave to Pony Up $19.3 Million Over Alleged Scheme

In its first case regarding deceptive mortgage advertising, the CFPB has ordered Atlanta-based Amerisave Mortgage Corp., an online mortgage lender, and its affiliate, Novo Appraisal Management Co., to pay $19.3 million in damages and a fine. The consent order settles charges the firms engaged in a deceptive bait-and-switch mortgage-lending scheme said to have harmed tens of thousands of consumers. Of the total payout, $14.8 million will be in the form of refunds to harmed consumers. The companies also agreed to pay a $4.5 million fine. Patrick Markert, the owner of both companies, as an individual, will pay an additional $1.5 million penalty. According to the CFPB, between mid-2011 and 2014, Amerisave advertised its interest rates and terms using online banner ...


August 15, 2014 - Inside FHA Lending

Reverse Mortgages Reportable Under HMDA

Reverse mortgages would be included in Home Mortgage Disclosure Act reports under a proposed rule published recently by the Consumer Financial Protection Bureau. The proposed rule would expand the definition of a “covered loan” under HMDA to include reverse mortgages and home-equity lines of credit (HELOCs), which include reverse mortgages structured as open-end HELOCs. Currently, HMDA regulations do not require reporting of HELOCs, although lenders may do so if they choose. Currently, financial institutions only have to report information on a closed-end reverse mortgage if the transaction involves a home purchase, home improvement or refinancing. Among other things, the CFPB has proposed to require that all reverse mortgages and HELOCs be identified by loan type to distinguish them from other categories of ...


August 18, 2014 - IMFnews

Nationstar Mortgage Cuts 160 Servicing Workers in ‘Performing’ Unit

Over the past year, several top ranked depository lender/servicers have cut staff, but there has been less bloodletting at the nonbanks.


August 15, 2014 - Inside FHA Lending

Private MIs, VA Overtake Faltering FHA Program

Weighed down by high premium costs and lender overlays, FHA lost more primary market share to private mortgage insurers and the Department of Veterans Affairs during the second quarter of 2014. Although June’s FHA endorsement numbers have not yet been released, the trend seen in April through May, along with Ginnie Mae securitization data, suggest that FHA business was up a modest 11.5 percent from the first quarter. But that increase provides no comfort to FHA, which saw its market share go down to 33.7 percent, a six-year low. From April to May, FHA forward endorsements rose by 2.4 percent to $10.61 billion. On a year-over-year basis, however, endorsements were down from $21.9 billion in May 2013, according to an Inside FHA Lending analysis of agency data. On the other hand, private MI companies reported a total of $44.19 billion of new insurance written (NIW) during the ... [2 charts]


August 15, 2014 - Inside FHA Lending

More Indemnification Demands Anticipated

The False Claims Act (FCA) and the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA) not only have become strong enforcement tools in the fight against FHA mortgage fraud but also an efficient means of recovering taxpayer losses. Having used both federal statutes effectively to wrangle huge settlements from large banks, federal prosecutors now have their eyes set on mid-level banks, according to compliance experts during a recent webinar hosted by Inside Mortgage Finance Publications. “Because these FCA [and FIRREA] lawsuits have been a cash cow for the Department of Justice and the Inspector General of the Department of Housing and Urban Development, I think these agencies will target mid-level banks next,” said ...


August 18, 2014 - IMFnews

Redwood Trust Gets Aggressive on Recruiting Jumbo Sellers

Redwood, which had 140 active sellers at the end of June, plans to start testing its high-balance loan program with the FHLB system in the fourth quarter of this year.


August 15, 2014 - Inside FHA Lending

IG Audit Finds Flaws in Indemnification Recovery

The Department of Housing and Urban Development failed to bill lenders for 486 loans with enforceable indemnification agreements that created losses for the FHA, according to the HUD Inspector General. The loans were originated between 2004 and 2014 and were either in the Accelerated Claims Disposition program or the Claims Without Conveyance of Title program, or they went into default before an indemnification agreement expired. Due to procedural errors and apparent lack of oversight, HUD failed to recover $37.1 million for 486 loans that had enforceable indemnification agreements. The unbilled loans represented 8.0 percent of total activity in the programs during that period. In addition, HUD did not ensure that indemnification agreements were extended to 64 of 2,078 loans that were streamline financed. As a result, HUD incurred losses of ...


August 15, 2014 - Inside FHA Lending

FHA Chief Galante to Resign in the Fall

FHA Commissioner Carol Galante has announced plans to step down from her current post, leaving behind a Mutual Mortgage Insurance Fund that appears well on its way to recovery and a slumping FHA business. Industry response to Galante’s Aug. 12 announcement was mixed. Some stakeholders applauded her toughness and resolve in steering FHA through hard times, while others criticized her for policies that made it more difficult and costly for first-time homebuyers to obtain an FHA-insured mortgage loan. Galante’s nearly three-and-a-half year stint as FHA commissioner was highlighted by her efforts to stabilize the FHA’s ailing Mutual Mortgage Insurance Fund, reduce losses and improve lender oversight. She achieved these goals by creating a comprehensive risk-management structure at FHA, revamping FHA pricing and credit policies, and ...


August 15, 2014 - Inside Nonconforming Markets

ATR/QM Standards Have Limited Jumbo Lending

The Consumer Financial Protection Bureau’s ability-to-repay requirements and standards for qualified mortgages have reduced originations of jumbo purchase-mortgages, according to 50.7 percent of the 67 bank jumbo lenders recently surveyed by the Federal Reserve. An Inside Nonconforming Markets analysis of the survey results reveals that the major impediments to originations are income verification requirements and ... [Includes one data chart]


August 15, 2014 - Inside Nonconforming Markets

Nonbanks Ready to Enter Non-QM Market

The list of lenders preparing to offer loans that don’t meet qualified mortgage standards continues to grow. Most recently, a number of nonbanks have expressed interest in the non-QM sector, looking for a different business model than the banks that are holding non-QMs in portfolio. New Penn Financial rolled out its non-QM offerings this week. The wholesale “Home Buyer Power” product allows for debt-to-income ratios up to 55 percent and interest-only options, along with ...


August 15, 2014 - IMFnews

Pershing Square Sues U.S., GSEs for ‘Brazen’ Profit Sweep

The hedge fund contends the government’s actions short change investors and amounts to a de facto liquidation of Fannie Mae and Freddie Mac...


August 15, 2014 - IMFnews

What We’re Hearing: Maybe Ocwen Should Go Private / A $750 Million Stock Buyback for Ocwen? / Why It’s Hard to be Bullish on the Nonbank ‘Big Three’ / Who the Heck is Privlo? / No Wonder the MBA Likes Mel Watt

We only bring up the “going private” issue because class action attorneys have finally woken up to the fact that Ocwen’s shares have been clobbered over the past year...


August 15, 2014 - Inside MBS & ABS

Trade Groups Raise Issues Related to GNMA’s Plan to Shift to Single MBS, Agree on Some, Differ on Others

Though mortgage securitizers, issuers, lenders and servicers support a proposal to consolidate Ginnie Mae’s two MBS program into a single security, certain specific issues appeared to divide them. In a recent joint letter to Ginnie Mae, the Securities Industry and Financial Markets Association and the Mortgage Bankers Association said many of their members agree on a number of the issues raised by the proposal, but in some cases disagree on the solutions. “It is clear that further discussion is warranted, and direct engagement with key stakeholders should be beneficial,” the trade groups suggested. Both industry groups were responding...


August 15, 2014 - IMFnews

REITs Increased MBS Holdings During Second Quarter as Fed Pared Back its Presence

The mortgage REIT industry held $286.3 billion of MBS at the end of June, according to exclusive figures compiled by Inside MBS & ABS.


August 15, 2014 - IMFnews

SIFMA Bucks Industry Trend, Calls for Increase in Fannie/Freddie G-Fees

SIFMA's call for higher guaranty fees might sound like heresy in the mortgage industry, but the trade group clearly wants the non-agency market to revive.


August 15, 2014 - IMFnews

Galante Departing FHA Amid Gripes About Premiums, HUD IG Report

The HUD IG found the Federal Housing Administration failed to bill lenders for 486 loans with enforceable indemnification agreements that created losses for the FHA.


August 14, 2014 - Inside Mortgage Finance

Mortgage Market at a Glance

Weekly mortgage rates and application survey data as well as indexes for ARMs.


August 14, 2014 - Inside Mortgage Finance

Wells Fargo Wins Latest Round in RESPA Class Action Involving Affiliated Business Arrangement

The U.S. Fourth Circuit Court of Appeals has ruled in favor of Wells Fargo and co-defendant Long & Foster in a class-action dispute involving an affiliated business arrangement. In Minter v. Wells Fargo Bank, NA et al, plaintiffs/appellants Denise Minter, Jason and Rachel Alborough, and Lizbeth Binks brought suit on behalf of a group of consumers alleging that Wells Fargo and Long & Foster Real Estate violated the Real Estate Settlement Procedures Act. Specifically, the plaintiffs alleged that defendants created a joint venture, Prosperity Mortgage Co., to skirt RESPA’s prohibition on kickbacks in exchange for the referrals of settlement service business while failing to disclose this business arrangement to its customers. Here’s...


August 14, 2014 - Inside Mortgage Finance

The ‘Legacy’ MSR Market is Drying Up And It’s Not All Tied to Regulatory Scrutiny

The market for “legacy” mortgage servicing rights has been on ice since earlier this year because of regulatory scrutiny, but there’s a new school of thought that suggests the halcyon days of mega transactions might be over for good. Servicing advisors who work in the MSR market note that the “Lawsky effect” is still being felt by Ocwen Financial and some of its peers, but as time goes on it will be less of a factor. “There’s...


August 14, 2014 - IMFnews

Short Takes: On the Other Hand, PHH Will Buy MSRs Too / Falling out of Love with FHA / Growth Good, Shrinkage Bad / Radian Declares a Measly Dividend / Hedge Fund Takes Big Position in Radian

Senator Investor Group now owns a 6.28 percent stake in Radian, a top ranked mortgage insurer.


August 14, 2014 - IMFnews

Non-QM Lending To Boom? Don’t Bet On It, Says Fannie Mae

One non-QM executive who competes with Impac said the company’s forecast likely will not come true. “Right now, this is a very limited market – and there are no securitizations,” he said.


August 14, 2014 - IMFnews

GSE Shareholder Group Wants FHFA to End Conservatorships Now

The Investors Unite chief said Watt has publicly acknowledged that he possesses the Congressional authority to end the GSE conservatorships under the Housing and Economic Recovery Act of 2008.


August 14, 2014 - IMFnews

Private Mortgage Insurance Industry Posts Highest Market Share Since 2Q08

The VA home loan guaranty program also is building market share, with $25.52 billion of new business written during the second quarter, a 36 percent increase from early 2014.


August 14, 2014 - IMFnews

Banks Need ‘Incentives’ to Issue Non-Agency MBS

Redwood Trust said monetary policy moves by the Fed have left banks saturated with record levels of excess reserves and lower costs of funds.


August 13, 2014 - IMFnews

Short Takes: Home Equity Lending Becoming Red Hot? / ICBA’s Fine Not-So-Fine with a Single GSE MBS / MSR Mark-Ups Slow / Yet Another Lender Launches a Builder Unit / Auction.com Hires LinkedIn Exec

Wells Fargo, the nation’s largest servicer, has assigned an 80 basis point value to its residential MSR portfolio, but the nation’s number-two servicer, JPMorgan Chase, has its MSRs booked at 106 bps…


August 13, 2014 - IMFnews

Slim Second Quarter Earnings for Cherry Hill REIT, Impac Mortgage

According to figures compiled by Inside Mortgage Finance, Freedom grew second quarter originations by almost 49 percent, the best sequential gain for any top 10 ranked lender.


August 13, 2014 - IMFnews

Mortgage Buyback Demands Have Peaked but Remain a Big Headache

“The government presumably feels emboldened from the decisions that it’s been getting, and we anticipate that those will continue in the near future,” one mortgage buyback expert said.


August 13, 2014 - IMFnews

CFPB Brings First Case for Deceptive Mortgage Advertising

When consumers were directed to Amerisave’s website, the lender gave quotes based on an 800 FICO score, even where consumers had previously entered a FICO score below 800, the agency said.


August 13, 2014 - IMFnews

When Will the ‘Single’ GSE MBS Be Ready? Answer: 18 Months at the Earliest

The CSP, formally known as Common Securitization Solutions LLC, does not have a chief executive office or chairman.


August 12, 2014 - IMFnews

FHFA Steps Up Creation of Single GSE MBS, But No ‘Comingling’ at First

Fannie-backed MBS, in general, trade better than Freddie participation certificates (PCs), which has resulted in guaranty fee pricing differentials between the two.


August 12, 2014 - IMFnews

Short Takes: Mortgage M&A: Lots of Talk, Not Much Action / New Penn Rolls Out Non-QM Loan / Arizona Mortgage Office Open to Offers / Auction.com Ramps Up Commercial Sales / Walter Seeks a New COO

A top producing office in Arizona for one mid-sized lender is making it widely known that it would like to move the entire staff to another firm...


August 12, 2014 - IMFnews

Ability-to-Repay Rule is Definitely Having an Impact – on Non-Agency Production

But almost 48 percent of senior loan officers said approval rates for prime jumbo borrowers were lower...


August 12, 2014 - IMFnews

Birch Hedge Fund Increases Stake in Walter Investment

FBR lowered earnings projections for Walter Investment, citing “increased regulatory uncertainty."


Poll

Home-equity lending is beginning to show new life. My company (pick one):

Plans to enter this market over the next 12 months.
Is already making home equity loans and hopes to increase the offerings.
Is in the market but don’t expect much growth.
Is not making second liens and has no plans to do so.

vote to see results
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