Mortgage Originators

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

December 6, 2016 - IMFnews

Short Takes: Bulk Servicing Auctions? / Rates May Fall / Congrats to Dr. Carson on Landing the HUD Job, Though Not From All / The Listener? / Ocwen Debt Exchange

The bulk servicing market has been quiet lately. But all that could change soon...


December 6, 2016 - IMFnews

A $1.2 Million Severance Package for Former Ditech President David Schneider

Schneider has until midnight Dec. 9 to accept the severance offer from Walter Investment Management Corp., the nation’s eighth largest residential servicer.


December 6, 2016 - IMFnews

Impac Confirms Layoffs at CashCall Unit. Other Firms May Follow Suit

Given the fact that rates have moved noticeably higher since the election, it’s widely anticipated that more originators will move to trim staff before yearend if they haven’t already.


December 6, 2016 - IMFnews

Higher GSE Loan Limits Won’t Have Much of an Impact on Jumbos

Of the $292.98 billion in non-agency jumbo mortgages originated in 2015, 3.1 percent were in areas where the loan balance would have been eligible for delivery to the GSEs under the loan limits set to take effect in January.


December 6, 2016 - IMFnews

Warehouse Sector Continues to Hum Along, but Managers Concerned about Rising Rates

Despite the uptick in rates, warehouse providers appear to be happy (for now) and, like their nonbank clients, most expect the competition to suffer and not them.


December 5, 2016 - IMFnews

HUD Eases FHA Outsourcing Rules. HR Departments in Play?

HUD decided to ease the HR rules in new guidance issued at the end of November...


December 5, 2016 - IMFnews

SFIG Proposes Standards for ABS from Marketplace Lenders

SFIG’s Marketplace Lending Committee includes 250 individuals representing more than 70 companies.


December 5, 2016 - IMFnews

Now that the HUD Job is Settled, Speculation Begins on Trump’s Pick for FHA Commissioner

Cowen adds the nomination “also leaves the door open to FHA premium cuts, though the real driver of that will be the pick of an FHA commissioner.”


December 5, 2016 - IMFnews

AEI Slams NAR’s First-Time Homebuyer Stats

The National Association of Realtors defended its first-time homebuyer surveys…


December 2, 2016 - IMFnews

Trump Nominates Dr. Carson for HUD Secretary; Speculation Begins on FHA Premium Cuts

Cowen adds the nomination “also leaves the door open to FHA premium cuts, though the real driver of that will be the pick of an FHA commissioner.”


December 2, 2016 - Inside FHA/VA Lending

Jury Finds Allied Home Mortgage Entities Guilty, Awards $93M to US

A federal jury awarded more than $93 million in damages to the federal government after finding Allied Home Mortgage entities liable for civil mortgage fraud against the FHA. A unanimous jury found Allied Home Mortgage Capital and Allied Home Mortgage Corp., as well as the company’s president and chief executive, Jim C. Hodge. guilty of mortgage fraud. The jury awarded the Department of Housing and Urban Development and the Department of Justice a total of $93 million in damages, including $7.4 million against Hodge. The Allied entities allegedly violated the federal False Claims Act (FCA) and the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA) in connection with “a decade of fraudulent misconduct” related to FHA lending. The FCA provides for treble damages and imposes a penalty of $5,500 to $11,000 for each violation. Separately, FIRREA imposes a ...


December 2, 2016 - Inside FHA/VA Lending

Groups Favoring One-Unit Approval, Differ on Owner-Occupancy Rate

Stakeholders voiced support for an FHA proposal to revive the agency’s single-unit approval policy for condominium financing but differed on owner-occupancy requirements. Both items are part of a proposed rule which would give the FHA more wiggle room in formulating its condo rules. The proposed rule’s 60-day comment period ended on Nov. 28. Among other things, the FHA is proposing to reinstate “spot approval” financing on individual units in condo projects that are not currently approved for FHA insurance. The Department of Housing and Urban Development terminated single-unit approvals a few years ago in favor of mandatory condo-project approval. Ultimately, the current approval process proved to be more cumbersome, resulting in many condo projects opting out of FHA. Under the proposed rule, single-unit approvals are limited to a maximum of 20 percent of the units in the ...


December 2, 2016 - Inside FHA/VA Lending

FHA Raises Loan Limits for HECMs, Forwards; VA Follows Freddie Mac

The FHA this week announced higher “floor” and “ceiling” loan limits for forward and reverse mortgages for 2017, pushing loan limits upward in certain metropolitan statistical areas by as much as $162,500. The loan-limit changes will take effect on Jan. 1, spurred by rising median home prices. The Case-Shiller Home Price Index for September reported that home prices increased 5.5 percent year-over-year, driven by a tight supply of homes for sale, especially in the West. Each year, FHA recalculates its loan limits based on 115 percent of the median house price in the area. For counties located in MSAs, the loan limit is calculated based on the highest-cost county within the MSA. Under the 2017 changes, FHA will raise its nationwide “floor,” or low-cost area mortgage limits, for one-unit properties to $275,665 from $271,050, a difference of $4,615. In high-cost areas, the loan-limit ceiling for a ... [ 2 charts ]


December 2, 2016 - Inside FHA/VA Lending

FHA, VA Deliveries to Ginnie Mae Increase During First Nine Months

Total FHA and VA originations increased during the first nine months of 2016 compared to the same period last year, although VA was more active, posting a double-digit production increase, according to an analysis of Ginnie Mae data. Lenders delivered $201.0 billion of FHA loans to Ginnie single-family mortgage pools over the last three quarters, up 4.8 percent from the previous year. Approximately 65.4 percent and 29.3 percent of FHA loans securitized were purchase loans and refinances, respectively. The remainder was loan modifications. VA originations totaled $143.2 billion over the same period, up 22.3 percent from last year. Refinances accounted for 51.9 percent of volume and purchase loans comprised 47.0 percent. The share of FHA loans in agency mortgage-backed securities for the nine-month period was 19.5 percent and 13.9 percent for VA. FHA loans accounted for ...


December 2, 2016 - Inside Nonconforming Markets

Moody’s Issues Caution on Bank-Statement Loans

Moody’s Investors Service published a warning this week regarding mortgage programs that use bank statements and letters from accountants to verify borrowers’ income. The rating service said that type of underwriting – especially when relying on fewer than 24 months of statements – yields loans that are more risky than mortgages that have traditional income verification. Bank-statement mortgages have gained some prominence in the non-agency market this year as Lone Star Funds ...


December 2, 2016 - IMFnews

What We’re Hearing: Will the GSE-Investing PE Firms Get Greedy? / Buy Low, Sell High? / How Plugged In is Mnuchin? / Will Trump Try to Bring White Collar Jobs Back Home Too? / The Strange Case of Nebraska and FHA Loan Limits / Meg Burns Gets Promoted

Will the GSE-investing PE firms blow it?


December 2, 2016 - IMFnews

FHA Follows FHFA’s Lead and Increases Loan Limits. The Reason: Rising Home Prices

Just over a week ago, the Federal Housing Finance Agency raised the maximum conforming loan limit for GSE mortgages by $7,100 for 2017, citing an increase in home prices.


December 2, 2016 - IMFnews

Allied Home Mortgage on the Hook for $93 Million of Damages in FHA Case

The case against Allied Home Mortgage stemmed from a “whistleblower” action filed in Boston back in 2011.


December 2, 2016 - IMFnews

Can a Former MBS Trader Successfully Privatize the GSEs? And What About the Government Guaranty?

Cowen & Co. believes there’s now a 65 percent chance that GSE reform will happen over the next two years.


December 2, 2016 - IMFnews

Agency MBS Production Slowed in November. Fannie Issuance Down Sharply

Freddie Mac posted a 45.9 percent market share for November – 10.2 percentage points higher than in the previous month…


December 1, 2016 - Inside Mortgage Finance

Mortgage Market at a Glance

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


December 1, 2016 - Inside Mortgage Finance

Overtime Pay Injunction Leaves Lenders, Other Employers In Limbo as DOL Ponders Its Response to the Court Order

Mortgage lenders and other employers that have made or are preparing to implement changes to comply with the Department of Labor’s revised overtime pay regulations may have to reevaluate whether to hold off or go forward with those plans, according to wage and overtime experts. On Nov. 22, Judge Amos Mazzant of the Eastern District of Texas granted a request by several states to block the new overtime pay rules that would have gone into effect on Dec. 1. The judge issued a preliminary injunction after determining that the DOL did not have the authority to decide whether workers should be paid overtime based on their salary level alone. Mazzant agreed...


December 1, 2016 - Inside Mortgage Finance

Since the Election, Rates Have Risen 75 Basis Points But Lenders Aren’t Panicking, At Least Not Yet

Since the November election, mortgage rates have spiked roughly 75 basis points, promising to snuff out the refinancing market and possibly leading to a spate of industry layoffs. But so far, it appears that many firms are keeping their cost-cutting powder dry. “Application volume has been pretty much the same,” said Paul Rozo, CEO of nonbank originator Paramount Residential Mortgage Group, Corona, CA. “I think it’s too early in the game to be thinking about layoffs.” Marc Savitt, a principal in The Mortgage Center, a small West Virginia-based brokerage firm, said...


December 1, 2016 - Inside Mortgage Finance

Warehouse Sector Continues to Hum Along. Commitments Rise but Managers Express Concern About Rising Rates

Warehouse providers ended the third quarter with $58.0 billion of commitments on their books, a modest improvement over the prior period and a sign that nonbanks still hunger for residential credit. Compared to the same quarter a year ago, warehouse commitments increased an impressive 23.4 percent, according to survey figures compiled by Inside Mortgage Finance. That’s the good news. Now comes the bad: with interest rates rising since the election, warehouse managers are voicing their concern about what may lie ahead, namely lower originations. “Right now it feels...[Includes one data table]


December 1, 2016 - Inside Mortgage Finance

Refi Surge Fueled Third-Quarter Originations, But Purchase-Money Market Remained Robust

Mortgage lenders saw a significant jump in refinance activity during the third quarter of 2016, although purchase-mortgage lending continued to account for over half of new originations, according to a new analysis and ranking by Inside Mortgage Finance. Refi production increased by 20.4 percent from the second to the third quarter, according to revised estimates by Inside Mortgage Finance. A total of $277.0 billion of refi loans were originated during the period, the strongest quarterly volume since the second quarter of 2013, when an estimated $351.0 billion of refinance mortgages were originated. One change in the market over the past three years has been...[Includes three data tables]


December 1, 2016 - IMFnews

Short Takes: Mnuchin Turned Down Fannie CEO Job / Lockhart and Ross / More HUD Transition Team Members Named / SFIG Releases ‘Green Paper’ / CFPB Servicing Update / New Texas Retail Chief for Gateway

The Trump administration has added two more transition team members to HUD. Still, no word yet on whether Ben Carson wants to the secretary job...


December 1, 2016 - IMFnews

A Done Deal: Fannie Mae Sells Its DC Headquarters – for $89 Million

All three buildings hit the market in October 2015. According to records from the District of Columbia’s Office of Tax and Revenue, the parcels were once valued at almost $200 million.


December 1, 2016 - IMFnews

Overtime Pay Regs in Doubt Again. Mortgage Firms Ponder Their Options

Some banks have reclassified mortgage loan officer duties as a way to avoid paying overtime, IMFnews was told.


December 1, 2016 - IMFnews

GSE Common Once Deemed Worthless, Now Has a ‘Market Cap’ of $43.15 Billion

Based on current trading values, Fannie common now has a market capitalization rate (share price multiplied by number of shares) of $28.01 billion. Freddie common is valued at $15.14 billion.


December 1, 2016 - IMFnews

Moody’s Issues Caution on ‘Bank Statement’ Mortgages

More lenders are making “bank statement” loans these days, including both banks and nondepositories…


December 1, 2016 - IMFnews

Refis Fueled 3Q16 Originations, but Purchase Business Remained Robust

One notable change in the market over the past three years has been the gradual increase in cash-out refi lending.


November 30, 2016 - IMFnews

Short Takes: High Hopes for GSE ‘Recap and Release’ / Mnuchin Will be Confirmed / Another Mortgage Deal for Incenter LLC / Arch in Huge Debt Offering / What’s $20 Trillion Among Friends?

In case you haven’t noticed: the national debt is ready to crack the $20 trillion mark – almost twice the dollar volume of outstanding residential debt in the United States.


November 30, 2016 - IMFnews

GSE Single-Family Business Slumped in October, Credit Box Unchanged

Expanding the credit box will be a major theme in the GSEs’ priorities for 2017, according to the FHFA.


November 30, 2016 - IMFnews

Incoming Treasury Chief Mnuchin: Resolving Fannie and Freddie a Top Priority. Share Prices Soar!

As IMFnews went to press Wednesday, Mnuchin said in a Fox TV interview that resolving Fannie and Freddie will be a top priority.


November 30, 2016 - IMFnews

Lone Star Readies Another MBS Backed by New Nonprime Mortgages

The mortgages were originated by Lone Star affiliate Caliber Home Loans, but also LendSure Mortgage and Sterling Bank & Trust.


November 30, 2016 - IMFnews

Mortgage Complaints Down 6 Percent from Last Year

Despite the improvement in gripes filed, mortgage complaints are among the top three areas where consumers feel they are being taken advantage of…


November 29, 2016 - IMFnews

Short Takes: Trump Names HUD 'Landing Team' / Another Day and No Word from Doc Carson on the HUD Job / Trump ‘Landing Team’ Hits the Beach at the CFPB / Gather Intel and Advise / Resume Polishing Since Election Night? / Freddie Publishes eMortgage Vendor List

Moreover, anyone close to Richard Cordray has likely been working on their resume since Tuesday night, Nov. 8…


November 29, 2016 - IMFnews

Nation’s Largest Wholesaler UWM Removes ‘Escrow Waiver’ Fee

Some see the move by UWM as a way to be more competitive in a declining origination market…


November 29, 2016 - IMFnews

Mortgage Repurchases Rise Again, but there’s a Reason: BofA

The banking industry still has a hefty $4.59 billion of reserves for future repurchase expenses…


November 29, 2016 - IMFnews

Trump May Mean Less Federal Enforcement, but the States Will Remain Aggressive

A reason to worry: several federal consumer financial protection laws give direct enforcement authority to the states…


November 28, 2016 - Inside the CFPB

Other News in Brief

Securitization Group Meets with CFPB Officials. Earlier this month, staff and members of the Structured Finance Industry Group met with CFPB Director Richard Cordray and other senior officials to talk about the state of the non-agency mortgage securities market and some of the factors hampering its return.... Mortgage Lenders Meet With Bureau, Other Regulators, to Discuss Diversity, Inclusion. A small group of mortgage lenders recently met with staff of the CFPB, the Federal Reserve, the Federal Deposit Insurance Corp., the Federal Housing Finance Agency and the Office of the Comptroller of the Currency to discuss best practices on how to develop and maintain diversity and inclusion programs within the mortgage industry, according to an account by the Mortgage Bankers Association....


November 28, 2016 - Inside the CFPB

Dems Worried GOP Will Gut Dodd-Frank Via Funding Bill

The leading Democrats on the Senate Banking, Housing and Urban Affairs Committee and the House Financial Services Committee urged Congressional leaders earlier this month to reject any Republican attempts to use so-called must-pass government appropriations legislation to scale back the Dodd-Frank Act and the CFPB. In a letter sent to Senate and House leaders of both parties earlier this month, Sen. Sherrod Brown, D-OH, and Rep. Maxine Waters, D-CA, said they will oppose ideological policy riders to year-end funding legislation aimed at rolling back the consumer protections of Dodd-Frank. “Specially, Congress must not include in end-of-year funding legislation any riders designed to repeal, undermine or delay any provisions of Wall Street reform, including those targeted at the CFPB and the ...


November 28, 2016 - Inside the CFPB

New Bureau Report Details Problems With VA Refi Lending

Roughly 14 percent of the 12,500 mortgage complaints the CFPB has received to date from U.S. military personnel, veterans and their dependents involve problems with refinancing, and the issues they face have been changing over time, according to a new report from the bureau. “As the housing market has rebounded, we hear less about veterans struggling to refinance their loans when facing a financial hardship or imminent default and more about the problems associated with refinancing when they are using it as a tool to get potentially more favorable loan terms,” the CFPB document stated. The agency then delved into some of the specific gripes being lodged against mortgage companies. “We receive many complaints from veterans who believe they are ...


November 28, 2016 - Inside the CFPB

TRID 2.0: The Comments - Industry Supports ‘Rebaselining’ Proposal, But Voices Caution

Some top industry players support the CFPB’s proposed amendment to its existing TRID rule that clarifies a lender’s ability to use a revised closing disclosure (CD) to reset tolerance baselines for fees and charges, as long as there are valid changes of circumstances. However, they think a few simple tweaks could maximize the usefulness of the change without creating an incentive for lenders to act in such a way as to defeat the bureau’s intention. The proposal clarifies that the authority to “rebaseline” exists for all CDs – not just the initial CD – and that for any CD issued after the first one, there is no timing requirement, and no timing limitation on the issuance of the initial CD. That means ...


November 28, 2016 - Inside the CFPB

TRID 2.0: The Comments - More Clarity Needed for TRID Effective Dates, Industry Says

Another area in which the CFPB sought industry input in its TRID clarifying rulemaking process is whether the proposed 120-day implementation period, starting from final publication in the Federal Register, will be adequate. Some industry commenters essentially said no. Others basically said, it depends. Wells Fargo was one of the commenters that fell into the former camp. “[S]ome of the clarifications in this proposal have already been implemented by the majority of the industry based on previous informal guidance from the bureau,” said the lender. “However, this proposal also contains a number of changes that are new or that are being proposed with more detailed direction than previously offered.” Some examples the lender cited were the proposed expansion to the ...


November 28, 2016 - Inside the CFPB

TRID 2.0: The Comments - More Changes Needed to TRID’s Cash-to-Close Table, Industry Says

The CFPB has made progress in its regulatory treatment of the cash-to-close table as reflected in its proposed rule to clarify aspects of its integrated disclosure rule, but more needs to be done, some leading industry groups said. “The cash-to-close sections of the Loan Estimate and Closing Disclosure represent some of the most challenging aspects of the TRID rule,” said the Real Estate Services Providers Council in a comment letter to the bureau. “The industry had noted that a failure of the prior disclosures was that they did not provide for disclosing to the consumer the lender’s estimate of the cash that he or she would need to close the loan,” it added. Further, the industry did not indicate that ...


November 28, 2016 - Inside the CFPB

TRID 2.0: The Comments - Industry Weighs in on Disclosing Lender and Seller Credits

As part of its TRID 2.0 clarifying rulemaking, the CFPB sought comment on whether lenders should have the option of disclosing lender or seller credits as either credits specific to particular charges or general credits applicable to settlement costs. The Mortgage Bankers Association suggested the CFPB give lenders options and not settle on one approach. “Some lenders would prefer a single approach; others indicate that optionality is likely necessary,” the trade group said in a recent comment letter. It noted that seller credits are governed by sales contracts between the buyer and seller, and that local custom frequently comes into play as to who pays a specific fee, such as owner’s title insurance. “Similarly, the particular application of lender credits ...


November 28, 2016 - Inside the CFPB

CFPB Files Appeal in High-Stakes, High-Profile Dispute With PHH

With CFPB Director Richard Cordray’s tenure possibly on the line while a pro-business President-elect Donald Trump works on staffing up his incoming administration, the bureau earlier this month filed its highly anticipated appeal to the full U.S. Court of Appeals for the District of Columbia Circuit in its long-running dispute with PHH Corp. Back in mid-October, in PHH Corp. v. CFPB, a three-judge panel of the court nixed the agency’s $109 million penalty against the lender under the Real Estate Settlement Procedures Act, and determined that the CFPB’s leadership structure was unconstitutional because it is run by a sole director who can only be removed for cause. While an appeal by the bureau was widely expected, the issue took on ...


November 28, 2016 - IMFnews

Short Takes: Waiting on Doctor Carson (for HUD Secretary) / Wells Fargo Continues its Dominance in Two Channels / The Worth of GSE Common? / Watching the 10-Year / Moody’s on Primary Capital

Is the 10-year bond in for a massive correction? Maybe, maybe not...


November 28, 2016 - IMFnews

Investors Continue to Bid Up the Share Price of GSE Common. Can it Last?

Fannie Mae common has a “market cap” of $17.68 billion while Freddie is valued at $9.79 billion…


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