Mortgage Originators

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

June 24, 2016 - Inside The GSEs

GSE Roundup

Freddie Completes $706 Million NPL Sale. Freddie Mac announced this week that it sold a large chunk of a $706 million deeply delinquent loan portfolio to Lone Star Funds’ LSF9 Mortgage Holdings. LSF9 was the winning bidder on four pools and Upland Mortgage Acquisition Company II won one. In total, 2,879 mortgage loans were offered through five separate mortgage pools. The loans have been delinquent for an average of approximately five years. As the company continues to trim its retained portfolio, the new sale marks the GSE’s third nonperforming loan auction of the year. The first was a $1.4 billion sale in March, followed by a $130 million transaction in June. Fannie Announces Latest NPL Sale. Last week Fannie Mae announced its latest sale of non-performing loans, including...


June 24, 2016 - Inside Mortgage Trends

Pessimism About Housing Affordability on the Rise

In a finding with ominous implications for the mortgage lending industry, a significant majority, 81 percent, of respondents in a recent opinion survey continues to believe that housing affordability is a problem in the U.S. The concern for lenders is that the more Americans believe the cost of buying a home is out of their reach, the greater the odds are they won’t even bother to shop for a house or a mortgage or save for a downpayment. “Stable, affordable housing is viewed as ...


June 24, 2016 - Inside Mortgage Trends

FHA Should Set Criteria for Pricing, MGIC Says

A top mortgage-industry executive called for the establishment of criteria for adjusting FHA mortgage-insurance premiums to limit taxpayer exposure and allow private capital to play a larger role in the mortgage market. In a recent blog, Patrick Sinks, president/CEO of Mortgage Guaranty Insurance Corp., noted growing talk in the mortgage industry of another possible FHA premium reduction following last year’s 50 basis point cut. However, before that happens ...


June 24, 2016 - IMFnews

What We’re Hearing: Mortgage Lenders to England: Thanks for Igniting Another Refi Boom / Servicers Cringe? Maybe Not / Brexit, Plunging Rates and the GSE ‘Hedging’ Issue / More on a Possible FHA MIP Cut / Capsilon Gets Investment from PE Firm

What does the Brexit vote for Fannie Mae and Freddie Mac? Hedging losses, maybe?


June 24, 2016 - Inside MBS & ABS

U.S. Court Shifts Discovery Obligation to MBS Plaintiff, NY Court Denies JP Morgan, ACLU in MBS Case

A federal appeals court in New York this week will hear arguments from African-American subprime borrowers in Detroit in connection with a proposed class action challenging Morgan Stanley’s mortgage securitization practices during the subprime mortgage boom. The American Civil Liberties Union and its partners are seeking class-action status for the borrowers’ Fair Housing Act claims, which were initially rejected by a lower court. The court previously ruled that each borrower would have to sue on his or her own. The issue on appeal at the U.S. Court of Appeals for the Second Circuit is...


June 24, 2016 - IMFnews

VA Streamlined Refis Soared in the First Quarter

Outreach and lender-education efforts by industry groups, such as the National Association of Realtors and the National Association of Home Builders, have boosted refis as well...


June 24, 2016 - IMFnews

New Concerns Arise About Nonbanks’ Ability to Meet Ginnie MBS Servicing Advances

Ginnie Mae officials believe it is becoming increasingly important that nonbank mortgage servicers find new sources of capital...


June 24, 2016 - IMFnews

First-Time Homebuyer Share Hits Five-Year High

The increase in first-time homebuyer volume and market share has occurred without looser underwriting in terms of credit scores and loan-to-value ratios…


June 23, 2016 - Inside Mortgage Finance

Mortgage Market at a Glance

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


June 23, 2016 - Inside Mortgage Finance

Housing Outlook Remains Stable, But First- Timers Face Affordability, Credit Challenges

The housing market has been fairly stable in 2016, but industry insiders say decreased affordability and credit access could impede the multiyear housing recovery. With interest rates lower than expected, the Mortgage Bankers Association raised its 2016 origination forecast to $1.60 trillion in May from its January projection of $1.38 trillion. It expects purchase originations to increase in 2017 and 2018, thanks to economic growth and a strong job market. But many first-time homebuyers may be...


June 23, 2016 - IMFnews

Short Takes: What’s an NBA Championship Worth? About 25 BPs / MountainView Selling Ginnie Mae MSRs / 20 Percent Down Isn’t the Right Answer? / Homeownership, a Complicated Affair / Ditech Hires Ex-SunTrust Exec

Who needs a toaster when you can have a mortgage at a 25 basis point discount?


June 23, 2016 - IMFnews

VA Originations Top $103 Billion Through First Eight Months of FY 2016

VA reported that it’s encouraged to see more millennial veterans using the program…


June 23, 2016 - IMFnews

The Final Jumbo Tally for 1Q16: Just a Shade Over $100 Billion, Including GSE Loans

There is a fighting chance that agency high-cost limits could go up in 2017.


June 22, 2016 - IMFnews

Short Takes: FHA Ready to Cut the MIP? / 100 Guests at Ginnie Liquidity Summit / In Demand: Mortgage Underwriters / Citadel Employee Count at 160 and Growing / Freddie Keeps Selling NPLs

Roughly 100 guests were invited to the Ginnie Mae "liquidity summit," including regulators from the Federal Reserve.


June 22, 2016 - IMFnews

25 Trade and Community Groups Tell FHFA Chief Mel Watt: Kill LLPAs Now

The mortgage industry and others want LLPAs eliminated now...


June 22, 2016 - IMFnews

Federal Regulators Plead for Housing Finance Reform Legislation, Note They are ‘Approaching the Limits of their Ability to Enact Reform’

Financial regulators tell Congress: Do something now on GSE reform before it's too late...


June 22, 2016 - IMFnews

CRT Capital Group Pulls the Plug on Sterne Agee CRT; Firm Followed Several Mortgage Stocks

CRT Capital’s backers include Aquiline Capital Partners, which 18 months ago bought a large stake in subservicer/service provider LenderLive.


June 21, 2016 - IMFnews

Short Takes: CFO of Marketplace Firm Departs / The Coming Bloodbath in Marketplace Lending? / More Non-Delegated Options for Sellers / MiMutual Posts Nice Production Gain / He’s Back: GSE Wag Bill Maloni

Consultant Joe Garrett noted that if investors are worried about marketplace lenders in the current credit environment, just wait until the economy eventually goes south...


June 21, 2016 - IMFnews

Carrington Will Fund GSE Loans Via Mortgage Brokers

Although Carrington does not disclose lending volumes, at March 31, it was the 10th largest servicer of Ginnie Mae loans with a balance of $32.25 billion, according to government data.


June 21, 2016 - IMFnews

PennyMac Adds Non-Delegated Option to Correspondent Program. The Cost: $495

PennyMac is hoping non-delegated deliveries become an attractive option for many of its customers…


June 21, 2016 - IMFnews

Reverse Lending Rises 7.7 Percent in 1Q16; Nonbanks Continue to Dominate the Sector

American Advisors Group remained as the alpha dog of the reverse lending pack, producing $525.7 billion in HECMs during the first quarter…


June 20, 2016 - IMFnews

Will the Fed Ever Hike Rates Again?

There’s a growing belief among some economists and mortgage market watchers that the central bank may not raise interest rates at all this year.


June 20, 2016 - IMFnews

Short Takes: Up and Down Mortgage Mt. Everest / Going Online with IO Ads / Overture’s Tech Update / DOJ Abandons Case Against Countrywide Founder Mozilo

Social Finance (SoFi) and Guaranteed Rate are among the lenders advertising their interest-only offerings online…


June 20, 2016 - IMFnews

The Bank Incentive to Hold Mortgages in Portfolio Isn’t Going Away Anytime Soon

It’s no secret that some banks, including Wells Fargo, are retaining GSE-eligible mortgages in portfolio instead of delivering them to Fannie Mae and Freddie Mac. When and if the trend will reverse is anyone’s guess…


June 20, 2016 - IMFnews

USDA Securitizations Off in 1Q16; (Departing) JPM the Top Issuer

Roughly $3.9 billion of mortgages with a USDA guarantee were securitized during the first three months of 2016, with the top five issuers accounting for almost 52 percent of that amount…


June 20, 2016 - IMFnews

Interest-Only Lending Up Almost 27 Percent in 1Q16

Chase, which has significantly increased its jumbo originations in recent years, more than doubled its IO originations in the first quarter.


June 17, 2016 - Inside FHA/VA Lending

Around the Industry

FHA Revises TOTAL Mortgage Scorecard. Effective on June 11, 2016, the FHA’s TOTAL Mortgage Scorecard no longer returns either upfront or annual mortgage insurance premium factors to an automated underwriting system. The FHA directs lenders to consult Appendix I of its Single Family Housing Policy handbook for applicable MIP factors. AUS vendors have been notified of the change and have adjusted their systems accordingly. HUD, First Citizens Bank Settle Fair Lending Complaint. A South Carolina bank has agreed to correct its lending practices and allocate funding to resolve allegations that it denied more loans to minorities compared to similarly-situated white loan applicants. The settlement agreement stemmed from a complaint filed by the Department of Housing and Urban Development against First Citizens Bank and Trust Co. in 2011 after an analysis of ...


June 17, 2016 - Inside FHA/VA Lending

HOAs Required to Disclose VA, FHA Certification of Condo Projects

A new California law requiring condominium homeowner associations to disclose to their members whether the VA or the FHA has certified their buildings will soon take effect.Starting July 1, 2016, California HOAs will have to disclose in their annual budget report whether or not their condominium projects have been approved for VA or FHA financing. Gov. Jerry Brown, D, signed Assembly Bill 596 into law in August last year to encourage more veterans and first-time homebuyers to purchase condominiums and take advantage of the benefits of government-backed home financing. In signing the measure into law, Brown expressed hopes that condominium HOAs will step up their certification or recertification process. Assemblyman Tom Daly, D-Anaheim, author of the bill, estimates there are 28,000 condo projects in the Golden State, and only a third are FHA-certified. There are far fewer projects that are ...


June 17, 2016 - Inside FHA/VA Lending

USDA Securitization Down in 1Q16, Agency to Lower Premium, Fees

Ginnie Mae securitization of rural home loans got off to a wobbly start in the first quarter of 2016 as securitization volume fell 13.8 percent from the prior quarter, according to an Inside FHA/VA Lending analysis of Ginnie data. Approximately $3.9 billion in loans with a USDA guarantee were securitized during the first three months, with the top five issuers accounting for $2.1 billion of mortgage-backed securities produced by the segment during the period. USDA securitization volume dropped 9.2 percent year over year. Top USDA issuer Chase Home Finance accounted for $1.2 billion of securitized rural housing loans, while PennyMac, in distant second place, finished the quarter with $378.5 million. Wells Fargo ($294.0 million), Pacific Union Financial ($122.8 million) and Amerihome Mortgage ($102.2 million), in sequential order, comprised the rest of the top five issuers. Pacific Union climbed over ...


June 17, 2016 - Inside FHA/VA Lending

Potential FHA Rate Cut Possible, Private MIs Have Nothing to Fear

An FHA price reduction remains a possibility but its impact is likely to be limited, according to analysts at Keefe, Bruyette & Woods. While some industry observers might think another mortgage insurance premium cut is inevitable, there is no broad pressure from any group or coalition that would compel FHA to do so, said KBW analysts Bose George and Chas Tyson, both panelists at KBW’s Mortgage Finance Conference recently. Given last year’s 50-basis-point cut, the FHA’s ability to cut rates meaningfully is somewhat limited, they said. The FHA annual MIP is currently 80 to/or 85 bps, down from the pre-reduction premium of 130 to/or 135 bps and higher compared to the average annual premium of 50 to/or 55 bps before the financial crisis. If FHA decides to reduce the premium again, George and Tyson believe the floor will likely be at the pre-crisis premium level, which would suggest a ...


June 17, 2016 - Inside FHA/VA Lending

FHA Production on a Positive Trend Despite Falling Endorsement Levels

FHA single-family forward endorsements fell by 8.0 percent in the first quarter of 2016 from the prior quarter, suggesting a continued slowing in endorsement in the latter part of 2015 and early 2016 compared to earlier quarters, according to the FHA’s latest quarterly report to Congress on the state of the Mutual Mortgage Insurance Fund. Overall though, the FHA MMIF report as well as FHA monthly production reports for March and April continued to show the very positive trends – rising volume, lower delinquencies and outstanding credit quality – that have been occurring in the FHA program since 2009. Endorsement volume for purchase and refinance loans was down to $53.5 billion during the first three months of 2016 from $58.1 billion in the fourth quarter of 2015, the MMI Fund report showed. Last year, forward endorsements soared in the second quarter and reached a record high in the ...


June 17, 2016 - Inside FHA/VA Lending

Maximum Civil Penalties for HUD, FHA Violations Set to Increase

FHA lenders will face stiffer maximum monetary penalties later this year for various violations of agency rules and regulations. The higher monetary penalties are the result of legislation signed into law late last year requiring federal agencies to adjust the current maximum penalty amounts for inflation in order to maintain their deterrent effect. Specifically, the Federal Civil Penalties Inflation Adjustment Act of 2015 (2015 Act) requires federal agencies to adjust the level of civil monetary penalties with an initial “catch-up” adjustment through an interim final rule and subsequent annual adjustments for inflation. The interim final rules with the initial penalty adjustments must be published by July 1, 2016. The new penalty levels must take effect no later than Aug. 1, 2016. Additionally, agencies are required to make annual inflation adjustments, starting Jan. 15, 2017, and for each year going forward. The adjustments will ...


June 17, 2016 - Inside Nonconforming Markets

Borrowers with Large Loans Consider Few Lenders

The first report from the National Mortgage Database offers some details on borrowers with large loans beyond the data included in the Home Mortgage Disclosure Act. The NMDB includes information from surveys administered by the Consumer Financial Protection Bureau and the Federal Housing Finance Agency. The federal regulators survey about 6,000 new borrowers on a quarterly basis, accounting for about 0.4 percent of the population of new mortgage originations ...


June 17, 2016 - Inside Nonconforming Markets

Interest-Only Originations Increase in First Quarter

Originations of interest-only mortgages increased sharply in the first quarter of 2016, according to a new analysis by Inside Nonconforming Markets. A group of 12 lenders originated $8.72 billion in IOs in the first quarter, up 26.9 percent from the previous quarter and a 29.8 percent increase from same period in 2015. IO originations in the first three months of 2016 even topped the $8.61 billion in IO originations by the lenders in the second quarter of 2015. [Includes one data chart] ...


June 17, 2016 - Inside Nonconforming Markets

Non-Agency Market Adapting to TRID

The issuance of three non-agency mortgage-backed securities in quick succession suggests that industry participants have adjusted to liability posed by the Truth in Lending Act/Real Estate Settlement Procedures Act disclosure rule. Jumbo MBS from JPMorgan Chase and Redwood Trust along with a nonprime MBS from Lone Star Funds all included mortgages subject to TRID and loans with TRID exceptions. TRID was seen as a major impediment to non-agency MBS issuance ...


June 17, 2016 - IMFnews

What We’re Hearing: Worrying About Nonbanks – Again / Banks and the GSEs: The Love Affair is Over / Keep it Under $5 Billion So the FHFA Won’t See It / GSE Discounts are Back? / Does the FHFA IG Have Enough To Do? / If You Give a Child a Credit Card…

Late this week we were hearing reports about one mortgage cooperative that was trying to strike a deal with one of the GSEs regarding pricing breaks for its members...


June 17, 2016 - IMFnews

Time’s Up. The CFPB’s ‘Good Faith’ Period on TRID Compliance is Over!

The days of “kinder” and “gentler” TRID enforcement are a thing of the past…


June 17, 2016 - IMFnews

Lenders Face Higher Maximum Penalties for Mortgage ‘Violations’

The Consumer Financial Protection Bureau this week issued an interim final rule showing an 8.5 percent increase in the maximum civil penalties it can obtain for various consumer protection violations…


June 16, 2016 - Inside Mortgage Finance

Mortgage Market at a Glance

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


June 16, 2016 - Inside Mortgage Finance

Millennials, Mortgages and Mixers? Lenders Say Strong Need For Increased Borrower Education on Available Resources

Millennials are in the dark when it comes to knowing about mortgage resources, lenders said, and recent research shows that there are millions of millennials who could afford to buy a home today but don’t know it. “The problem isn’t always that they don’t qualify or have the credit scores, the big problem is they don’t know it,” said Rob Chrane, CEO of Down Payment Resource, speaking on a mortgage panel at the National Association of Real Estate Editors conference in New Orleans last week. “At the same time, we know from our database there are almost 2,500 different programs out there that represent billions of dollars in forms of downpayment assistance and other aid.” Paul Anastos, president of Mortgage Master, a subsidiary of loanDepot, said...


June 16, 2016 - Inside Mortgage Finance

Desktop Underwriter 10.0 Delayed, Fannie Mae Working to Correct ‘Issues’ Tied to New Program

Fannie Mae has postponed the anticipated release of Desktop Underwriter 10.0, an updated version that included using trended credit data. Something went wrong during the testing phase, prompting the government-sponsored enterprise to announce last week that the program will not be implemented during the weekend of June 25 as planned. Fannie apologized to its customers noting that it would be prudent to delay the release until the issues are addressed. Fannie isn’t...


June 16, 2016 - Inside Mortgage Finance

Problems With TRID Continue to Mount, Industry Presses to Adapt While Awaiting New Rulemaking

The Consumer Financial Protection Bureau plans to develop another rule to resolve some of the mortgage industry’s problems with the CFPB’s integrated disclosure rule may provide some psychological relief for lenders. But it’s certainly not solving any of the problems they are struggling with right now, problems that continue to emerge as the months since implementation roll on. Among the host of concerns that have sprung up related to the Truth in Lending Act/Real Estate Settlement Procedures Act Integrated Disclosure Rule – TRID – is the raft of issues having to do with settlement agents. Delivering a presentation at the American Bankers Association’s regulatory compliance conference this week, Richard Horn, a former CFPB official, said...


June 16, 2016 - IMFnews

More Signs of Trouble for PHH Mortgage? Nonbank Cuts Early Funding Facility with Fannie Mae

In trading Thursday, the share price of PHH’s common stock was down almost 2.6 percent...


June 16, 2016 - IMFnews

FHFA Chief Rebuts IG Claim Regarding Not Controlling Costs on New Fannie Mae HQ

FHFA chief Mel Watt also points out that the sale of Fannie’s existing properties will result “in substantial additional financial benefits.”


June 16, 2016 - IMFnews

CFPB Expected to Codify ‘Informal’ TRID Guidance

The CFPB will take all of the content and commentary it has provided informally during webinars and at industry events, reconstituting it into some type of formal, definitive, and authoritative guidance.


June 16, 2016 - IMFnews

Mortgage Debt Outstanding Hits $10 Trillion Mark for the First Time Since 2012

The residential servicing market is a slow-changing glacier…


June 15, 2016 - IMFnews

Short Takes: Mortgage Trade Group v. Mortgage Trade Group? / MBA’s Stevens Reacts / Quicken Selling Loans to Berkshire’s Mortgage Unit / Why Moody’s Can't Rate JPM’s LO System / Fannie Hires New Chief Audit Executive

MBA President Dave Stevens told IMFnews: “We respect the work of Glen [Corso, CMLA director] and his organization greatly...."


June 15, 2016 - IMFnews

As Rates Drop, Mortgage Lenders Increase Hiring – Even the Megabanks are Looking for Workers

One trend that appears to be gaining momentum is the increased use of call centers and loan officers working at such shops who are compensated at lower commission rates…


June 15, 2016 - IMFnews

The Final Tally: Production, Servicing Profits Fade in 1Q16

The 12 firms reported a combined $700.6 million in earnings from their servicing operations, a 1.2 percent decline from the fourth quarter…


June 15, 2016 - IMFnews

JPM’s Jumbo Originations Performing Exceptionally Well, 60+ Delinquency Rate Below 1.0 Percent

Performance in Chase’s jumbo program has remained strong even with the lender loosening underwriting standards somewhat...


Poll

What is the very best source of new mortgage customers for your lending shop? (Choose one only.)

Leads provided to me by employer

13%

Paid internet/website leads

9%

Real estate agents/Realtors

31%

Homebuilders

6%

Our existing customer base/our servicing customers

19%

My own personal sales "leads" database

13%

Other

9%

Housing Pulse