Mortgage Originators

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

September 1, 2015 - IMFnews

HUD Extends Comment Period on Key Issue of ‘Certifications’

Some in the industry, including the MBA, feel the certification language lacks clarity...


September 1, 2015 - IMFnews

Short Takes: A New Round of Cost Cutting at Stonegate? / No, the White House is Not About to Settle Those ‘Takings’ Cases / Greed is (Still) Good / Lykken Goes Solo, Sort Of / Comergence Hires Giorello

Pershing Square and Perry Capital began loading up on GSE “junior” preferred two years ago, but not because they thought it was a great investment...


September 1, 2015 - IMFnews

Stearns Official Clarifies What Blackstone Will Do With Mortgage Units

When the Stearns announcement was made some of its competitors began speculating on what might happen to the acquisitions down the road.


September 1, 2015 - IMFnews

M&T Settles Allegations That It Used ‘Neighborhood Racial Criteria’ for Mortgage Product

M&T sought a dismissal of the lawsuit in April, claiming that its loan officers were acting based on legitimate, non-discriminatory reasons.


September 1, 2015 - IMFnews

Continued Stock Market Swoon Could Spell More Refis

Moreover, one warehouse executive told IMFnews that he is beginning to get requests for increased capacity.


September 1, 2015 - IMFnews

Thanks to TRID, Realtors are Altering Their Purchase Contracts; Longer Timelines

Meanwhile, 37.0 percent of realtors indicated they have put together plans with their lender or title company to help even out the process...


August 31, 2015 - IMFnews

Short Takes: Will Trump Touch the Sacred Mortgage Interest Deduction? / Investors Shrug at Cutillo Resignation / Stonegate Too Cheap To Resist? / Atlantic Bay Hits 500-Employee Mark / Good News for MF Lenders, Bad News for Renters

The resignation of Stonegate Mortgage CEO Jim Cutillo didn’t do much for the stock price of the company Monday.


August 31, 2015 - IMFnews

Mortgage Gain-on-Sale Margins Coming Under Pressure: Compass Point

According to a new report from Compass Point Research & Trading, a gain-on-sale index the firm created has been contracting the past month...


August 31, 2015 - IMFnews

Jumbo MBS Servicing Concentrated, Prepayments Can Vary

The top five jumbo MBS servicers handle 83.3 percent of the loans, with Cenlar alone claiming a 38.4 percent share.


August 31, 2015 - IMFnews

Jim Cutillo out as CEO of Stonegate Mortgage; Maybe a Sale is the Solution?

In a statement, Stonegate said Cutillo will be “redirecting” his “entrepreneurial energy on a new endeavor going forward.”


August 31, 2015 - IMFnews

CFPB’s ATR Rule Seen as Helping Increase Certainty for Lenders, But…

The rating service predicted that in the coming months, more lenders will be willing to offer non-QMs that allow for debt-to-income ratios above 50 percent and credit scores as low as 620.


August 28, 2015 - Inside The GSEs

GSEs Losing Race for First-Time Homebuyers to FHA/VA Financing

First-time homebuyers make up a significant part of the purchase-mortgage market, but Fannie Mae and Freddie Mac have a hard time competing with Ginnie Mae, according to a new Inside The GSEs analysis of loan-level data.The three agencies securitized $118.90 billion of first-time buyer mortgages during the first six months of 2015, but Ginnie accounted for over half (52.4 percent) of the business. Ginnie’s big advantage is that it gets all the FHA and VA loans, while the GSEs so far have not gotten much traction in their reduced-downpayment programs. First-time buyers typically have less savings for a downpayment and often have less-stellar credit profiles. In the first half of this year, the average loan-to-value ratio for...(charts)


August 28, 2015 - IMFnews

What We’re Hearing: Will Banks Ever Return to Wholesale? / $354 Million for Stearns Lending? / Eventually, There Will be a Merger / The Dave Stevens ‘Flip-Flop’ Controversy / MBA’s Top Paid Consultants

What do nonbanks think about depositories avoiding the wholesale/broker sector? They love it.


August 28, 2015 - Inside Mortgage Trends

Is FHA’s New Metric the Standard of the Future?

The FHA late this month announced a new tool to supplement Neighborhood Watch’s compare ratio to give lenders a better sense of their performance and, at the same time, ease concerns about lending to higher-risk borrowers. FHA lenders welcomed the long-anticipated performance metric although concerns linger about lender liability. Nonetheless, for The Collingwood Group, a Washington, DC-based advisory firm, the question is whether the tool represents a ...


August 28, 2015 - Inside Mortgage Trends

Stock Market Swoon Could Spell More Refis

With the stock market suffering major losses the past 10 days, investors in equities are bleeding red ink, but mortgage bankers are salivating at the prospect of higher application volumes thanks to declining interest rates. “We’re at the tail-end of the home-buying season when volume drops, but my members are anticipating an increase in refis,” said Glen Corso, executive director of Community Mortgage Lenders of America. The newfound optimism comes courtesy of China ...


August 28, 2015 - IMFnews

Manufactured Housing Industry Prods FHFA on Trailer Park Loans

The FHFA has the authority to require the GSEs to buy chattel loans for manufactured housing, but it decided not to exercise this option...


August 28, 2015 - IMFnews

Rating Services Take Dim View of ‘Alt’ Doc Loans; Penalties May Ensue

“The most common example is a loan program for self-employed borrowers that relies on bank statements, rather than tax returns, to determine income,” Fitch said.


August 28, 2015 - IMFnews

Depositories Clean Up on Mortgage Banking in 2Q

Fun fact: it was the highest mortgage-related income posted by the banking industry since the second quarter of 2013.


August 27, 2015 - IMFnews

Short Takes: Fannie Gets the Origination Blues / Hopefully, It Won’t Come True / Marix Gets Freddie Approval / Freddie Grows. Don’t Tell FHFA / MIAC Hires Trading Desk Chief

If Fannie Mae's origination forecast comes true, just $615 billion in loans will be written from July 1 to Dec. 31, an ugly outlook indeed…


August 27, 2015 - IMFnews

Manhattan Mortgage Founder Melissa Cohn Launches New Company

Although Manhattan Mortgage operated mostly as a loan broker, a press statement from MC Home Loans describes the new company as a “banker.”


August 27, 2015 - IMFnews

MBA Sees ‘Profit’ Rise 44.3 Percent in FY 2014; Stevens Takes Home $1.6 Million

For the year ending Sept. 30, 2014 MBA took in revenue of $51.9 million versus $39.1 million in expenses for a net profit of $12.7 million.


August 27, 2015 - IMFnews

Quicken, FirstKey, New Penn Lead Contributors to Pending Jumbo MBS from Credit Suisse

Quicken Loans is contributing 17.1 percent of the mortgages to the new jumbo MBS from Credit Suisse.


August 27, 2015 - IMFnews

Is Student Loan Debt Really Hurting the Mortgage Market?

“More people want to take care of their student loan debt before getting into even more [debt] with a mortgage," said Rick Sharga, executive vice president of Auction.com.


August 26, 2015 - IMFnews

Short Takes: About That Fed Hike in Rates… / Rates Under 4 Percent with No Points / But Apps are Flat – For Now / LA is Too Much for the Borrower / Auction.com Hires eBay Executive

A quick check of rates this morning found that firms such as Sebonic and Aurora Financial were offering 30-year fixed-rate loans at 3.75 percent with no points.


August 26, 2015 - IMFnews

Get Ready: G-Fees Will Rise for USDA Home Loan Program

Effective Oct. 1, 2015, the upfront g-fee for USDA purchase and refinance loans will be raised to 2.75 percent from 2.00 percent.


August 26, 2015 - IMFnews

CFPB Finds Mortgage-Related Complaints Declining, Led By Ocwen and Nationstar

Among the top 10 companies in the complaint database, two mortgage servicers showed improved performance: Ocwen and Nationstar.


August 26, 2015 - IMFnews

MBA on the Next 10 Years: Don’t Expect Much Change in the Homeownership Rate

Renters' attitudes about homeownership have shifted, said Freddie Mac...


August 26, 2015 - IMFnews

Banks Keep Up the Pressure on a TRID ‘Transition’ Period – Via FFIEC

ABA said all stakeholders believe that clearer and more effective mortgage disclosures are important and worthwhile.


August 26, 2015 - IMFnews

A ‘New York State of Mind’ on LO Approvals: Like Molasses

A spokesman for the NYDFS admitted that, “We’re constantly trying to improve our processing times, but we know that we have a lot of work to do..."


August 25, 2015 - IMFnews

Fannie Mae Unveils ‘HomeReady,’ A Successor Program to ‘MyCommunityMortgage’

HomeReady will become part of DU later this year and replaces the MyCommunityMortgage product, which in some circles was known as Fannie’s “subprime” option.


August 25, 2015 - IMFnews

Short Takes: Credit Suisse Readies Another Jumbo Deal / Angel Oak Nonprime MBS? / Parkside Rolls Out Jumbo With Caveats / FHA, PACE and Lien Priority / Barney Frank Back in the Business?

Remember the nonprime MBS deal that Angel Oak was working on with Nomura? The transaction may be on again...


August 25, 2015 - IMFnews

MBA: Origination Profit at Independents Almost Flat in 2Q

The results are based on 354 lenders that submitted production data to the trade group.


August 25, 2015 - IMFnews

Mortgage Banking Solutions Selling Wholesale Lender

MBS Managing Partner Chuck Klein said the company in question owns at least $3 billion in mortgage servicing rights...


August 25, 2015 - IMFnews

CFPB Rejects Lead-Generation Firm’s Effort to Dismiss CID

The lead generation firm argued that the CID’s notification of purpose was too vague and thus failed to comply with legal and regulatory requirements.


August 24, 2015 - Inside the CFPB

In Brief: All About TRID / Also Worth Noting

Get Your TRID On. The CFPB has put out a Know Before You Owe guide for real estate professionals to help them navigate the upcoming TILA/RESPA Integrated Disclosure rule, otherwise known as TRID. The guide spells out the major elements of the rule, such as the steps associated with closings, and provides an explanation of the new disclosures. Industry pros can download from the bureau’s website print-ready versions in Adobe Acrobat PDF format as well as pre-order printed copies from the U.S. Government Printing Office. TRID Drives ClosingCorp to Integrate With Savana’s Loan Origination Product. ClosingCorp, a San Diego-based residential real estate closing cost data and technology vendor for the mortgage and real estate services industries, has integrated its Loan ...


August 24, 2015 - Inside the CFPB

Women in Real Estate Biz Support Joint Agency Statement on Diversity

The National Association of Women in Real Estate Businesses is among the industry groups that generally support the final interagency statement on diversity policies and practices issued by the CFPB, the federal banking regulators and the Securities and Exchange Commission. However, in its comment letter to the agencies, one of the issues the group addressed was ways to enhance the quality, utility and clarity of the information to be collected under the final statement. “Detail is important; when releasing information, agencies and their regulated entities must carefully detail the ways they are promoting diversity and the success and shortcomings of each of their efforts,” the NAWREB said. “The difficulty will always be ensuring that the minority and women inclusion is ...


August 24, 2015 - Inside the CFPB

Mortgage Lenders Again Call For TRID Transition Period

The Federal Financial Institutions Examination Council should institute an official transition period to provide lenders greater clarity and certainty in anticipation of the CFPB’s new TILA/RESPA integrated disclosure rule (TRID) slated to take effect Oct. 3, the American Bankers Association said in a letter to the financial regulatory group. The CFPB is one of the regulatory bodies that comprise the FFIEC. “We request that the FFIEC – on behalf of all banking regulators – formally establish a transition period and clarify how regulators will oversee and examine regulated institutions for TRID compliance during this time,” the ABA said in a recent letter to the council. “In so doing, the FFIEC would provide needed certainty to the credit markets and encourage lenders to ...


August 24, 2015 - IMFnews

Short Takes: And Now for the ‘Dark Side’ of Low Rates / Jumbo Trouble Because of Stocks? / SPS Suddenly Likes Performing Loans / Wells, the Correspondent King (Again) / Buck Hawkins Departs iFreedom

Many wealthy borrowers feel rich because they’re sitting on huge stock market gains achieved over the past few years. But now...


August 24, 2015 - IMFnews

The Pros and Cons of the Stock Market ‘Correction’: More Refis, MSR Markdowns

Dan Perl, who runs Citadel Loan Servicing, Irvine, CA, said he woke up Monday morning and immediately cut his rates by 25 basis points across the board.


August 24, 2015 - IMFnews

Did Blackstone Pay a Premium for Stearns? Not Likely

Stearns Lending has been on the auction block for well over a year, maybe longer...


August 24, 2015 - IMFnews

MBA’s Stevens Pushes for Ending GSE Conservatorships

A former FHA commissioner, Stevens said GSE reform should include a new charter for Fannie Mae and Freddie Mac...


August 24, 2015 - IMFnews

Despite Trailblazing MBS, Slow Start for Origination of Non-QMs

However, the ground breaking MBS from Lone Star did not receive ratings and was not subject to requirements from the SEC regarding the disclosure of third-party due diligence.


August 21, 2015 - Inside FHA/VA Lending

Around the Industry

FHA Begins Registration of Lenders to Prepare their Transition to the EAD Portal. Lender registration for the transition phase of the new Electronic Appraisal Delivery portal began on Aug. 18. Lenders may select any of the seven onboarding phases, which FHA has established to ensure that lenders have more time to work within the EAD portal to ensure that their systems, data flow and operational process meet portal requirements before the June 27, 2016, mandatory-use date. Although lenders may enter at any phase they choose, the FHA strongly encourages lenders to register for the earliest onboarding phase, and to do it as soon as possible. That would give them more time to get ready for the full transition, the agency said. The first phase begins on Oct. 15, 2015, with additional phases beginning each month and running through the first half of 2016. Information on the onboarding phases as well as ...


August 21, 2015 - Inside FHA/VA Lending

HUD Publishes Latest Updates to FHA Single Family Policy Handbook

The FHA will not issue a new case number for any FHA-to-FHA refinance if the current mortgage has a repair or rehabilitation escrow account in FHA Connection. The change, which is one of several updates to FHA Single Family Policy Handbook 4000.1, applies only to FHA streamline refis. It aims to ensure that escrow funds of the mortgage being refinanced are properly applied as well as conform to system requirements. The updated sections become effective on Sept. 14, 2015. Another change clarifies that the payoff statement for the mortgage being refinanced is the only document required when calculating the maximum mortgage amount for simple refi transactions. In addition, guidance for loan-to-value limits for cash-out refis has been updated to clarify that the 85 percent LTV restriction applies only to cash-out refis. HUD also noted that appraisers have flexibility in regards to when inspections should ...


August 21, 2015 - Inside FHA/VA Lending

USDA Direct Loan Option Ideal for Non-Qualifying Rural Borrowers

The U.S. Department of Agriculture’s Rural Housing Service strongly urged approved lenders to recommend the Section 502 Direct Loan Program to low- and very low-income borrowers who do not qualify for the USDA’s single-family housing guaranteed loan program. While some rural home-loan applicants show willingness and ability to pay their debts, they may not be able to afford to repay a guaranteed loan, the USDA observed. However, lenders can help by introducing such borrowers to the USDA direct loan program, a subsidized mortgages that allows the agency to lend directly to households with adjusted income not exceeding 80 percent of the area median. The program requires no downpayment on a mortgage with a fixed interest rate tied to the Treasury benchmark interest rate. The rate in effect for August and September 2015 is ...


August 21, 2015 - Inside FHA/VA Lending

HUD, IG Office at Odds Over Results Of Audit of 203(k) Rehab Program

Poor oversight of lenders participating in the Section 203(k) Rehabilitation Loan Mortgage Insurance Program has increased the risk to FHA’s Mutual Mortgage Insurance Fund by more than $1.2 million for 40 active loans, according to the Department of Housing and Urban Development’s Office of the Inspector General. HUD’s Office of Housing questioned the findings of its independent auditors, saying that 203(k) lenders are monitored closely despite the limited staff and resources. The IG recommended to HUD that lenders be required to support or indemnify the department for any future losses on the 40 loans and to reimburse actual losses on two 203(k) loans totaling $83,332. An audit of HUD’s oversight of the program uncovered alleged weaknesses in the monitoring of lenders for compliance with the 203(k) program. In addition, HUD did not always ensure that loan-to-value ratios were ...


August 21, 2015 - Inside FHA/VA Lending

VA Adopts Final Rule Aligning ARM Disclosure/Notice Rule with TILA’s

The Department of Veterans Affairs has adopted a final rule aligning the Home Loan Guaranty Program’s disclosure and interest-rate adjustment requirements with the servicing provisions in the Truth in Lending Act, as recently revised by the Consumer Financial Protection Bureau. The rulemaking will ensure VA remains consistent with other consumer finance and housing regulations governing adjustable-rate mortgages, the agency said. The rule is effective Sept. 11, 2015. The VA adopted without the change the rule as proposed on March 30, 2015. In this rule, VA adopted TILA’s minimum 45-day look-back period to clarify that lenders making VA ARMs must meet the statute’s minimum notification requirements. Specifically, disclosures and notifications must be provided to borrowers before an interest-rate adjustment. Lenders are required to adjust ARM rates based on the most recent ...


August 21, 2015 - Inside FHA/VA Lending

Lenders Laud FHA’s New Metric, Potential Liability a Big Concern

Mortgage lenders welcomed the FHA’s implementation of a new supplemental method for evaluating a lender’s performance while expanding eligible, underserved borrowers’ access to mortgage credit. But some say the new metric still doesn’t resolve lenders’ liability concerns. The FHA’s new supplemental performance metric will be used in tandem with the agency’s compare ratio, a measure used by FHA to compare a lender’s default and claim rate with those of its peers to determine whether a lender’s authority should be terminated. Due to the compare ratio being a comparison to one’s peers rather than to FHA’s risk tolerance, lenders have found it difficult to lend to borrowers with credit scores below 640 without running afoul of Neighborhood Watch. Commenting on the FHA’s proposed supplemental performance metric last year, the Mortgage Bankers Association said the compare ratio has created a ...


August 21, 2015 - Inside FHA/VA Lending

VA Sets New Originations Record, FHA Continues Winning Streak

VA originations set a new record in the second quarter of 2015 with lenders funding $39.6 billion in VA loans while FHA continued to ramp up its volume, according to new figures compiled by Inside FHA/VA Lending. The latest production result surpassed VA’s previous record origination total of $37.5 billion in the first quarter of 2013. Lenders attributed the increase to their effort to promote the VA Home Loan Guaranty program through broadcast, print and social media “We are doing all we can every day to promote the VA product,” said one VA lender. “Many veterans are not familiar with the program and they don’t know what’s available to them. They don’t understand what the government is actually doing for them through this VA portal.” The VA program allows 100 percent financing on a 30-year fixed-rate single-family mortgage. VA production in the second quarter jumped 58.2 percent compared to ... [2 charts]


August 21, 2015 - Inside Nonconforming Markets

Slow Start for Originations of Near-Prime Non-QMs, Along with a Trailblazing MBS

More than a year after the Consumer Financial Protection Bureau’s standards for qualified mortgages took effect, originations of near-prime non-QMs remain limited. However, industry participants are optimistic that originations will pick up and Lone Star Funds recently jolted the sector with a non-agency mortgage-backed security. The $72 million non-agency MBS from Lone Star was backed by non-QMs originated by Caliber Home Loans, a lender owned by the private-equity firm ...


Poll

During the first half of 2015 all residential lenders originated a better-than-expected $805 billion of home mortgages, according to Inside Mortgage Finance. What do you expect in the second half?

Just as good. We like what we’re seeing.
Better. Applications are strong.
Worse. We’re worried about rates, seasonality.
A lot worse. The fourth quarter could be a killer.

vote to see results
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