Mortgage Servicers

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

August 24, 2016 - IMFnews

Short Takes: Not Everyone Loves the New Fannie, Freddie Application / Okay, Who Bought the Subprime Deals? / PennyMac Gets Repo Line from JPM / MountainView Selling MSRs / Apps Fall

One source said that in the Angel Oak transaction, bidding started with eight investors…

August 24, 2016 - IMFnews

Trade Groups with Nonbank Members Ask the CFPB: How About Us?

Not only are CHLA and CMLA unhappy with the lack of representation, they want the CFPB to form a “Community Mortgage Banking Advisory Council...”

August 24, 2016 - IMFnews

Delinquencies at Large Servicers Rise Ever So Slightly

The nation’s three largest residential servicers – Wells Fargo, Chase and Bank of America – all showed sequential increases in late payments...

August 24, 2016 - IMFnews

CFPB Considering Registration System for Nonbanks, Mortgage Firms Included

A CFPB nonbank registration system might be used to collect financial and operational data and information on a lender’s organizational structure…

August 23, 2016 - IMFnews

CMC Warns About FDCPA, Fears Servicing Costs Will Rise Even More

The CMC – which represents several large commercial banks – calls the FDCPA an “antiquated and poorly drafted" statute...

August 23, 2016 - IMFnews

The Final Tally: Nonbanks Battered by MSR Accounting in 2Q16

Nine nonbanks reported a combined net loss of $339.5 million on mortgage-banking activity for 2Q16, but that was actually an improvement...

August 23, 2016 - IMFnews

Mortgage M&A Activity Continues Apace; Eight Deals in Two Months

Meanwhile, it’s anticipated that private equity firms could play an even larger role...

August 22, 2016 - Inside the CFPB

New Requirements in NY Pose Challenges for Servicers

New legal requirements enacted in the state of New York in the wake of the financial crisis pose particular compliance challenges for mortgage servicers, according to a new report by analysts at S&P Global Ratings. The S&P team recently reviewed a series of laws the state legislature passed in June that attempts to address several issues related to “zombie” foreclosures, which refers to the phenomenon of a servicer initiating foreclosure on a vacant property but not going so far as to actually take title. Urban community activists complain such properties languish unsold for a prolonged period of time, contributing to neighborhood blight in communities least able to handle it – hence, state lawmakers decided to act. One resulting requirement “imposes conditions ...

August 22, 2016 - Inside the CFPB

Most Small Lenders Felt Rushed by CFPB’s SBREFA Process, GAO Finds

Most of the small-entity participants in the review processes run by the CFPB before it came out with four major mortgage rules felt they were hurried by the process and unsatisfied with the final results, the Government Accountability Office said in a recent report. The GAO took a look at the experience of the 69 Small Business Regulatory Enforcement Fairness Act (SBREFA) panel participants involved in evaluating the likely effects of the CFPB’s TILA/RESPA Integrated Disclosure rule (TRID), the mortgage servicing regulation, its loan originator compensation rule, and the Home Mortgage Disclosure Act regulation. Of the 57 small-entity representatives GAO interviewed, “two-thirds stated not enough time was allotted to discuss at least one of the topics on the panel agenda ...

August 22, 2016 - Inside the CFPB

FCC Limits ‘Robocalls’ on Mortgage Loans, Student Loan, Other Debt

The Federal Communications Commission recently promulgated final rules that restrict how companies can attempt to collect on delinquent agency mortgages, federal student loans and other debts owed to the federal government, including through the use of so-called robocalls. The new rules limit the number of robocalls to wireless numbers, including text messages, to three per month. The new rules also only allow robocalls concerning debts that are delinquent or at imminent risk of default, unless there is prior express consent otherwise. The new rules require that, absent consent, callers only call the individual who owes the debt, not his or her family or friends. This includes limiting the number of robocalls allowed to reassigned numbers. The new rules reiterate that ...

August 22, 2016 - IMFnews

Short Takes: Will Ocwen Come Roaring Back? / A 29 Percent Decline in MSR Contracts / Finally, A Stock Deal / HUD Left Money on the Table / A New Director for Altisource

Is Ocwen's share price extremely undervalued?

August 22, 2016 - IMFnews

Call Reports Show Modest Increase in Mortgage-Banking Income for 2Q16

The call-report data pose an interesting, and contrary, view of the banking industry’s mortgage-banking activity during the second quarter…

August 22, 2016 - IMFnews

Tennessee Bank FB Financial Files for IPO, Looks to Increase Mortgage Business

FB also services roughly $4.02 billion in residential loans…

August 22, 2016 - IMFnews

MBA’s ‘Profit’ Falls Ever So Slightly; Revenues Increase Along With Salaries

The top revenue generator for MBA was membership dues at $18.24 million. Its annual convention took in $7.5 million while all other conferences generated revenue of $17.70 million.

August 19, 2016 - Inside Mortgage Trends

New Residential Turns Profits with Servicing Assets

While holders of mortgage servicing rights have taken large writedowns in recent quarters due to declines in interest rates, New Residential Investment has managed to report relatively large profits. New Residential had $68.65 million in net income attributable to common stockholders in the second quarter of 2016, down from $111.74 million the previous quarter and $75.12 million in the second quarter of 2015. New Residential held $1.36 billion in excess MSRs ...

August 19, 2016 - Inside Mortgage Trends

Nonbanks Battered by MSR Accounting in 2Q16

Publicly traded nonbank mortgage companies had widely varying results on their mortgage-banking operations during the second quarter as heavy losses reported by two firms pulled the group’s earnings underwater. Nine nonbanks reported a combined net loss of $339.5 million on mortgage-banking activity for the second quarter. That was actually an improvement over the $510.0 million the group lost in the first three months of the year. Nationstar ... [Includes one data chart]

August 19, 2016 - Inside MBS & ABS

Recent Homeowners Association Super Lien Rulings in Nevada Favor Mortgage Industry

Recent rulings in Nevada favor the mortgage industry when it comes to super-liens imposed by homeowners associations on loans in foreclosure. Twenty-two states have super-lien laws that allow HOAs to take priority over first mortgages and foreclose the property to collect up to six months of unpaid fees. In 2014, the Nevada Supreme Court ruled that an HOA could extinguish a senior mortgage. But the Ninth Circuit Court recently ruled that an HOA foreclosure sale extinguishing the first deed of trust is unconstitutional. In the case of Bourne Valley Trust v. Wells Fargo Bank, the court ruled that Bourne Valley seeking to purchase the property at an HOA foreclosure sale violated the first-lien holder’s due process rights. Attorneys at Bradley ...

August 19, 2016 - IMFnews

Phoenix Selling Flow MSR Package that Could Yield $4.8 Billion

Meanwhile, MountainView Servicing Group is selling a $1.9 billion Fannie Mae/Freddie Mac bulk MSR portfolio…

August 18, 2016 - Inside Mortgage Finance

Delinquencies Continued Gradual Decline in Second Quarter, Helped by Economy and Home Prices

Mortgage delinquencies declined in the second quarter of 2016 compared with the previous quarter, according to the Mortgage Bankers Association. Industry analysts suggest that ongoing improvements to mortgage performance are driven by economic trends along with home price appreciation. According to the MBA, the serious delinquency rate, not adjusted for seasonal factors, declined on a quarterly basis for prime loans, subprime loans, FHA loans ... [Includes one data chart]

August 17, 2016 - IMFnews

Short Takes: Underperforming LOs Should be Shown the Door / loanDepot’s Hsieh on What Investors Want / Former Goldman Trader Chin Takes it on the Chin / GSE Relief for Flooded Homes in Louisiana / New Hire for ATTOM

Joe Garrett added: “…if you keep mediocre producers around, it sends a message that you tolerate mediocrity…”

August 17, 2016 - IMFnews

Bottom Fishers Eyeing the Mortgage Servicing Market?

“It feels like we’re getting to a floor,” said MIAC Managing Director Steve Harris.

August 17, 2016 - IMFnews

Ninth-Ranked Originator loanDepot Sells $150 Million of Debt. No Word on Yield or Who Bought It

Initially, loanDepot planned to register 35 million shares of common at a target price of $16 to $18 a unit, which gave it a maximum valuation of $630 million.

August 17, 2016 - IMFnews

Caliber Only Major Subprime Servicer to Show Growth in 2Q16

However, Ocwen is still prohibited from buying bulk servicing rights until it receives regulatory approval from certain states…

August 16, 2016 - IMFnews

Short Takes: Another MI M&A Deal in the Works? / Tony Renzi’s Stock Award / Fannie Reviewed Board Seat for CEO / Don Works for Free / Regions Works Out HUD Settlement

Keep in mind there are just seven MI firms writing new policies today so there are antitrust implications regarding two large players merging...

August 16, 2016 - IMFnews

MountainView Selling $3 Billion of Ginnie Mae Servicing Rights

In a tough Ginnie MSR market, servicing advisors believe deals can get done as long as the seller has realistic expectations on price.

August 16, 2016 - IMFnews

Walter’s New CEO Tony Renzi Could be a $5 Million Man His First Year

Compared to the second quarter of last year, revenues at Walter declined an ugly 54.6 percent to $187.5 million. In other words, Renzi has a lot to turn around…

August 16, 2016 - IMFnews

Caliber Home Loans Taking a Look at PHH Assets?

For now, Caliber isn’t commenting on PHH and the latter isn’t discussing anything to do with a sale of its assets.

August 16, 2016 - IMFnews

Jumbo MSR Market Hit $863 Billion at Mid-Year

Second-ranked Chase Home Finance serviced $176.60 billion of jumbos at June 30, up 4.1 percent compared to 1Q16…

August 12, 2016 - Inside Nonconforming Markets

Reforms at Ocwen Prompt Upgrades from S&P

S&P Global Ratings upgraded servicer ratings for Ocwen Loan Servicing to average from below average this week. Ocwen’s stock price increased significantly after the upgrade because of ratings clauses in Ocwen’s subservicing agreements with New Residential Investment. S&P downgraded Ocwen’s servicer ratings in June 2015 and if the ratings weren’t raised by April 2017, New Residential could transfer the subservicing to a different company. As of the end of ...

August 12, 2016 - Inside Nonconforming Markets

Caliber Only Major Subprime Servicer Up in 2Q

Among the top 15 subprime servicers, only Caliber Home Loans increased its portfolio during the second quarter of 2016, according to a new ranking and analysis by Inside Nonconforming Markets. Caliber handled $18.62 billion in subprime mortgages as of the end of June, up 4.4 percent from March. During that span, the total amount of subprime mortgage outstanding fell by 4.2 percent to an estimated $275.00 billion. Caliber has been originating ... [Includes one data chart]

August 12, 2016 - Inside Nonconforming Markets

Jumbo Servicing Portfolios Increase in 2Q

Many servicers increased their jumbo portfolios during the second quarter, including both banks and nonbanks, according to a new ranking and analysis by Inside Nonconforming Markets. A group of 30 servicers handled an estimated $863.40 billion in jumbo mortgages as of the end of June, up 2.0 percent from the previous quarter and up 10.7 percent from the same time last year. Wells Fargo, the top jumbo lender, is also the largest jumbo servicer ... [Includes one data chart]

August 12, 2016 - Inside MBS & ABS

Dire Predictions of Soaring CMBS Delinquencies Prove False, So Far. But That Doesn’t Mean it Won’t be a Bumpy Ride

Although delinquencies on commercial MBS rose for a fifth straight month during July, predictions of a bust have not developed and many analysts are starting to feel more comfortable with the sector, especially in regard to multifamily credits. According to figures compiled by Trepp, the overall delinquency rate on U.S. CMBS increased 16 basis points during the month to 4.76 percent. The percentage of loans considered seriously delinquent increased 19 bps to 4.67 percent. This compares...

August 12, 2016 - IMFnews

Short Takes: VA 2Q Loan Volume at $48 Billion / Hedge Funds See Bargains in Servicing Rights? / Bill Erbey Continues to Sell Shares / Michigan Mutual’s New Hire

Some investors believe servicing prices now look enticing.

August 12, 2016 - IMFnews

Across the Board it was an Ugly 2Q16 for MSR Markdowns

Before the financial crisis, it wasn’t unusual for a bank to value its MSR asset at 150 bps or even higher.

August 11, 2016 - Inside Mortgage Finance

Nationstar Buying Servicing While Walter and Ocwen Take Losses and Sell Servicing Rights

Among three nonbank servicers that grew significantly after the financial crisis, Nationstar Mortgage has managed to continue to acquire mortgage servicing rights and subservicing while Walter Investment Management and Ocwen Financial have recently sold MSRs and taken huge losses. Officials at Nationstar said the nonbank is on track to board servicing with an unpaid principal balance of $130.0 billion between August and the end of the year. The new servicing includes acquisitions of MSRs and subservicing agreements. Nationstar handled a $369.0 billion servicing portfolio at June 30, down from $386.0 billion in servicing at the end of March. “I don’t think...

August 11, 2016 - Inside Mortgage Finance

Final Rule Mandates More Loss Mitigation Consideration for Troubled Borrowers, Protections for Successors in Interest

A final rule issued late last week by the Consumer Financial Protection Bureau will add compliance burdens for mortgage servicers, according to industry participants. It includes new requirements for loss mitigation evaluations and standards for successors in interest to deceased borrowers. “The bureau believes that the majority of the provisions in this final rule would impose, at most, minimal new compliance burdens, and in many cases would reduce the compliance burden relative to the existing rules,” the CFPB said. Jonathan Kolodziej, an associate at the law firm of Bradley Arant Boult Cummings, said...

August 11, 2016 - Inside Mortgage Finance

A Handful of Investors Kicking the Tires at PHH Mortgage as M&A Activity Gains Momentum

A handful of investors, including Caliber Home Loans, are kicking the tires at PHH Corp., taking a close look at the company’s mortgage assets and platforms, investment banking sources told Inside Mortgage Finance this week. At this point in time, a sale of the company through a stock transaction is highly unlikely, but the disposal of some of its key assets – in particular, its $231.74 billion servicing portfolio – could finally materialize before yearend. It’s...

August 11, 2016 - IMFnews

Short Takes: When Donald Met the NAHB / No New Regulations? / Foreclosures Rise on a Sequential Basis / Good News for the FHA MMIF / New Hire at Incenter

Earlier in the week, candidate Trump warmed the hearts of banking and financial services executives everywhere when he said he would propose a moratorium on all new financial regulations…

August 11, 2016 - IMFnews

As Rates Stabilize, More Bulk MSR Deals Hit the Auction Market

The $1.5 billion offered by MIAC has an average interest rate of 4.22 percent and delinquencies of 2.65 percent.

August 11, 2016 - IMFnews

Mortgage Brokers Upset with How CFPB Handled Small Business Panel for LO Comp Rule

Several mortgage brokers believe their industry wasn’t well represented on the panel…

August 11, 2016 - IMFnews

The CFPB Unveils its Final Servicing Rule and the Industry Groans

Most of the new requirements under the CFPB servicing rule will take effect in a year…

August 10, 2016 - IMFnews

Short Takes: Brokers are Hot, Bankers Not So Much / Help Wanted: Senior Mortgage Execs / Flagstar Boosting Retail / The Cost Savings From Closing a Jumbo Conduit / New NPL Auction from Fannie Mae

Senior-level mortgage executives are in demand these days, according to one recruiter...

August 10, 2016 - IMFnews

S&P Upgrades Ocwen’s Servicer Ratings, Removing the Threat of a Non-Agency Servicing Transfer

S&P said the upgrade was prompted by improvements to Ocwen’s “control environment,” among other items…

August 9, 2016 - IMFnews

Short Takes: MBA’s Dave Stevens, Former HUD Chief Cuomo in the $100,000 Hillary Club / 66 Basis Points for $35 Billion in MSRs? / Sell Walter? / Fannie CEO Takes A Second Job / Stewart Title Loses Sales Exec to Competitor

Speculators have made a ton of money shorting Walter's stock...

August 9, 2016 - IMFnews

Walter Posts Staggering Loss of $232 Million for 2Q16; Sells MSRs and Hires New CEO

On the production front, Walter’s Ditech unit reported $4.8 billion of new originations, a 3.4 percent drop compared to 1Q16.

August 9, 2016 - IMFnews

Redwood Boosts Net Income in Second Quarter, Sees Promise in Risk Sharing with Banks

Redwood is working to increase investments in first-loss risk on loan pools delivered to Fannie Mae and Freddie Mac.

August 9, 2016 - IMFnews

PHH Working on Sale with ‘Sense of Urgency’; Company Loses $12 Million in 2Q16

The question remains: who will buy PHH's assets? Is a franchise deal even possible?

August 8, 2016 - Inside the CFPB

CFPB Puts Out ‘Guiding Principles’ On Foreclosure Prevention

As policymakers in Washington, DC, face the expiration of the Treasury Department’s Home Affordable Modification Program at year-end, the CFPB last week released a collection of what it characterized as “guiding principles” on the future of foreclosure prevention. “We aim to help consumers avoid foreclosures, which upset their personal and financial lives,” said CFPB Director Richard Cordray. “The modification program was put in place to provide alternatives to foreclosure. Our principles will serve as helpful guardrails for servicers, investors and regulators to consider as we continue to protect consumers who are struggling to pay their mortgages.” In summary, the principles emphasize, among other things, accessibility: “Consumers should easily be able to obtain and use information about loss mitigation options, and ...

August 8, 2016 - Inside the CFPB

Servicing Update: Bureau Finalizes Amendments to 2013 Mortgage Servicing Rule

The CFPB last week upped the compliance ante for mortgage servicers by finalizing a number of amendments to its 2013 mortgage servicing regulation that will expand consumer protections while requiring more of servicers. The protections address, among other issues, successors in interest and borrowers in bankruptcy. Under the final rule, servicers will be required to provide certain borrowers with foreclosure protections more than once over the life of the loan. As per the CFPB’s existing rules, a mortgage servicer is required to give borrowers certain foreclosure protections, including the right to be evaluated under the bureau’s requirements for options to avoid foreclosure, only once during the life of the loan. The final rule, however, will require that servicers give those ...

August 8, 2016 - IMFnews

Short Takes: GSE Net Worth Minimum to Double? What? / Myth and Rumor / Lender Anxiety Over High Home Prices / TRID 2.0 a Net Positive? / A Clarification on Two Harbors MBS

Higher net worth requirements coming on GSE loans?


The yield on the benchmark 10-year Treasury fell to all-time low of 1.34% recently. How much better will originations be at your shop in the second half compared to 1H, if at all?

Better by 1% to 10%.


Better by 11% to 25%.


Off the charts better. Applications are great now.


Worse than 1H, but not by much.


A lot worse. But not sure on the damage.


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