The Department of Veterans Affairs FY 2017 budget is seeking $34 million for the VA Loan Electronic Reporting Interface (VALERI) to manage the 2.4 million VA mortgages in portfolio. VALERI connects VA with more than 225,000 approved mortgage servicers and an estimated 320,000 veteran borrowers. Specifically, the system is used to manage and monitor servicer and VA staff activities aimed at providing timely and appropriate loss-mitigation assistance to defaulted borrowers. Without these resources, approximately 90,000 veterans and their families would be in danger of losing their homes each year, the VA said. Furthermore, this could cost the VA $2.8 billion a year in additional expense. In addition, VALERI also supports payment of guaranty and acquisition claims.Meanwhile, starting March 19, VA servicers began using the new version of the bulk upload templates to ...
House Financial Services Committee Passes Flood Insurance Bill. The House Financial Services Committee recently voted to advance legislation that would provide a private flood insurance alternative to the federal National Flood Insurance Program for homeowners required to purchase flood insurance. H.R. 2901, the Flood Insurance Market Parity and Modernization Act, passed by a unanimous vote of 53-0 and was sent to the House floor for consideration. A Senate counterpart bill, S. 1679, which was reintroduced by Sen. Dean Heller, R-NV, last year, is awaiting action in the Committee of Banking, Housing and Urban Affairs. Both bills were introduced jointly in both the House and the Senate in 2015. Currently, due to uncertainty as to whether the coverage satisfies federal requirements, many lenders are reluctant to issue mortgages for homes with ...
Errors in TRID disclosures on jumbo mortgages played a key role in the recent closure of W.J. Bradley Mortgage, but the privately held nonbank may have had other problems as well, according to industry officials who claim to have intimate knowledge of the company’s operations. A thin capital base is one of those problems. An investor in the company and an investment banking official each told...
The impact of the TRID integrated-disclosure rule that took effect on Oct. 3 seems to have had little impact on Fannie Mae and Freddie Mac. For now, the government-sponsored enterprises are focused on whether sellers are using the correct forms, not whether there are mistakes. The GSEs have amended their contractual obligations with their customers to let them know that the customer is responsible for any potential or actual loss as a result of TRID violations. “So they’re basically turning what was a repurchase obligation into an indemnification obligation,” said...
“Mortgage g-fees should only be used as a buffer against mortgage defaults, not as a piggy-bank for increased government spending,” said NAR chief Salomone.
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