The five largest REIT MBS investors all reported double-digit drops during the final three months of 2013, while the mid-range companies generally had smaller declines and three smaller firms actually grew their portfolios.

According to industry sources, UGI wanted the new trade association to operate on the principle of unanimous consent both for budgetary and policy matters, which was opposed by other MIs.

Last week, Lawsky noted that Nationstar’s portfolio more than doubled between the end of 2012 and the end of 2013. He asked the nonbank servicer to provide the number of full timers in each unit as well as the number of loans per employee.

A spokeswoman for the FHFA declined to provide any guidance on when a CEO or chairman might be named for the CSP. She noted: “The common securitization platform project is still in development,” adding that “We have neither final plans nor specific budgets at this time.”

Whether a servicer was a bank or a nonbank doesn’t appear to have played much of a role in terms of performance in the non-agency portion of the Home Affordable Modification Program, according to the latest assessments by the Treasury Department. Six servicers were found to need “moderate” improvement: three banks and three nonbanks. HAMP incentive payments in the future could be withheld if the firms don’t improve their performance. The needs-to-improve list includes Bank of America, CitiMortgage, Nationstar Mortgage, Ocwen Loan Servicing, Select Portfolio Servicing and Wells Fargo. The other major HAMP servicer, JPMorgan Chase, was found to have largely satisfied HAMP performance requirements, based on assessments for the fourth quarter of 2013. Among the seven largest HAMP servicers, only nonbanks had...

Private-equity firms such as Orange Capital and EJF Capital have been gobbling up shares in PHH Corp. the past year, believing the stock is undervalued. Among other things, “smart money” investors have noticed that the liquidation value of its mortgage servicing rights almost equals the entire company’s market capitalization rate. But that doesn’t mean PHH Corp. will be successful in its attempt to unlock shareholder value by selling off parts of the company, including its mortgage banking franchise and automobile fleet business. “The only thing that’s certain about PHH is that it’s trading below book value,” said one mortgage executive who has conducted business with the firm. Late this week, PHH common was selling...

The desire of the private mortgage industry to make a clean break from the past and repair its tarnished image caused the demise of the Mortgage Insurance Companies of America and fueled the creation of a new trade association that would strongly represent the industry’s interests in Washington, DC, and among the states. Conversations with various industry participants show significant support for the new trade association, U.S. Mortgage Insurers, which now represents six of the seven active firms in the industry. AIG affiliate United Guaranty has declined...

The Department of Labor has asked the Supreme Court of the United States to review an appeals court ruling that put the kibosh on the agency’s policy that mortgage loan officers do not qualify under the administrative exemption to overtime pay. The legal question presented in Thomas E. Perez, Secretary of Labor, et al., petitioners, v. Mortgage Bankers Association, et al., is whether a federal agency must engage in notice-and-comment rulemaking before it can significantly alter an interpretation of an agency regulation. Last October, the U.S. Court of Appeals for the District of Columbia refused...

By itself, BofA accounted for 79.3 percent of the $606.3 billion shrinkage in commercial bank MSR portfolios during 2013. Where did all that servicing go to?

Profits flowing from Fannie Mae and Freddie Mac are poised to be the multi-billion dollar gift that keeps on giving, and could return nearly $180 billion to the Treasury Department over the next decade, according to a White House analysis. The analysis, which is part of the Obama administration’s 2015 budget, assumes the two government-sponsored enterprises will remain in operation and continue to pay dividends to the government under the current “net worth sweep” arrangement. The cumulative budgetary impact of the senior preferred stock purchase agreements will generate...