The government could default on its debt obligations as early as June 1, the Treasury Department warned. The development could have major ramifications for mortgage lenders and the broader economy.
The FDIC closed First Republic Bank this week and JPMorgan Chase acquired substantially all of the bank, with help from a loss-sharing agreement provided by the FDIC.
Merger and acquisition activity is heating up, but most of it centers on mortgage servicing rights, huge blocks of it. Not only is SPS in play, but so too is SLS.
Disagreements about the Federal Housing Finance Agency’s new pricing grids for Fannie Mae and Freddie Mac highlight differences between Democrats and Republicans.
Last year was a trying year for most lenders. Among publicly traded shops, Rocket’s Jay Farner was one of the highest paid CEOs in the land, topping Mat Ishbia at United Wholesale Mortgage.
A combination of internal mismanagement and lax regulation led to the failures of Silicon Valley Bank and Signature Bank, according to reviews by the Fed and the FDIC. The regulators plan to tighten regulation of banks, including a focus on interest rate risk.
FHFA Director Sandra Thompson said critics of the new schedule of upfront fees for loans backed by Fannie Mae and Freddie Mac misunderstand the nature and purpose of the price changes.
Servicing valuations are starting to inch downward, but not dramatically. The good news: Investors still want the asset and prices are holding firm. One notable: More MSR owners are hedging the asset these days.