The Consumer Financial Protection Bureau, responding to input from the mortgage lending community, this week issued a number of proposed clarifications and revisions to its controversial new rule on loan originators, as well as other mortgage rules set to take effect in January 2014. Separately, CFPB Director Richard Cordray made clear that the agency will not delay implementation of the new rules, which include determining a borrower’s ability to repay and massive changes in mortgage servicing requirements. In a speech late last week, he promised to work with the industry to ensure as smooth an implementation process as possible. “We would make...

Republican and Democrat lawmakers in the Senate formally unveiled their ambitious plan to replace Fannie Mae and Freddie Mac with a new federal entity providing backstop guaranties for securities backed by high-quality conventional mortgages. Although they made a variety of changes to a “discussion draft” version of the legislation that has been widely circulated in recent weeks, the proposal still faces a huge hurdle in the House despite winning generally favorable reactions from industry groups. As it was introduced this week, S. 1217, the Housing Finance Reform and Taxpayer Protection Act of 2013, would create...

Implementation of state-specific servicing standards like California’s would impose "divergent and conflicting standards" that will add costs to future home buyers and create confusion, said one MBA official.

Mortgage bankers continue to talk about declining refi applications but purchase money firms remain mostly optimistic about their prospects.

“Confusion and uncertainty around representations and warranties standards continue to cause lenders to add their own overlays to the existing GSE credit standards,” said MBA vice chairman Bill Cosgrove.

Are huge origination profits a thing of the past? Meanwhile, time is running out on the White House GSE petition.

Some non-agency participants have called for an immediate return to conforming loan limits of $417,000, which were in place in 2008 before Congress established “emergency” loan limits for high-cost areas.

The new Bachus bill could be a sign that House Republicans are making a fresh push to force a compromise with the Obama administration over the structure of the CFPB.

One source said Bexil shareholders will hold a meeting on the issue, possibly by week’s end.

The recent rate spike is causing concerns in the jumbo market, particularly for issuers.