Applications for purchase mortgages surged last week as FHA borrowers rushed to get their applications in before April 1, when higher FHA annual insurance premiums took effect, according to the Mortgage Bankers Association’s latest weekly survey of mortgage loan applications. The boost in total purchase applications for the week ending March 29 was fueled by a nearly 7.0 percent increase in government-backed purchase applications, the MBA noted. “This [increase] was likely driven by borrowers applying for loans prior to the scheduled increase in FHA premiums that took effect on April 1,” said Mike Fratantoni, the MBA’s vice president of research and economics. “On a year-over-year basis, purchase applications are up about 4 percent, in line with the trend we are seeing in home sales volume.” The 10 percent annual premium increase, the third in two consecutive years, applies...
In the first major change to loan originator test requirements since tests required by the Secure and Fair Enforcement for Mortgage Licensing Act were implemented in 2009, 20 state regulators adopted new LO tests this week. Industry participants applauded the uniformity among states, which will allow mortgage loan originators to satisfy testing requirements for multiple states in one swoop. Effective April 1, 20 states implemented uniform state content for the SAFE MLO test, five more states will adopt the test July 1 and two state agencies in Texas will adopt the test Oct. 1. MLOs seeking a license in the states will no longer be required to take a second, state-specific test component, according to the Conference of State Bank Supervisors. “This is...
Most mortgage-related complaints borrowers filed with the Consumer Financial Protection Bureau stemmed from problems they had making their payments, although servicers generally turned in surprisingly high and consistent response rates for timeliness and resolution, according to an analysis of the new data by Inside the CFPB, an affiliated newsletter. Among the 90,000 consumer complaints included in the vastly expanded public database, more than 50,000 – far and away the biggest share – had to do with mortgages. About 30 percent of the mortgage complaints were leveled...[Includes one data chart]
The Securities and Exchange Commission last week cleared the way for Genworth Financial to separate its struggling mortgage insurance operations and create a new holding company structure that would shield the parent from any fallout from problems of its MI operations. The SEC granted Genworth’s request for a no-action letter, which ensures that no enforcement action would be taken based on Genworth’s interpretation of rules and regulations regarding mergers and succession, new registrant, obligations and indentures. Genworth announced...
An Arizona court is expected to rule soon on whether to approve a proposed asset and stock purchase agreement worth up to $267 million between the appointed receiver of PMI Mortgage Insurance Corp. and private-equity investor Arch Capital.
Fannie Mae and Freddie Mac securitization volume reached its highest level in nearly four years during the first three months of 2013, according to a new Inside Mortgage Finance market analysis and lender ranking. Ongoing strength in refinance activity was the key. The two government-sponsored enterprises securitized a total of $296.4 billion of refinance loans during the first quarter, accounting for a hefty 83.3 percent of their total business. It was the biggest wave of refi loans to hit the GSE market since the second quarter of 2009, when a whopping $373.7 billion of refinances were securitized by Fannie and Freddie – before the Home Affordable Refinance Program reached its stride. While GSE refi business was...[Includes three data charts]
Fannie Mae ended 2012 with its single best quarterly and yearly profit in company history, prompting the government-sponsored enterprise to predict sustained profits “for the foreseeable future,” without taking into income any of the massive allowance it has built up related to deferred taxes. Fannie reported net income this week of $17.2 billion for 2012, compared to a net loss of $16.9 billion in 2011, with fourth quarter earnings of $7.6 billion. A year earlier, the GSE posted a $2.4 billion loss for the fourth quarter of 2011. “We had...
Home prices nationwide jumped in February by the largest margin in seven years, said CoreLogic while the SEC has decided to allow public companies to Twitter and Facebook.
Despite its efforts to enhance its hiring outreach to minority and women potential contractors and employees during 2012, the Federal Housing Finance Agency still faces challenges finding qualified and diverse candidates.
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