Lenders must consider debt disputes, collection accounts and judgments in analyzing a borrower’s credit worthiness because they are indicators of the borrower’s ability and willingness to meet his or her credit obligations, according to the FHA. In recently issued guidance, the FHA said lenders should analyze all collections and judgments, past and present, because they may indicate a borrower’s disregard for credit obligations. Such analysis helps decide whether a loan should be approved for FHA insurance, the agency said. The FHA amended its guidance on collections and disputed accounts in Mortgagee Letter 2013-24, and further clarified ...
It was the biggest volume of new lending above the conforming loan limit since the second quarter of 2007 – before “emergency” conforming loan limits were authorized by Congress.
Sales-to-list price ratios on non-distressed properties increased for the seventh consecutive month in July to 98 percent, according to new research from the latest Campbell/Inside Mortgage Finance HousingPulse Tracking Survey.
A spokesman for Wells Fargo told Inside Mortgage Finance that “most of the displacements were on the fulfillment/processing side” of the business and did not include loan officers.
As feared by the residential finance industry, an increase in upfront mortgage insurance premiums is hurting participation in the FHA program by first-time buyers.
The CFPB, HUD and the Department of Justice have all gone on record asserting that disparate impact claims are viable under the Fair Housing Act and the Equal Credit Opportunity Act.
On a combined basis, the nine lender/servicers tracked by Inside Mortgage Trends generated $243 billion in single-family mortgages during the second quarter, a little less than half the entire market.
With Fannie lowering its LTV maximum it will reduce the pool of eligible GSE borrowers and likely shift those loans over to FHA, which means private mortgage insurance firms will lose business.
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