Government lending accounted for a rising share of first-lien originations in 2022 largely by taking in higher-risk loans. The steepest decline in the fourth quarter was in conventional-conforming production. (Includes two data charts.)

Borrower use of buydowns spiked as interest rates increased in 2022, but “permanent” buydown activity has diminished somewhat this year.

In a surprise move, loanDepot Executive Chair Anthony Hsieh has stepped down, though he remains as chairman. What’s clear: The LD founder is not a happy camper, as insiders sell stock and the firm’s fortunes fade.

The industry believes a DTI-based LLPA will create quality-control issues for lenders and raise prices for minority and first-time homebuyers.

The TILA-RESPA Integrated Disclosure rules require mortgage lenders to disclose prices within three days of an application. But to do so they have to rely on frequently faulty income and debt information.

Communication is key when mortgage companies face financial difficulties and potential breaches of warehouse financing covenants. Warehouse providers are looking for profitability plans for nonbanks.

Commercial banks continue to look sideways at the residential lending business, wondering why they should be in it at all. Some are getting out while others are scaling back significantly.

Michael Hild’s 44-month prison sentence is much shorter than the 15 years recommended by prosecutors.

Primary-market originations of first-lien home loans fell to $335 billion in the final three months of last year — the lowest output since the second quarter of 2014. All major lenders saw volume decline. (Includes two data charts.)

On a quarterly basis, originations will bottom out in the first quarter, according to projections by the Mortgage Bankers Association. Still, it will take a little longer for profitability to improve.