In recent weeks, speculators have been pressing their bets that certain publicly-traded mortgage companies could be in for a world of hurt because origination volumes are likely to remain subdued this year and there is little chance of growth through servicing acquisitions. According to figures compiled by Compass Point Research & Trading and public websites, the two most-shorted mortgage stocks are Nationstar Mortgage and PHH Corp. Measured by the percentage of shares publicly available (known as “float”), Nationstar has...
Smaller and mid-size mortgage lenders were more likely than larger lenders to say their credit standards tightened over the past three months and will tighten more in the next quarter, while larger lenders were more likely to say their credit standards eased in the prior quarter and will continue in the next, according to results of a new lender survey announced by Fannie Mae. The divergent view of credit standards between larger lenders and others is among the key findings of the government-sponsored enterprise’s new Mortgage Lender Sentiment Survey. The quarterly survey focuses on the supply side of the mortgage business and dovetails with Fannie’s monthly national survey of consumers, which provides current information on the demand side of housing. Lender survey results collected during the first two quarters of 2014 showed...
Not only is Nationstar Mortgage one of the most shorted stocks in the sector, but it seems to be having quite a bit of turnover in the executive suite.
Some 4.1 percent of the mortgages to be included in the MBS missed their July payments, with most of the delinquencies due to transfers to Cenlar, according to the term sheet.
The CEO also noted that the Great Neck, NY-based company has a $7 million warehouse line of credit with Sterling Bank. “That’s an achievement,” he said.
The Fannie-BofA squabble was tied to repurchase claims surrounding the bank’s legacy book of business, largely involving loans produced by Countrywide Financial and Merrill Lynch.
According to research from the Consumer Financial Protection Bureau, all financial service companies spend $17 billion each year trying to reach consumers.