Notice of the final order on PHH sent the nonbank’s share price tumbling four percent at one point. Regulators say the MI kickback scheme started as early as 1995.
If Fannie Mae and Freddie Mac were privatized, they would likely have to increase their capital from current levels and face increased borrowing costs.
Chuck Klein, managing director for Mortgage Banking Solutions, agrees that most of the coming M&A activity will center on small- and medium-sized shops.