CFPB Deputy Director Steven Antonakes was harshly critical of the mortgage servicing industry and put servicers on notice they'll likely have a higher bar when it comes to making a good-faith effort than perhaps they were anticipating. Speaking last month at the Mortgage Bankers Association's mortgage servicing conference, Antonakes noted that back in 2006, when he worked as the Massachusetts Commissioner of Banks, he collaborated with the industry, urging servicers to increase the pace of loan modifications and engage in best practices.

“Revenues at some of these firms are going to take a nosedive over the next year or so,” said Anthony Garritano, founder of the Progress in Lending Association, an industry think-tank.

Ocwen’s subprime receivables were purchased in the secondary market from other firms trying to exit the space.

HomeStreet might participate in or sponsor non-agency MBS going forward.

In an interview with IMFnews, Habib confirmed his resignation, but declined to say anything further about the company’s future.

The preliminary findings are not pretty: 55 percent of lender/servicers lost money in 4Q compared to just 4 percent for the first nine months of 2013.

After two years of significant improvements, the total past-due rate for subprime mortgages has stalled since the first quarter of 2012. Special servicers continue to grow their subprime holdings in an effort to work out the poorly performing mortgages. The total past-due rate for subprime mortgages at the end of the fourth quarter of 2013 was 20.82 percent, according to the Mortgage Bankers Association, up from 20.14 percent in the previous quarter and from 20.30 percent in the fourth quarter of 2012. The past-due rate on subprime mortgages peaked in ... [Includes one data chart]

In an earnings call this week, company founder and Executive Chairman Bill Erbey offered no further insight as to when the sale will be approved.

What does the seller of the MSRs think about what's going on with the DFS? A spokesman for the nation's largest lender and servicer told IMFnews: "Wells Fargo has not been a party to any discussions with the New York Department of Financial Services regarding Ocwen."

Nonbank servicers are receiving increased attention from state regulators, the Consumer Financial Protection Bureau and members of Congress. Ocwen Financial is at the center of the storm as its planned acquisition of mortgage servicing rights from Wells Fargo on loans with an unpaid principal balance of $39.2 billion is on "indefinite hold" due to a request from New York's Department of Financial Services. Ben Lawsky, superintendent of the NYDFS, has focused on ...