The Department of Housing and Urban Development inspector general, over the last several weeks, has reported a series of final civil actions that resulted in an enforcement action or monetary settlement between an FHA lender and the federal government. On Oct. 6, the IG announced the results of an audit of TXL Mortgage Corp., a direct endorsement lender, in Houston. The audit found TXL in violation of HUD requirements and that it had no acceptable quality-control plan in place. Specifically, 16 of the 20 sample loans the IG reviewed did not comply with HUD standards. Of the 16 loans, eight had significant underwriting defects and failed to qualify for FHA mortgage insurance. Two loans qualified but were over-insured, according to the report. As a result, TXL exposed HUD to more than $713,000 in unnecessary insurance risk and caused the department to incur more than ...

One of the key documents VA lenders require veteran borrowers to submit is the certificate of eligibility (COE). A VA loan application will not move forward without a COE, a requirement for any active-duty servicemember or veteran seeking to take advantage of the VA’s home-loan guaranty program. The COE verifies to the lender a loan applicant’s eligibility for a VA loan. The evidence a lender might require depends on the nature of the applicant’s eligibility. Veterans and current or former National Guardsmen or reservists who have been called to active duty must submit DD Form 214. The form would show the character of service and the reason for separation from the service. Active-duty servicemembers must submit a current statement of service signed by a superior, the unit commander or the adjutant, higher headquarters or the personnel office. The statement must contain the ...

Based on mortgage production figures reported by the five largest banks with substantial involvement in the residential home loan market, third-quarter originations likely rose about 10 percent from the previous period. Five bank mortgage lenders – Wells Fargo, JPMorgan Chase, Bank of America, U.S. Bank and Citigroup – reported a combined $135.5 billion in home loan production during the third quarter. That was up a respectable 9.0 percent from the second quarter. But during the second quarter, their combined production jumped 30.0 percent from the first three months of the year. However, the five major banks have...[Includes one data table]

At Sept. 30, U.S. Bank held $56.2 billion of first and second liens in portfolio, a 7.7 percent improvement from the same period a year earlier.

Meanwhile, loan brokers tended to originate larger loans, averaging $264,646 for purchase mortgages…

“Community bank regulators have taken a diagnostic approach with TRID compliance, which has been positive,” said ICBA’s Ron Haynie.

The comment period on the amendments ended Tuesday night. The CFPB will issue a final rule sometime next year.

One mortgage CEO who has been contacted by Wornow said he’s in the process of starting his own capital markets company.

The private MI share of agency purchase loans rose from 26.9 percent in the second quarter to 27.8 percent in the third.

Renzi joined Walter this past fall with a pay package that could top $5 million in his first year at the helm. He previously held senior positions at Citigroup and Freddie Mac.