In the wake of large losses and insurance claim discrepancies stemming from the financial crisis, the government-sponsored enterprises and mortgage lenders are set to reap the benefits of new private mortgage insurer standards that formally take effect Jan. 1, 2016. Much tighter MI underwriting, coupled with improved insurer due diligence and stringent capital requirements, will improve claim payouts on defaulted loans, according to a recent report by Moody’s Investors Service, adding that policies written under updated GSE requirements will result in lower losses on the GSEs’ risk-sharing transactions and master insurance policies. The updated requirements for master policies give...

The trade group quickly found a villain for the ugly reading: the Oct. 3, 2015, effective date of the CFPB’s TRID rule.

As one JPM competitor noted: “It’s no surprise that correspondent led the way for them. They own the correspondent jumbo market.”

In 3Q, BofA funded $13.71 billion of first liens, a 14 percent sequential decline. All of it came through the retail channel.

According to a rate sheet, the minimum loan amount on the rental properties is $250,000 while the minimum number of properties is five...

Bank returns on mortgage activities turned sharply negative during the recession of 2007 through 2009 before rebounding and becoming consistently positive by early 2011.

Freddie said that demand has kept pace with new supply, calming concerns that growth might start to decelerate.

Actual GSE sales volume for the top five was down 2.2 percent from the second quarter, but overall Fannie/Freddie business was down slightly more, 3.8 percent.

Wall Street remains concerned about the level of standardization of Fannie Mae and Freddie Mac operations in a single-security environment where investors would be expected to treat them as completely interchangeable. The Structured Finance Industry Group this week reiterated its concern about the Federal Housing Finance Agency’s plan to avoid “complete alignment” of the two government-sponsored enterprises’ operations. In a May 2015 update on the single security, the FHFA said it would carefully assess business decisions that could lead to different prepayment speeds, but that buy-out and removal policies at the two GSEs are essentially the same. That isn’t...

Banks, thrifts and credit unions increased their agency mortgage-backed security issuance by 0.9 percent from the second to the third quarter, while nonbank issuance was down 1.3 percent.