Lenders will now be able make VA loans to veterans who wish to purchase or refinance a home that needs alteration or repair, under new guidance issued by the VA. According to the VA, it has received inquiries from lenders that have expressed interest in originating and processing loans to finance home alteration and repair. The agency noted that the aging housing stock in the U.S. has spurred an increased demand for such loans. Due to their physical condition, older homes are often sold as “cash or conventional financing,” which immediately excludes VA financing and deprives veterans the opportunity to use their VA benefit. The new policy guidance makes the VA guaranty available to lenders looking to finance home alteration, repair, renovation and improvement. It also allows improvements to be included in the value and completed after the loan is closed. The lender disburses the loan proceeds to the ...

VA Issues Guidance on Construction/Permanent Home Loans (Circular 26-18-7). The Department of Veterans Affairs has issued revised guidance designed to encourage lenders to process and originate more home construction loans for veterans. The agency has long offered a program for new home construction but the lack of detailed guidance has inhibited many VA lenders from offering the product. Construction loans are closed before the start of construction. Proceeds are disbursed to cover building costs, the cost of the land, or balance owed on the land. The remaining balance, referred to as a loan-in-process account or a draw account, is held in escrow and disbursed to the builder during construction. The revised guidance requires the lender to obtain a written approval from the borrower before each disbursement or draw payment to the builder. VA construction/permanent home loans are ...

Nonbank servicing of agency MBS has nearly doubled since March 2014…

All of the receivables were originated through the retail channel…

There are some in the industry who believe the entire subservicing sector is far behind in technology and customer service – and is ripe for a technology disruption of a major kind.

The Department of Veterans Affairs has withdrawn a recent directive to provide lender-certification disclosures as part of early disclosure requirements for Interest Rate Reduction Refinance Loans (IRRRLs).

Now comes the big question: How many more MB Financials are out there?

The upside for private MIs is that their purchase business started off 2018 at a more robust level than last year…

The Department of Veterans Affairs is close to issuing a final anti-churning rule to better protect veterans from predatory lending practices as well as developing an end-to-end system to monitor loan performance from origination to servicing.

The agency issued $92.58 billion in MBS backed by forward mortgages during the first three months of 2018.