The FHA Mutual Mortgage Insurance Fund has improved from a negative position to a positive $4.8 billion in FY 2014 after gaining nearly $6 billion in value over the last year, thanks to aggressive policy actions that led to improvements in key areas, according to an independent actuarial report sent to Congress this week. Overall, the fund showed a $21 billion improvement over the past two years due to changes the FHA implemented following the housing crisis, the report said. The changes led to improved underwriting standards for single-family mortgages, increased mortgage insurance premiums, stronger loss mitigation policies and higher recoveries, it noted. Aggressive policy actions also led...

The outgoing chairman of the Senate Banking, Housing and Urban Affairs Committee this week urged the head of the Federal Housing Finance Agency to look to a final resolution of Fannie Mae and Freddie Mac, while the progressives on the panel pressed the regulator and former Democrat congressman hard to approve principal reductions. “Everyone agrees that conservatorship cannot continue forever, so I hope my colleagues will keep working towards a more certain future for the housing market,” said Sen. Tim Johnson, D-SD, during a hearing with FHFA Director Mel Watt this week. But if “Congress cannot agree on a smooth, more certain path forward I urge you, Director Watt, to engage the Treasury Department in talks to end the conservatorship.” Watt did not address...

The new bulletin discusses standards and guidelines on verification of disability income, including those under the CFPB’s ability-to-repay rule.

In a statement, Rep. Hensarling decried last year’s $1.7 billion “taxpayer-funded bailout” of the FHA.

Although Wells Fargo officially exited the broker market two years ago, it apparently still does a tiny amount of business through the channel.

MIAC is out with a new $73 million Fannie package and MountainView and The Prestwick Group are working on transactions as well.

The FHA’s annual independent actuarial review of the MMIF showed a capital reserve of 0.41 percent at Sept. 30, 2014.

And there could be some good news on lower LLPAs. Fannie said that come May 2015, it will change how it treats loans where there are two or more borrowers...

Wells Fargo estimates that a settlement could cost the bank at least $950 million.

Private mortgage insurers reported hefty increases in the volume of new insurance written during the third quarter of 2014, according to a new Inside Mortgage Finance ranking and analysis. The seven active private MIs wrote primary insurance coverage on $53.95 billion of new mortgage originations during the third quarter, a gain of 22.8 percent from the previous period. On a year-to-date basis, total new primary insurance by the MIs was still down 22.4 percent from the first nine months of last year, mostly because activity in the Home Affordable Refinance Program has declined sharply. HARP accounted...[Includes three data charts]