RHS Extends Submission Deadline for Online Homeownership Courses. The Rural Housing Service has extended the deadline for submitting online homeownership education courses for use in the agency’s Single Family House Section 502 Direct Loan Program. The new deadline is Dec. 31, 2013. The RHS will review all submitted education packages, each of which should include a course background, a copy of a certificate of completion, a price sheet, and the user’s contact information. HUD Extends Recertification Filing Deadline for All Lenders. The Department of Housing and Urban Development has extended the ...

Purchase-mortgage originations continued to grow during the third quarter of 2013, with a significant share of the loans coming from loan correspondents, according to a new ranking and analysis by Inside Mortgage Finance. Lenders generated an estimated $218.0 billion in purchase mortgages during the third quarter, the highest three-month volume since the third quarter of 2007. That was up 17.2 percent from the second quarter and it brought year-to-date production to $583.0 billion, up 30.4 percent from the same period in 2012. Refinance production continued...[Includes four data charts]

It wasn’t much of a surprise when the Department of Housing and Urban Development announced FHA loan limits for 2014 that lowered the top high-cost market limit, but many were caught off guard by the change in how limits are calculated and by revised median house prices. HUD this week announced that the cap for single-family mortgages in the most expensive housing markets of the lower 48 states would drop from $729,750 to $625,500. That’s the same as the maximum high-cost limit for Fannie Mae and Freddie Mac. During the first half of 2013, only about $2.05 billion of FHA loans exceeded $625,500, or about 1.5 percent of FHA business. But the sunset of the FHA provisions in the Economic Stimulus Act of 2008 also meant...

Recent progress reports on the $25 billion national servicing settlement and the Home Affordable Modification Program suggest that servicers are complying with the vast majority of the programs’ requirements. However, regulators continue to push for better performance. The five banks participating in the national servicing settlement complied with the settlement’s 29 metrics as of the end of the second quarter of 2013, according to a report released last week by the settlement’s monitor. JPMorgan Chase was...

The Department of Housing and Urban Development this week issued a final rule implementing a qualified-mortgage standard for FHA loans that is essentially unchanged from the agency’s first proposal issued in late September. HUD determined that it had to tweak the calculation of points and fees that is in the Consumer Financial Protection Bureau’s QM rule so that a large number – about 19 percent – of FHA forward mortgages will be classified as QMs. The final HUD rule establishes two categories of FHA qualified mortgages: safe-harbor QMs and rebuttable-presumption QMs. FHA forward mortgages will be considered...

The changes are part of an extensive overhaul aimed at boosting the rural housing market, increasing the availability of rural home loans and spurring the construction of new homes in rural areas.

Borrowers with existing FHA-insured mortgages may continue to utilize the agency’s streamline refinance program regardless of their loan balance. The current cap of $271,050 for “low cost” areas will remain unchanged.

Fannie Mae, Freddie Mac and Ginnie Mae issued a combined $82.33 billion in new single-family MBS during November, according to a new Inside MBS & ABS ranking and analysis. New MBS issuance by the three agencies was off 12.0 percent from October, continuing a steady downturn that’s been under way since April 2013. Production last month was off a whopping 58.7 percent from November 2012, when Fannie and Freddie volume spurted higher as issuers maneuvered to avoid a pending increase in MBS guaranty fees charged by the two government-sponsored enterprises. Tumbling refinance activity was...[Includes two data charts]

The agencies securitized just $35.46 billion of refinance loans during November, down 15 percent from the previous month, and refinances accounted for 44 percent of total issuance.

A group of four senators has asked the Obama administration and regulators to reject plans by municipalities to use eminent domain to acquire underwater performing mortgages, warning of a dire impact upon the entire mortgage lending space if such a proposal takes root. In a letter dispatched last week to Treasury Secretary Jack Lew and Housing and Urban Development Secretary Shaun Donovan, the bipartisan quartet of senators expressed their dismay that the administration “has been largely silent” on Richmond, CA’s proposal to seize performing mortgages, then refinance them into an FHA product.