The FHA and the Department of Veterans Affairs this week appealed to lenders to be more sensitive to federal employees who might be struggling with their mortgage payments due to the government shutdown. FHA Commissioner Carol Galante said all approved lenders should make every effort to reach out and assist affected borrowers, which include those who have been furloughed, laid off or suffered a decline in income due to the shutdown. FHA would assist furloughed government workers by offering informal forbearance plans and other loss mitigation options to help affected borrowers avoid foreclosure. Lenders are also encouraged to ...

The MGIC Investment Corp. reported its second straight profitable quarter in 2013 and another increase in new insurance written. While the numbers may not yet indicate a trend, it certainly appears that the Milwaukee-based mortgage insurer is slowly but consistently showing improvement in its performance since posting a net loss of $246.9 million for the same quarter a year ago. MGIC reported net income of $12.1 million in the third quarter and $12.4 million in the second quarter, compared with a net loss of ...

MGIC wrote $8.6 billion in new business in 3Q, up from $8.0 billion and $6.5 billion in the second and first quarters, respectively.

Rumors abound about mortgage firms either closing or laying off staff. Meanwhile, Auction.com, known for selling troubled real estate for banks and other investors, is offering up a $600 million pool of performing multifamily mortgages.

Industry advisors familiar with MIC told Inside Mortgage Finance that the nonbank VA refi specialist was almost sold to a bank this past summer, but the deal fell through.

FHA and VA are urging mortgagees and lenders to extend all possible assistance to borrowers who have been furloughed, laid off or suffered a decline in income because of the government shutdown.

“Any future announcement will be made in conjunction with stakeholders to minimize volatility in the MBS market,” Ginnie Mae said, emphasizing that no decision has been made on the issue.

There is no mention in the SunTrust filing how much HUD/FHA might receive. A spokesman for the bank declined to provide a number to Inside Mortgage Finance.

With most of FHA's staff on furlough, the private mortgage insurance sector sees an opportunity to gain business.

A company owned by Lone Star appears to have won the bid on Flagstar MSRs. Meanwhile, MountainView hits the market with a new deal.