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FHA Revises Guidance for Calculating Student Loan Payments for DTI Purposes

April 18, 2016
George Brooks
The new guidance allows a 50 percent reduction in the percentage used to calculate monthly student-loan payments...
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Short Takes: Third Largest FHA Lender Settles with Uncle Sam / Friday Afternoon Appears to be the Witching Hour for FHA Settlements / Sometimes, the Best Defense is a Strong Offense / A New President and CEO For Stonegate Mortgage

April 18, 2016
Paul Muolo
The New Jersey-based Freedom is no ordinary FHA lender. According to Inside FHA/VA Lending it ranked third nationwide in FHA production last year with $4.52 billion.
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Big Merger of Mortgage REITs May Signal More Deals Are on the Way; Linked Firms May Be Top Candidates

April 15, 2016
The nation’s largest MBS-investing real estate investment trust, Annaly Capital Management, this week agreed to buy the third largest player in the market, setting off speculation among analysts and investors that the “mREIT” sector could be in for a healthy dose of consolidation. The New York-based Annaly said it would buy Hatteras Financial Corp., Winston-Salem, NC, for roughly $1.5 billion in cash and stock. At year end, Annaly ranked...
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What We’re Hearing: FHFA Says Ask the IRS / Maybe, Maybe Not / Jeb Hensarling is Not Happy / Nonbank Will Stop Buying Jumbos. Reason: TRID / Ocwen and Freddie Part Ways / Will Fairholme Win the GSE ‘Bet’?

April 15, 2016
Paul Muolo
So, in other words, a consumer who’s having trouble making his/her mortgage payment soon will have to give Uncle Sam more money in taxes...
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Some Good News: Rating Services Ready to Rate TRID-Affected Deals

April 14, 2016
Brandon Ivey
Many non-agency MBS investors insist that they aren’t comfortable with the liability posed by TRID…
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FHFA Rolls Out Principal Reduction Plan; Can it Fly?

April 14, 2016
Carisa Chappell and Paul Muolo
Servicers must round up eligible customers and present offers by October 15 of this year.
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The Ugly Reality for Non-Agency MBS: It Remains a ‘Recycling’ Project

April 14, 2016
John Bancroft
Some 59.6 percent of new issuance in the first quarter consisted of re-securitizations and deals backed by seasoned re-performing and nonperforming loans...
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CFPB Faces Hostile Questioning in Dispute with PHH; Case Likely Headed to the Supreme Court

April 14, 2016
Thomas Ressler
Trouble ahead for CFPB chief Richard Cordray? The judges asked: “What independent agencies now or historically have been headed by a single person…”
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BofA Reports Weakening Mortgage Profits; Originations Down in 1Q16

April 14, 2016
Paul Muolo
Meanwhile, BofA’s “legacy assets and servicing” unit lost $40 million in the first quarter of 2016.
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Wells Fargo Reports 10 Percent Decline in Originations; Applications Strong

April 14, 2016
Paul Muolo
Wells reported mortgage banking non-interest income of $1.6 billion for the first quarter, a $62 million decline from the prior period.
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