There is a whole other level of supervisory and enforcement authority available to the bureau under a director approved with the consent of the Senate, mostly having to do with non-bank lending.
The expanded system would include a more comprehensive method for measuring lenders loss mitigation activities as well as their compliance with FHAs default servicing requirements.
The Congressman argues that if the two are not allowed pay down their draws from Treasury then any future funds sent" to the U.S. should be reinvested in the housing market.
Fed Chairman Ben Bernanke indicated that the central bank is leaning toward scaling down its MBS purchases later this year, and that rapidly rising mortgage interest rates dont pose a major threat to the fledgling housing recovery.
Wall Street is concerned that the further away a loan is from getting safe harbor protection as a qualified mortgage, the more legal uncertainty and higher costs there will be associated with it.
Freddie Mac's "low activity fee" will be mostly eliminated. However, it will still apply to originators that have not sold a loan to the GSE in 36 months.
When rates spiked this week, margin calls to MBS investors increased. Lenders are nervous but next will will be the real test, mortgage executives told Inside Mortgage Finance.