The Complete Guide to Mortgage Buyback Strategies, 7th Edition PDF Format
Fannie Mae and Freddie Mac wrapped up their repurchase investigations on seasoned loans at the end of 2013. And, yet, plenty of buyback risk remains.
From the government-sponsored enterprises, the risk is now mostly focused on newly originated loans, which are undergoing more reviews and getting kicked back for smaller infractions. Elsewhere in the federal government, two long-armed statutes, the Financial Institutions Reform, Recovery and Enforcement Act and the False Claims Act, are helping the U.S. Department of Justice (on behalf of the FHA) to scrutinize legacy loans—and secure payouts in the hundreds of millions or even billions of dollars. And non-agency MBS investors are also still pursuing, and securing, big-money financial solace for claims based on old loans.
In an updated 7th edition of the Complete Guide to Mortgage Buybacks, Inside Mortgage Finance looks at the current state of repurchases and indemnifications, from legacy issues to new production, from agency and government-backed loans to non-agency securities to mortgage insurance.
The guide includes sections on
- Fannie Mae and Freddie Mac, including information on their revised rep-and-warrant framework and quality control and loan-review procedures;
- The FHA and Ginnie Mae, with information on the FHA’s plan to reduce the need for credit overlays and tips for handling indemnification requests;
- Non-Agency MBS, with discussions of litigation and settlements and tactics that have increased the statutes of limitations;
- Mortgage Insurers and the new master policies;
- Lender Issues, including impacts on smaller lenders and correspondents; and
- Buybacks Data, with charts detailing bank and thrift repurchase activity and agency GSE buyback actions for 6M14.