Mortgage Servicers

Browse articles from all of our Newsletters related to Mortgage Servicers.

February 16, 2018 - Inside The GSEs

FHFA Challenges GSE Shareholder Suits Over Agency’s Structure

GSE shareholders seeking to challenge the Federal Housing Finance Agency based on its single-director structure may now face an added challenge. The Federal Housing Finance Agency has asked the courts to review the decision of the DC Circuit in PHH Corp. v. Consumer Financial Protection Bureau as it relates to similar complaints against the agency. When a 2016 ruling found that the similarly structured Consumer Financial Protection Bureau is not constitutional, Fannie Mae and Freddie Mac shareholders filed lawsuits asking the courts to vacate the Treasury sweep of GSE profits altogether.


February 16, 2018 - IMFnews

What We’re Hearing: Death, Taxes and the GSEs / Sweet Tax Cows / Not a Peep Out of Pershing Square and Fairholme / The Wrath of Jeb / MSR Market Heats Up / A Huge Profit for Annaly / Citizens Bank Gets a New Mortgage Chief

Suffice to say, Fannie and Freddie are two cash cows that only a crazy person would eliminate, unless that crazy person doesn’t like money…


February 16, 2018 - IMFnews

The WMIH-Nationstar Merger, a Feat of Financial Engineering

Once consummated, the merger will allow Nationstar to shelter its earnings for years to come…


February 15, 2018 - Inside Mortgage Finance

Mortgage Delinquencies Increase at End of 2017 with Poor Performance Concentrated in Areas Damaged by Hurricanes

Mortgage delinquencies overall increased at the end of the year, with the poor performance largely attributed to areas hit by hurricanes in August and September. Mortgage performance in most of the rest of the country actually improved at the end of 2017.


February 15, 2018 - IMFnews

Behind the White House’s Request to Shore Up FHA Tech: 73 System Outages in 2017

The budget proposal calls for exempting “small lenders” – companies that generate about 20 percent of FHA business – from the IT fee.


February 15, 2018 - IMFnews

CFPB Continues with its ‘Public Input Series,’ Wants Feedback on Supervisory Processes

This is the fourth in a series of RFIs announced as part of Acting Director Mick Mulvaney’s “call for evidence.”


February 14, 2018 - IMFnews

New Tax Law Blows a Hole in Fannie Mae’s 4Q17 Results, FHFA to Ask Treasury for $3.7B in Cash to Eliminate the ‘Net Worth’ Deficit

As National Association of Realtors Vice President Joe Ventrone put it: “It’s an unintended consequence of the tax bill rather than falling into the bailout narrative.”


February 14, 2018 - IMFnews

127 Mortgage Banking Executives Sign ‘Open Letter’ to Congress on GSE Reform

Housing finance reform legislation is being worked on in the House and Senate but has yet to be formally introduced.


February 13, 2018 - IMFnews

Mortgage Firms Looking to Sell Servicing Rights are Sitting Pretty

Dealmakers point to not only higher interest rates but lower anticipated loan production and MSR values that are firming up.


February 13, 2018 - IMFnews

Nation’s Third Largest Servicer Nationstar Agrees to Merge with KKR-Backed WMIH

Nationstar’s stock is publicly traded, but is majority owned by Fortress Investment Group, which late last year was sold to SoftBank.


February 13, 2018 - IMFnews

CFPB Issues Industry-Friendly Strategic Plan

Acting CFPB Director Mick Mulvaney: “If there is one way to summarize the strategic changes occurring at the bureau, it is this: we have committed to fulfill the bureau’s statutory responsibilities, but go no further.”


February 12, 2018 - IMFnews

Nation’s Third Largest Servicer Nationstar Agrees to Merge with KKR-Backed WMIH

Nationstar’s stock is publicly traded, but is majority owned by Fortress Investment Group, which late last year was sold to SoftBank.


February 12, 2018 - IMFnews

Trump Budget: DTA Hits Mean Treasury Draws for Fannie and Freddie. White House Wants to Cut Contributions to the Housing Trust Fund

Freddie Mac's Treasury draw is estimated at $400 million...


February 12, 2018 - IMFnews

Short Takes: RESPA (TRID) Changes May Become Law / Watching the 10-Year (Rise) / Can Mulvaney Wear Three Hats? / Naming a Permanent CFPB Director / A New Hire for Silver Hill

Another day and another increase in rates...


February 12, 2018 - IMFnews

Housing Advocates Worried about Sen. Corker’s GSE Reform Draft

The Center for Responsible Lending and other groups said the Corker draft threatens access, affordability and market stability…


February 9, 2018 - Inside FHA/VA Lending

FHA Delinquencies Spike in Puerto Rico as Island Remains in Disarray

FHA delinquencies rose sharply in Puerto Rico following the devastation brought by hurricanes Maria and Irma last year. At the end of 2017, 28.8 percent of FHA mortgages on the island were at some stage of delinquency, including 15.8 percent that have fallen 90 days behind on their mortgage payments. Deutsche Bank Securities analysts believe the spike in delinquency rates overall is “a short-term phenomenon.” They noted that FHA, Fannie Mae and Freddie Mac have declared temporary moratoria on evictions and foreclosures in Puerto Rico and other hurricane-ravaged regions. Issuer exposures in devastated areas remain unclear and Ginnie Mae has not updated its MBS hurricane exposure data since October last year. In the initial disclosure, the agency reported 9.7 percent (1,066,028 loans) of its total MBS portfolio were impacted by Harvey, Irma and Maria. The affected loans’ unpaid principal ...


February 9, 2018 - Inside FHA/VA Lending

Section 502 Lending Rises in FY17, Remains USDA’s Lead SF Program

The U.S. Department of Agriculture provided $19.3 billion in rural housing loan guarantees under its largest single-family housing program in FY 2017, according to the USDA Rural Housing Service. Last year’s total guarantees were $2.92 billion more than in fiscal 2016. Approximately 137,071 USDA loans were securitized in 2017. According to RHS, in October 2017, the loan guarantee upfront fee fell from 2.75 percent plus a monthly 0.5 percent fee to 1.0 percent plus an annual fee of 0.35 percent. The fee drop helped reverse a decline in obligations from the previous year, RHS noted. The average income for a Section 502 single-family guaranteed loan borrower was $59,191 in fiscal 2017, up from $57,962 in the prior fiscal year. For the lower-income Section 502 Direct program, USDA provided approximately $1.0 billion in housing loan guarantees, about $41.7 million higher than the ...


February 9, 2018 - Inside FHA/VA Lending

DC Appeals Court Upholds Lower Court’s Dismissal of FCA Lawsuit

The U.S. Court of Appeals for the District of Columbia Circuit recently upheld a lower court dismissal of a False Claims Act lawsuit alleging a lender’s violation of the 2012 National Mortgage Settlement and of the Home Affordable Modification Program. In Laurence Schneider, Appellant, v. JP Morgan Chase Bank, N.A., et al., Appellees, the federal government declined to intervene, allowing the qui tam lawsuit to proceed. Schneider, the relator and an owner of a mortgage servicing company that purchased numerous loans from Chase, alleged that the lender falsely claimed compliance with the $25 billion landmark settlement negotiated in 2012 between the federal government, 40 state attorneys general, and a group of large banks, including Chase. The settlement resolved claims against the banks for allegedly improper origination and servicing of conventional, FHA and VA loans that were thought to ...


February 9, 2018 - Inside FHA/VA Lending

Ginnie Targets Issuers Responsible For Rapidly Prepaying VA Loans

Ginnie Mae this week warned nine VA lenders suspected of engaging in loan churning to each develop a plan to slow the rapid pace of prepayments they have triggered in the agency’s securitized loan pools. According to Ginnie, the issuers were directed individually to deliver correction action plans containing measures that could be deployed immediately to bring prepayment speeds in line with market peers. The agency told issuers they would be barred from multi-issuer pools if they do not come up with a plan. Participation would be allowed only in the agency’s custom pools. The latest action builds off the Ginnie Mae/VA Loan Churn Task Force, which has been working since September to resolve the churning problem. “We have an obligation to take necessary measures to prevent the lending practices of a few from impairing the performance of our multi-issuer securities, and thus raising the ... [ Chart ]


February 9, 2018 - IMFnews

What We’re Hearing: America, a Good Mortgage Customer? / Higher Rates, but How Much Higher? / Mortgage Bulls / Three Former Clayton Executives Launch Due Diligence Firm / Santander’s Warehouse Chief Departs / Mel Watt’s Successor Might…

The new game in town is figuring out who will succeed Mel Watt as director of the Federal Housing Finance Agency...


February 9, 2018 - IMFnews

PennyMac Financial Posts a $123.9 Million Profit in 4Q, Originations Down by 10.0 Percent; Lender Set to Launch New Products

PennyMac originated $17.04 billion of home mortgages in the fourth quarter, largely through the correspondent channel


February 9, 2018 - Inside MBS & ABS

As FHA Delinquencies Rise Sharply in Puerto Rico, Ginnie Mae is Keeping a Close Eye on MBS Issuers

At yearend, 28.8 percent of FHA mortgages in Puerto Rico were in some stage of delinquency, including 15.8 percent that were 90 days or more past due. These ultra-high late-payment readings – courtesy of hurricanes Maria and Irma – have caught the attention of both Ginnie Mae and the FHA. …


February 8, 2018 - Inside Mortgage Finance

Lenders May be Singing the Blues Because of Rising Rates, But Firms Looking to Sell Servicing Rights are Sitting Pretty

Thanks to rising interest rates in the second half of 2017, sales of mortgage servicing rights boomed last year and, the way things stand today, 2018 could bring more of the same.


February 8, 2018 - IMFnews

Freedom Mortgage Buys $25 Billion of Servicing Rights from Stearns Lending

In the summer of 2015, The Blackstone Group bought a controlling interest in Stearns.


February 8, 2018 - IMFnews

Ginnie Mae Lays Down Law on VA Churning, Warns Select Group of Issuers They Face Banishment

Issuers cited by Ginnie Mae are expected to deliver a corrective action plan...


February 7, 2018 - IMFnews

MBA Chairman Motley Hopeful that HUD Will Act Soon on FHA Clarifications

The trade group chief said uncertainty still exists around FHA loan level certifications…


February 7, 2018 - IMFnews

Mortgage Servicers Worry about Bankruptcy Provisions in CFPB Rule

As of April 2018, mortgage servicers will have to send monthly billing statements to consumers in active bankruptcy cases…


February 6, 2018 - IMFnews

Short Takes: What Stock Market Correction? / Bond Prices? / Fretting Over Fannie-Freddie Common / The GSE Message from Jeb and Steve / BlackRock Likes Genworth / New Penn Gets a New President / FSR Chief Pawlenty Departs

The price of Fannie Mae and Freddie Mac common is getting smacked around...


February 6, 2018 - IMFnews

TIAA Preps Jumbo MBS with Loans Originated by Unit Formerly Known as EverBank

In recent years, only two other banks have issued jumbo MBS: JPMorgan Chase and Flagstar...


February 6, 2018 - IMFnews

Chairman of House Financial Services Subcommittee Pondering GSE Reform

MBA’s Dave Stevens worries about what might happen to the mortgage market under a Trump-appointed FHFA director…


February 6, 2018 - IMFnews

Mortgage Profits at Depositories Tumbled 29 Percent in 2017

Many lenders cited increased competition in a declining market for the weaker results…


February 5, 2018 - Inside the CFPB

Service Member Mortgage Complaints Drifting Higher

Complaints by active-duty and retired U.S. military personnel about their mortgages rose in many categories tracked, both on a quarterly basis and on an annual basis, according to a new analysis and ranking by Inside the CFPB. Overall, they are definitely trending up. For instance, complaints by service members about all mortgage products in general rose from 582 incidents in the fourth quarter of 2016 to 739 in the fourth quarter of 2017, but they fell from a total of 741 in the third quarter of last year. The increase was a little more consistent when particular mortgage products were segregated out from the aggregate data. For instance, gripes about conventional mortgages rose from 218 in 4Q16 to 334 [with charts] ...


February 5, 2018 - Inside the CFPB

Servicers Express Concern About Bankruptcy-Related Provisions

The Consumer Mortgage Coalition recently wrote to CFPB Acting Director Mick Mulvaney to express the continuing, unresolved concerns its members have with some of the bankruptcy-related provisions of the bureau’s mortgage servicing rules. As of April 2018, mortgage servicers will have to send monthly billing statements to consumers in active bankruptcy cases and certain bankruptcy cases in which the debtor’s personal liability was previously discharged. This is problematic for a number of reasons, according to the CMC. First, these proposed rules conflict with well-settled bankruptcy law prohibiting a creditor from collecting from consumers who are in an active bankruptcy case or who have previously been discharged from personal liability in a prior bankruptcy case. “The courts have held these provisions ...


February 5, 2018 - IMFnews

Short Takes: Ginnie is Good, but is it That Good? / Brunts Bolts Freddie for USB / Moody’s Downgrades New Rez, Citing Reliance on Subs / The Wild Ride of the 10-Year Treasury / New Mortgage Chief at SunTrust

On Friday, Moody’s downgraded the issuer rating of New Residential Investment Corporation...


February 2, 2018 - Inside Mortgage Trends

Hurricanes Drive Up 90-Day Delinquencies

It’s been a few months since hurricanes Irma and Harvey pounded coastal areas of the U.S. mainland, but the storms are continuing to wreak havoc on many affected homeowners. The latest data from Black Knight, in Jacksonville, finds that 90-day delinquencies have jumped due to the hurricanes’ impact.


February 2, 2018 - Inside Mortgage Trends

Rising Mortgage Payments Will Jump Even Higher

The American homebuyer’s “typical mortgage payment” is up 12 percent over last year, and the trend is expected to continue in the year ahead, according to a new report from CoreLogic.


February 2, 2018 - IMFnews

What We’re Hearing: Interest Rate Armageddon? / Sucking Pond Water? / Tony Renzi’s February Surprise / A Raise for Ginnie Mae Staffers / Investors Unite Weighs in on the Corker Bill (Not Happy) / Mnuchin’s GSE Plan

Investors Unite is not happy...


February 2, 2018 - IMFnews

Walter’s $5 Million CEO Tony Renzi to Depart. No Successor Named

Among servicers, Ditech ranked 11th at Dec. 31, according to figures compiled by Inside Mortgage Finance.


February 2, 2018 - IMFnews

CFPB Consolidates and Restructures Fair Lending Enforcement Apparatus

CFPB Senior Advisor John Czwartacki said: “The bureau’s statutory mandate includes the supervision and enforcement of fair lending laws and regulations … the bureau will continue to perform those functions.”


February 2, 2018 - IMFnews

Ginnie Issues Warning to Servicers, Some Could be Terminated for High Delinquencies

New agency guidance makes clear that issuers are expected to make an ongoing investment in servicing capability…


February 1, 2018 - IMFnews

Walter’s $5 Million CEO Tony Renzi to Depart. No Successor Named

Among residential servicers, Ditech ranked 11th at yearend, according to figures compiled by Inside Mortgage Finance.


February 1, 2018 - Inside Mortgage Finance

Mortgage Servicers Spell Out Continued Concerns With Bankruptcy Provisions of CFPB Servicing Rules

The mortgage servicing rules promulgated by the Consumer Financial Protection Bureau continue to be a source of headaches for many in the industry, particularly in the context of bankruptcy proceedings. Late last week, the Consumer Mortgage Coalition wrote CFPB Acting Director Mick Mulvaney, detailing three of its primary concerns in this regard.


February 1, 2018 - Inside Mortgage Finance

Busy MSR Market Helped Shape Top Servicer Ranking in 2017, But Trends Remained Steady

A robust market in mortgage servicing rights reinforced ongoing trends shaping the home-loan servicing business in 2017, a new Inside Mortgage Finance ranking and analysis reveals.


February 1, 2018 - IMFnews

Short Takes: Mortgage Trouble at SoFi / Thin Margins / Ex-Fannie Mae Worker Indicted / Mortgage M&A in New England / A New Hire for Bay Equity Home Loans

One executive familiar with SoFi’s residential business said the company is operating on razor thin profit margins…


February 1, 2018 - IMFnews

Nonbanks Reach Another MSR Milestone: A 43 Percent Market Share Among the Top 50

The $3.42 trillion of servicing held by nonbanks was up 20.7 percent from December 2016…


January 31, 2018 - IMFnews

PHH CEO Robert Crowl Gets a New Contract, Could Earn $2 Million-Plus This Year

Over the past two years, PHH has sold off large chunks of its MSR portfolio, while remaining as the subservicer of record…


January 31, 2018 - IMFnews

FHA Issues Disaster-Related Waiver for Early-Payment Default Reviews

Due to the string of natural disasters, FHA anticipates an increase in EPDs…


January 30, 2018 - IMFnews

GSE Reform Draft (#29) Lays Out a New Mortgage Market with a Federal Guarantee but Private Capital; FHFA and Ginnie in Charge; Treasury Can’t Sell GSE Stock

Treasury would be barred from selling or disposing of “any senior preferred shares, any interest in the warrants, any common shares acquired upon the exercise of the warrants, or any other equity interest that were acquired pursuant to the Senior Preferred Stock Purchase Agreement.”


January 30, 2018 - IMFnews

Short Takes: Mnuchin Says Treasury Remains Committed to GSE Reform / The 30-Year FRM Must Survive / More Private Capital, Yes / Thomas Marano’s New Problem to Solve: Walter / After 25 Years, Exec Bolts PHH for Home Point

Mnuchin said the 30-year FRM cannot survive without Fannie and Freddie...


January 30, 2018 - IMFnews

Investors in Walter Get a Sweet Deal: a 9 Percent Note Rate

According to a new SEC filing, the unsecured notes previously matured in 2021 and carried a yield of 7.88 percent.


Poll

How many new retail loan officers (net) is your shop looking to hire in the first quarter of 2018?

1 to 10. We’re being careful.
11 to 30. We’re feeling slightly bullish.
31 or more. We’re in expansion mode.
None. We’re staying right where we are, for now.
We’re cutting back.

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