National Mortgage News, Nov. 16, 2018–Bonnie Sinnock (subscription)Ginnie Mae is adding steps to its process for evaluating new issuers, including new notification requirements related to subservicer advances, servicing income, and borrowing facilities secured by mortgage servicing rights.
Category: Top National News
Why Jumbo Mortgage Lenders Continue to Relax Underwriting Standards
National Mortgage News, Nov. 16, 2018–Brad Finkelstein (subscription)Bank jumbo mortgage underwriting standards weakened in the third quarter by the most in three years and as profitability remains under pressure, loosening should continue at an accelerated pace, a Moody’s report said.
Sometimes, Rules Are Too Harsh
UExpress, Nov. 16, 2018–Lew SichelmanThe number of homes being built in communities operated by a homeowners’ association is rising. But not all the folks who purchase those homes realize what they are getting themselves into.
Financial Overregulation Wasted the Last Eight Years
The Hill, Nov. 18, 2018–Thomas VartanianNone of the four non-bank companies originally designated as systemically important financial institutions between July 2013 and December 2014 are still SIFIs. The designations of GECC, AIG and Prudential were all eventually rescinded, and MetLife successfully challenged its designation in federal court.
Will Democrats’ Midterm Success Spur Progress on GSE Reform?
National Mortgage News, Nov. 18, 2018–Hannah Lang (subscription)Since 2015, Republicans have largely presided over congressional attempts to reform housing finance, or the lack thereof. Come January, House Democrats will have more say about where to place Fannie Mae and Freddie Mac on the agenda.
Fed’s Clarida Says Central Bank Getting Closer to Neutral and Should be ‘Data Dependent’ on More Hikes
CNBC, Nov. 16, 2018–Jeff CoxFederal Reserve Board Vice Chairman Richard Clarida said the central bank’s benchmark short-term rate is getting closer to a “neutral” level. The distinction is important for the Fed as it moves to a policy that is neither restrictive nor stimulative.
Mortgage Rates Plateau Amid Stock Market Fluctuations
Washington Post, Nov. 15, 2018–Kathy OrtonAccording to the latest data released Thursday by Freddie Mac, the 30-year fixed-rate average held steady at 4.94 percent with an average 0.5 point. It was unchanged from a week ago and up from 3.95 percent a year ago. (MBA mention)
HUD Will Address Rising Risk with FHA Loans
Scotsman Guide, Nov. 15, 2018–Victor WhitmanChanges are likely to come soon that will make it harder for prospective borrowers to obtain Federal Housing Administration loans. Mortgage Bankers Association President Robert Broeksmit said HUD’s scrutiny of FHA’s credit standards was “prudent.”
Ditech Warns of Potential Return to Bankruptcy Despite Better Results
National Mortgage News, Nov. 15, 2018 (subscription)Ditech has “begun to have discussions with certain of its corporate debt holders and their advisors regarding potential strategic transactions that may involve implementation through an in-court supervised Chapter 11 process,” according to a company press release.
Volume of Fannie Mae Risk-Sharing Hits $2.6B in 2018
National Mortgage News, Nov. 15, 2018–Brad Finkelstein (subscription)Fannie Mae completed 10 traditional and front-end credit risk insurance transactions during 2018 sharing $2.6 billion of risk, including $192 million in its final deal of the year.