Top National News Jan. 3, 2023
Here’s a summary of Top National News Items from major news sites and industry trade publications. To get started, click on the headline above:
The 2022 Housing Market: a Tale of Two Halves
HousingWire, Dec. 27, 2022–Connie Kim
Marty Green thinks of the housing market in 2022 as two very different movies. The first half of the year, with mortgage rates in the 3s and 4s, was like “Fast and Furious.” Houses were selling at a fever pitch in a matter of days, with multiple offers, waived contingencies and buyers paying $100,000(!) over asking price. High octane stuff. (MBA mention)
https://www.housingwire.com/articles/the-2022-housing-market-a-tale-of-two-halves/?
After a Strong Start Earlier in the Year, HECM Lending Faces a Correction
Inside Mortgage Finance, Dec. 28, 2022–Monica Hogan
Residential lenders originated $7.2 billion of home-equity conversion mortgages in the third quarter, a 22.8% sequential decline as higher interest rates dulled activity, according to a new ranking and analysis.
https://www.insidemortgagefinance.com/articles/226602-after-a-strong-start-earlier-in-the-year-hecm-lending-faces-a-correction?v=preview
RoundPoint to Pay Almost $1M in Servicing Settlement
National Mortgage News, Dec. 29, 2022–Spencer Lee (subscription)
RoundPoint Mortgage Servicing Corp. has agreed to pay $975,000 to resolve multiple allegations in Massachusetts, including failure to adequately assist borrowers in avoiding foreclosure.
https://www.nationalmortgagenews.com/news/roundpoint-to-pay-almost-1m-in-servicing-settlement?
More Bosses Order Workers Back to the Office as Job Market Shifts
Wall Street Journal, Jan. 3, 2023–Chip Cutter (subscription)
Employers are losing their patience with empty desks in the office. Companies including investment giant Vanguard Group, workplace technology company Paycom Software Inc. PAYC -0.50%decrease; red down pointing triangle and others have sent directives to employees in recent weeks, urging workers to follow existing hybrid schedules or to come into the office on additional days in 2023,
https://www.wsj.com/articles/more-bosses-order-workers-back-to-the-office-as-job-market-shifts-11672689665?
FHA Borrowers Hit First, Hardest by Sinking Economy
HousingWire, Dec. 27, 2022–Bill Conroy
The fate of Federal Housing Administration-backed mortgages in the ongoing downcycle housing market is being compared with a canary in the coal mine by several industry experts who track the sector and are seeing early warning signs of distress.
https://www.housingwire.com/articles/fha-borrowers-hit-first-hardest-by-sinking-economy/?
NYDFS Changes Subprime Measurement Tool
Inside Mortgage Finance, Dec. 30, 2022–Namrata Bhatia
The New York Department of Financial Services has issued guidance informing lenders to use the average prime offer rate for 5/1 ARMs — published by the Federal Financial Institutions Examination Council — as a benchmark to determine whether an adjustable- or variable-rate loan with an initial rate that is fixed for at least three years qualifies as “subprime.”
https://www.insidemortgagefinance.com/articles/226613-nydfs-changes-subprime-measurement-tool?v=preview
Mortgage Rates Up For First Time In Seven Weeks While Luxury Home Sales Hit Record Low
ValueWalk, Dec. 29, 2022–Phil Hall
Freddie Mac reported the 30-year fixed-rate mortgage averaged 6.42% as of Dec. 29, up from last week when it averaged 6.27%; this marked the first uptick in mortgage rates in seven weeks. The 15-year fixed-rate mortgage averaged 5.68%, down from last week when it averaged 5.69%. (MBA mention)
https://www.valuewalk.com/mortgage-rates-up-for-first-time-in-seven-weeks-while-luxury-home-sales-hit-record-low/
Inside Mortgage Lenders’ Strategies for 2023
HousingWire, Dec. 29, 2022–Flávia Furlan Nunes
Mortgage originations reached $4.4 trillion in 2021, with a 62% share of refinancing. This year, the volume is expected to decline to $2.2 trillion, with the percentage of refis at 33%, per the Mortgage Bankers Association.
https://www.housingwire.com/articles/inside-mortgage-lenders-strategies-for-2023-%EF%BF%BC/?
RoundPoint to Pay Almost $1M in Servicing Settlement
National Mortgage News, Dec. 29, 2022–Spencer Lee (subscription)
The Fort Mill, South Carolina-based servicer signed an assurance of discontinuance last week with the Massachusetts attorney general’s office, thereby avoiding further legal actions surrounding any infractions. Among the violations the state said RoundPoint had committed was neglecting to make “a good faith effort to help borrowers with certain unfair loan terms.” The filing involved a total of 57 federally backed mortgages serviced between 2016 and 2020, according to the office.
https://www.nationalmortgagenews.com/news/roundpoint-to-pay-almost-1m-in-servicing-settlement?
Mortgage Rates’ Rise Has Led to Wide Gap with U.S. Bond Yields
Associated Press, Dec. 30, 2022–Ale Veiga
Mike Fratantoni, chief economist at the Mortgage Bankers Association, said “One of the more puzzling aspects of the current environment has been the extremely wide spread of mortgage rates relative to Treasury rates.”
https://www.decaturdaily.com/business/mortgage-rates-rise-has-led-to-wide-gap-with-us-bond-yields/article_5ffd9431-399c-5f07-b002-83b8e551f246.html
Odd Lots: More, High, Shop
The Housing Scene (UExpress), Dec. 30, 2022–Lew Sichelman
As if rising mortgage rates and high house prices aren’t enough, homebuyers in the new year are going to have to contend with higher fees to obtain their credit reports. In some instances, a credit report will cost 400% more in 2023 than it did in 2022.
https://www.uexpress.com/home/housing-scene/2022/12/30
Black Knight Exec Gets Merger Bonus Early
Inside Mortgage Finance, Dec. 27, 2022–Sam Manas
Anthony Jabbour, executive chairman of data analytics vendor Black Knight, will be $40 million richer on Wednesday, under a payment clause that’s part of the firm’s yet-to-be-consummated merger with Intercontinental Exchange.
https://www.insidemortgagefinance.com/articles/226599-black-knight-exec-gets-merger-bonus-early
The Title Insurance Industry Prepares for Battle
HousingWire, Dec. 26, 2022–Brooklee Han
With the housing market slowing down from its pandemic-fueled frenzy, wire fraud threats, regulatory challenges and the perennial challenge of an aging workforce, the title insurance industry will have a lot to juggle in the new year. At HousingWire, we decided to break down the challenges the title insurance industry will be up against in 2023.
https://www.housingwire.com/articles/the-title-insurance-industry-prepares-for-battle/?
20 Bank Mortgage Lenders with the Largest Retail Volume in Q3
National Mortgage News, Dec. 27, 2022–Courtney Hoff (subscription)
The top five lenders in our ranking have a combined retail volume of more than $30 billion at the end of Q3. In a tough quarter, some lenders still saw growth between Q2 and Q3, with one registering a 24.2% increase.
https://www.nationalmortgagenews.com/list/20-bank-mortgage-lenders-with-the-largest-retail-volume-in-q3?
