Top National News Dec. 21, 2022
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:
MBA: New Home Purchase Applications Dropped by 25.2 Percent in November
MortgageOrb, Dec. 20, 2022–Michael Bates
The Mortgage Bankers Association Builder Application Survey (BAS) data for November shows mortgage applications for new home purchases decreased 25.2% from a year ago. Compared to October 2022, applications increased by 1%.
https://mortgageorb.com/mba-new-home-purchase-applications-dropped-by-25-2-percent-in-november
Mortgage Forbearance Rate Hold Steady But Shows Signs of Weakness
Mortgage Professional America, Dec. 20, 2022–Candyd Mendoza
MBA’s Loan Monitoring Survey showed that the total number of loans currently in forbearance held steady at 0.70% as of November 30. Around 350,000 homeowners are estimated to be in forbearance plans.
https://www.mpamag.com/us/mortgage-industry/market-updates/mortgage-forbearance-rate-holds-steady-but-shows-signs-of-weakness/431180
Growing Pains for 2nd Mortgage Industry
Home Equity Lending News, Dec. 20, 2022–Sam Garcia
Consumer demand for home-equity products has recently been stronger than it’s been in a number of years, according to John Toohig, head of the whole-loan trading group at Raymond James. He explained that while home-equity lending was strong prior to the financial crisis, it disappeared after.
https://www.hel.news/articles/headlines/growing-pains-for-2nd-mortgage-industry/
Wells Fargo to Pay $3.7 Billion Settling Charges it Wrongfully Seized Homes and Cars
NPR, Dec. 20, 2022–Chris Arnold
Wells Fargo has agreed to a $3.7 billion deal with regulators to settle charges that it took advantage of customers on their auto loans, mortgages and bank accounts.
https://www.npr.org/2022/12/20/1144331954/wells-fargo-billions-wrongful-fees-settlement
Fannie and Freddie Weigh In on Florida Property Insurance Mess
Inside Mortgage Finance, Dec. 20, 2022–Dennis Hollier
The so-called Temporary Market Stabilization Agreement is intended to bolster the state’s property insurance system, but has created widespread confusion for lenders, including Fannie Mae and Freddie Mac sellers. Both enterprises are now offering their origination counterparties guidance on how to deal with Florida’s insurance crisis.
https://www.insidemortgagefinance.com/articles/226558-fannie-and-freddie-weigh-in-on-florida-property-insurance-mess?v=preview
Urban Institute: 80% Of Homes On Market Unaffordable
National Mortgage Professional, Dec. 20, 2022–Katie Jensen
A study by the Urban Institute says 80% of homes on the market aren’t affordable for households earning median incomes or less. Buyers at those income levels can afford only 20% of homes on the market, compared to 50% in 2016. Affordability varies by location, however, suggesting that a combination of federal and local solutions that target supply and demand could alleviate cost burdens.
https://nationalmortgageprofessional.com/news/urban-institute-80-homes-market-unaffordable
Billionaire Mortgage Lender Finalizing Purchawse of Phoenix Suns, Mercury for $4 Billion, Report Says
Phoenix 3TV/CBS 5, Dec. 20, 2022–Dani Birzer, Tim Reynolds
Mat Ishbia, a Michigan billionaire president of United Shore Financial Services, is reportedly finalizing a deal to purchase the Phoenix Suns and Phoenix Mercury, according to ESPN Senior NBA Insider Adrian Wojnarowski. The deal, said to be “in the neighborhood of $4 billion,” is expected to be completed in the near future.
https://www.azfamily.com/2022/12/20/billionaire-mortgage-lender-finalizing-purchase-phoenix-suns-4-billion-report-says/
AmeriFirst Home Mortgage to Cut 59 Workers
National Mortgage News, Dec. 20, 2022–Andrew Martinez (subscription)
The Kalamazoo, Michigan-based lender and servicer will terminate approximately 59 employees at its Portage, Michigan office on Feb. 12, 2023, according to a Worker Adjustment and Retraining Notification. The filing last week to the Michigan Department of Labor and Economic Opportunity indicated at least eight managers would be cut, although it didn’t reveal if loan officers or underwriters would be affected.
https://www.nationalmortgagenews.com/news/amerifirst-home-mortgage-to-cut-59-workers
Amazon May Have Slowed its Warehouse Expansion, But it Still Added Space Equal to Half of Walmart’s Distribution Capacity This Year
Business Insider, Dec. 20, 2022–Emma Cosgrove
Amazon dialed back its logistics plans earlier this year in a sign the e-commerce boom was over. Even so, Amazon’s warehouse footprint is “remarkable” compared to competitors, analysts say. https://www.businessinsider.com/amazon-warehouse-expansion-slowed-still-towers-over-competitors-2022-12
Inventory in New York City Rose in November, as Did Price Cuts
Mansion Global, Dec. 20, 2022–V.L. Hendrickson
After nearly three topsy-turvy years, the real estate market in New York City has started to look more like pre-pandemic times, according to a Tuesday report from StreetEasy.
https://www.mansionglobal.com/articles/inventory-in-new-york-city-rose-in-november-as-did-price-cuts-01671574090?mod=hp_minor_pos28&adobe_mc=MCMID%3D46134750580361343204265980555254654007%7CMCORGID%3DCB68E4BA55144CAA0A4C98A5%2540AdobeOrg%7CTS%3D1671622437
Jamie Dimon Is More Crucial Than Ever to the Bank He’s Run for 17 Years
Bloomberg, Dec. 20, 2022–Hannah Levitt
JPMorgan’s CEO, chairman, deal closer and industry statesman keeps brushing off the big question: Who will succeed him?
https://www.bloomberg.com/news/features/2022-12-21/jpmorgan-ceo-jamie-dimon-s-succession-plan-will-determine-bank-s-future-jpm?srnd=premium&leadSource=uverify%20wall
