MBA Newslinks Archive

“The challenge today is that we have a system with an extraordinary amount of uncertainty in the origination process. One of the things we have to do is look at the burdens imposed on lenders, who must navigate a complex set of compliance and regulatory requirements that remain subject to interpretation. It’s making lenders reluctant to engage in FHA loans.”–MBA President and CEO David Stevens, CMB, speaking at the National Fair Housing Alliance’s National Access to Credit Forum.

“While credit scores play only a limited role in the underwriting process for loans acquired by the Enterprises, their impact on borrower eligibility and loan pricing warrants periodic review. Given that any changes to the existing Enterprise requirements would entail operational challenges that bring with them additional costs, it is important to understand what can be gained from such changes.”–MBA President and CEO David Stevens, CMB, in a letter to the Federal Housing Finance Agency on credit score requirements.

“The overall U.S. residential real estate market will continue to rise, and rise at a slightly higher rate.” –Eric Fox, Vice President of Statistical and Economic Modeling with Veros, Santa Ana, Calif.

“There are still plenty of people touring homes; there just aren’t enough of homes to satisfy all the buyers who want to make offers. We’ve started off each of the past three years with inventory down double-digits from the year before, which has held back buyer activity until enough new listings hit the market to get the offers flowing in the spring.”–Redfin head of analytics Pete Ziemkiewicz.

“The transition to the new, common security requires planning, investment and preparation by a wide variety of market participants. We have now set the specific date that the Enterprises will start issuing the [Uniform Mortgage-Backed Security] and I urge the industry to get ready now to ensure smooth, successful implementation.”–Federal Housing Finance Agency Director Mel Watt.

“Despite these threats to dampen demand, low inventory and a strong economic conditions bolstered price growth to start 2018. First-time home buyers, however, will continue to struggle to find homes within their price range as prices climb higher amid low inventory.”–Cheryl Young, senior economist with Trulia, San Francisco.

“A true digital mortgage that encompasses all aspects of the process enables lenders to dedicate their resources towards building valuable relationships with borrowers and guiding them through the process, instead of spending time clicking buttons or validating data. High-tech and human-touch are equally important.”Joe Tyrrell, executive vice president of corporate strategy with Ellie Mae, Pleasanton, Calif.

“Production profits plummeted in the fourth quarter of 2017. Purchase volume was lower in the fourth quarter, in part due to normal seasonality. At the same time, there was no substantial pickup in refinancings.”–MBA Vice President of Industry Analysis Marina Walsh.

“As expected, we are seeing the percentage of refinances taper back off to the projected industry levels. And with interest rates on the rise, we’re seeing the purchase market begin to gain some momentum. We know that the shift to a purchase market will drive the shortened time to close and we will watch to see if the trend continues into the spring and summer months.”–Ellie Mae President and CEO Jonathan Corr.

“Chairman [Jerome] Powell’s first FOMC meeting met market expectations of a 25 basis point hike in the federal funds target rate, a move to continue to remove accommodation from an economy that is at full employment.”–MBA Chief Economist Mike Fratantoni.