Reuters, Apr. 23, 2019–Jonathan StempelGeneral Electric Co on Tuesday put the remnants of its WMC Mortgage unit into bankruptcy, 11 days after paying a $1.5 billion U.S. fine over defective subprime mortgages issued by WMC before the 2008 financial crisis.
Category: Top National News
Wall Street Tells Mortgage Buyers Wider Spreads Are a Point of Entry
Bloomberg, Apr. 23, 2019–Christopher MaloneyAnalyst teams at Morgan Stanley and J.P. Morgan have raised their recommendations on the agency mortgage-backed securities sector following the recent widening of mortgage spreads.
Victims of Reverse Mortgage Scam Want Protection from Ditech Bankruptcy
HousingWire, Apr. 23, 2019–Jessica GuerinHomeowners have claims regarding their reverse mortgages with Reverse Mortgage Solutions, a Ditech subsidiary that that was either the lender or servicer on the loans that were part of an alleged scheme. But now, Ditech is in the midst of a bankruptcy that might impact these fraud victims.
Trump-Appointed Official Promises Full Push to Overhaul Plumbing of Mortgage Market
Wall Street Journal, Apr. 22, 2019–Andrew Ackerman, Ben Eisen (subscription)Mark Calabria, in his first interview since taking the helm of the Federal Housing Finance Agency, said he wants to put Fannie Mae and Freddie Mac–bailed out during the crisis, but now profitable–on the road toward returning to private hands, something Washington policy makers have tried and failed to do for the past decade.
On the Precipice of Change: In Support of GSE Reform
Mortgage Media, April 22, 2019–David Stevens, CMBFormer MBA President & CEO says to protect generational impact of GSE reform process, policymakers must ensure the permanence of some of the most critical issues before any consideration to recapitalization and release.
How Fannie Mae, Freddie Mac Dodged a Cap on CEO Pay
Washington Post, Apr. 22, 2019–Renae MerleThe housing companies may have found a way around a congressionally mandated pay cap. Fannie Mae and Freddie Mac created a new job–president–transferring some of the work traditionally done by the CEOs to the new positions, according to government investigators. The presidents will be paid more than $3 million each.
Urban Institute: It Hasn’t Been This Easy to Get a Government-Backed Mortgage in 10 Years
HousingWire, Apr. 22, 2019–Ben LaneAccording to the new analysis from the Urban Institute, the level of mortgage credit available for loans backed by the Federal Housing Administration, Department of Veterans Affairs, and Department of Agriculture was higher during the fourth quarter than it was during any quarter since 2009.
Key Trends Driving Investors Away From Traditional Lenders In 2019
Forbes, Apr. 19, 2019–Evan GentryThe author, CEO and Founder of M360 Advisors, says there are many reasons why creditworthy borrowers with strong track records and desirable assets turn to nonbank lenders, and collectively they create an attractive fixed-income investment opportunity. (MBA mention)
Inside Destiny USA’s Mortgage Emergency: Crisis or Hardball Bargaining?
Syracuse.com (N.Y.), Apr. 19, 2019–Rick MoriartyDestiny USA’s D-Day arrives June 6. On that day, its $430 million in mortgage loans come due in full, and the owner of the giant Syracuse mall is in danger of default.
Lenders Manage Tiny Profits in 2018 Despite Rate Hikes, Inventories
Mortgage News Daily, Apr. 18, 2019–Jann SwansonThe Mortgage Bankers Association said banks responding to its survey made an average profit of $367 on each loan they originated last year, down from $711 per loan in 2017.