New York Times, June 26, 2016–Goldstein, Matthew; Abrams, Rachel; Protess, Ben When the housing crisis sent the American economy to the brink of disaster in 2008, millions of people lost their homes. The banking system had failed homeowners and their families. New investors soon swept in–mainly private equity firms–promising to do better. But some of these new investors are repeating the mistakes that banks committed throughout the housing crisis.
Category: Top National News
Ginnie Mae Tops Freddie Mac as MBS Issuer
National Mortgage News, June 24, 2016–Collins, Brian
Ginnie Mae surpassed Freddie Mac in total outstanding mortgage securities backed by single-family loans for the first time, according to researchers at the Urban Institute.
May Was A Big Month For Reverse Mortgage Securities
Huffington Post, June 26, 2016–Lazar, Michael
May marked a new, big month for HECM reverse mortgage securities, or HECM mortgage-backed securities. According to the most recent reports, $857 million in new pools were created during May alone, says a New View Advisors report.
N.Y. Requiring Mortgage Lenders to Maintain Abandoned Homes
Associated Press, June 23, 2016
The law signed Thursday by Gov. Andrew Cuomo threatens banks with civil penalties up to $500 a day for failing to maintain residential properties once they’re aware of vacancies.
Fed Stress Tests: All Big Banks Clear Bar for Capital Requirements
Wall Street Journal, June 23, 2016–Tracy, Ryan; Borak, Donna
The largest U.S. banks have significantly bolstered their defenses against an economic downturn, and could continue lending even during a deep recession, the Federal Reserve said.
Retail Sector Grapples with Too Much Mortgage Debt and Delayed Price Recovery
National Real Estate Investor, Jun 23, 2016–Mitchell, Donna Commercial real estate professionals have been wondering how the market would deal with the wave of commercial mortgage debt maturing in the next year and a half, particularly at a time when lending standards are considerably more conservative than they were 10 years ago.
Ocwen Settles Whistleblower Lawsuits for $30M
National Mortgage News, June 23, 2016–Passy, Jacob
Ocwen Financial Corp. agreed to a $30 million settlement in two lawsuits alleging that the West Palm Beach, Fla.-based company violated the False Claims Act. The company will not admit any liability or wrongdoing as part of the settlement.
Why ‘Jumbo’ Mortgages are Now a Better Deal than Smaller Home Loans
Boston.com, June 27, 2016–Van Voorhis, Scott
It’s true but a bit counterintuitive. Banks will give you a better interest rate if you buy a more expensive and presumably bigger home.
New Bill Seeks to Stop Zombie Foreclosures
National Mortgage Professional, June 27, 2016–Hall, Phil
Sen. Bob Menendez, D-N.J., is planning to introduce the Preventing Abandoned Foreclosures and Preserving Communities Act of 2016, which is designed to address the issue of so-called zombie foreclosures.
Fitch Now Reviewing RMBS Deal Agents with Clayton
National Mortgage News, June 27, 2016–Passy, Jacob
Fitch Ratings and Clayton Holdings have launched an initiative to review residential mortgage-backed securities deal agents as part of the ratings agency’s RMBS master criteria.