Bloomberg, Nov. 24, 2015–Kawa, Luke
Thanks to extensive monetary accommodation that has pushed returns on corporate bond in Europe to ultra-low levels, investors will have no choice but to search for yield across the Atlantic, Bank of America credit strategists contend.
National Mortgage News, Nov. 30, 2015–Sinnock, Bonnie
A plan by the government-sponsored enterprises to begin electronically collecting the new Closing Disclosure data is designed to promote Fannie Mae and Freddie Mac’s loan quality and risk management goals. But the initiative may also prompt broader use of electronic signatures and paperless processing in the mortgage industry. TRID implementation “was painful” and required the expansion of industry data standards by as many as 300 data points, said Tim Anderson, a director at mortgage software vendor DocMagic. The UCD, which is in testing now, adds a few dozen more data elements to the Mortgage Industry Standards Maintenance Organization guidelines and is “manageable,” he said.
Wall Street Journal, Nov. 30, 2015–Harrison, David
The Federal Reserve on Monday adopted a rule curtailing its flexibility to set up loan programs in a crisis, seeking to assuage Capitol Hill concerns about the central bank’s broad powers to pump money into the financial system.
Los Angeles Times, Nov. 30, 2015–Koren, James Rufus
PennyMac, AmeriHome Mortgage and Stearns Lending are all among the nation’s largest mortgage lenders and none of them is a bank. They’re part of a growing class of alternative lenders that now extend more than four in 10 home loans.
American Banker, Nov. 30, 2015–Berry, Kate
Anticipation of rising interest rates has stirred more talk among mortgage lenders about the need to originate loans to borrowers with low credit scores. Mortgage lenders like Angel Oak Home Loans in Atlanta argue there is a distinction between the subprime products being pitched today and the infamous stated-income loans of yore.
National Mortgage News, Nov. 23, 2015–Passy, Jacob
FHA celebrated that its insurance fund had a capital ratio of nearly 2.1% in the recently concluded fiscal year; it was the first time the ratio had surpassed the congressionally mandated 2% level since 2008. MBA President and CEO David Stevens, CMB, said policymakers should look into the role of reverse mortgages in the fund’s value swing.
National Mortgage News, Nov. 23, 2015–Ornstein, Stephen
In spite of impediments created by Dodd-Frank, and the unusually low interest rates that have characterized the residential loans markets in the past several years, credit demand, especially among nonprime borrowers, will swing the pendulum in favor of a more robust lending environment and will likely entail amendments to the existing Dodd-Frank regime.
MarketWatch, Nov. 23, 2015–Goldstein, Steve
The percentage of homeowners who owe more than their home is worth stands at 8.7 percent, down from 21 percent at the end of 2011. But the percentage of homeowners who believe they are underwater is 27 percent.
National Mortgage News, Nov. 20, 2015–Collins, Brian
The financial performance of the Federal Housing Administration’s mortgage insurance fund is expected to steadily improve over the next few years despite rising mortgage rates.
New York Times, Nov. 20, 2015–Prevost, Lisa
For all the talk about the so-called millennial generation – often defined as those between ages 18 and 34 – being slow to move toward homeownership, some young adults are, surprisingly, drawn to real estate as an investment opportunity.
