Delinquency rates for mortgages backed by commercial and multifamily properties increased slightly through the first quarter, according to the Mortgage Bankers Association’s latest commercial real estate finance Loan Performance Survey.
Category: News and Trends
MISMO Seeks Members for New eHELOC Development Workgroup
MISMO®, the real estate finance industry standards organization, issued a call for participants to join a new development workgroup focused on creating standards for Electronic Home Equity Lines of Credit (eHELOC).
FHA Seeks Feedback on ‘Granny Flats’ Affordable Financing Access
The Federal Housing Administration last week issued a draft proposal seeking feedback to its requirements for insuring mortgages on single-family homes with Accessory Dwelling Units, popularly known as “granny flats.”
Cushman: Now is the Time to Fight Climate Change
As sea levels rise, the reality of climate change’s impact on the commercial real estate industry is becoming clearer, reported Cushman & Wakefield, Chicago.
Souren Sarkar, CMB, of Nexval: What Recent Flight Fiascos Can Teach Us About Investing in Technology
If mortgage servicers ever needed an argument to not hold back on technology investments, they need look no further than the recent fiascos in the airline industry.
FHFA Announces Process for Implementing New Credit Score Requirements; MBA Encourages Members to Complete Survey
The Federal Housing Finance Agency recently requested stakeholder input as Fannie Mae and Freddie Mac replace the Classic FICO credit score model with the FICO 10T and the VantageScore 4.0 credit score models, and transition from requiring three credit reports to requiring two credit reports for single-family loan acquisitions.
Report Cites Pandemic’s Impact on Population Shift
Data on 2022 county-level population changes continue to suggest that the coronavirus pandemic had profound and lasting impacts on economic geography—with two million people leaving U.S. cities—according to a report by the Economic Innovation Group, Washington, D.C.
FHFA Final Rule Amends GSEs’ ‘Duty to Serve’ Regulation for ‘Colonias’
The Federal Housing Finance Agency on Apr. 12 published a final rule to amend the Duty to Serve Underserved Markets regulation for Fannie Mae and Freddie Mac. The final rule allows Fannie Mae and Freddie Mac’s activities in all colonia census tracts to be eligible for Duty to Serve credit.
Quote: Tuesday Apr. 18, 2023
“For the first time since inception of MBA’s report in 2008, net production income was in the red in 2022, with losses averaging 13 basis points. The rapid rise in mortgage rates over a relatively short period of time, combined with extremely low housing inventory and affordability challenges, meant that both purchase and refinance volume plummeted. The stellar profits of the previous two years dissipated because of the confluence of declining volume, lower revenues, and higher costs per loan.”
–Marina Walsh, CMB, MBA Vice President of Industry Analysis.
MBA: 2022 IMB Production Profits Fall to Series Low
Independent mortgage banks and mortgage subsidiaries of chartered banks lost an average of $301 on each loan they originated in 2022, down from an average profit of $2,339 per loan in 2021, according to the Mortgage Bankers Association’s Annual Mortgage Bankers Performance Report.