The government-sponsored enterprises have supported and provided critical liquidity to the market throughout the COVID-19 pandemic, Fannie Mae and Freddie Mac executives said.
Category: News and Trends
Carson: FHA Will Extend Forbearance Requests Through Year-End
HUD Secretary Ben Carson announced the Federal Housing Administration will extend the date for single-family homeowners with FHA-insured mortgages to request an initial forbearance from their mortgage servicer for up to six months.
CFPB Extends GSE Patch ‘Indefinitely;’ Kraninger Stresses Flexibility
In a wide-ranging discussion during the Mortgage Bankers Association’s virtual Annual Convention & Expo, Consumer Financial Protection Bureau Direcgor Kathy Kraninger told MBA Chair Susan Stewart that the Bureau would continue to move forward with its agenda of easing regulatory burdens and providing mortgage lenders and servicers with greater flexibilities in working with customers.
MBA Forecast: 2020 Best Year For Industry Since 2003; 2021 Purchase Originations to Increase to Record $1.54 Trillion
In its latest forecast, the Mortgage Bankers Association said purchase originations are expected to grow by 8.5% to a record $1.54 trillion in 2021. And after a substantial 70.9% jump in activity in 2020, MBA anticipates refinance originations to slow next year, decreasing by 46.3% to $946 billion.
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“We hope you’ll join us and try to create an ‘echo chamber’ of help. So customers will know that if they need help they can get help and they won’t need to bring money to the table. They can raise their hand and we’ll pull out all the tools that are available to them. We’re hoping this will reach a hard-to-reach audience.”
–Dana Dillard, Executive Vice President of Corporate and Social Responsibility with Mr. Cooper, Dallas.
MBA Annual20: FHFA Proposes Rule for New Enterprise Products, Activities
Federal Housing Finance Agency Mark Calabria yesterday told MBA members that the agency wants comments on a proposed rule that would require Fannie Mae and Freddie Mac to obtain approval for new products and notice before engaging in new activity.
MBA: Share of Mortgage Loans in Forbearance Falls to 5.92%
The Mortgage Bankers Association’s latest Forbearance and Call Volume Survey reported loans now in forbearance decreased by 40 basis points to 5.92% of servicers’ portfolio volume as of October 11, from 6.32% the prior week. MBA now estimates 3 million homeowners are in forbearance plans.
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“There is growing concern that absent a slowdown in the number of coronavirus cases and another round of much-needed federal aid, millions of renters in the coming months face the prospects of falling further behind.”
–Gary V. Engelhardt, Professor of Economics in the Maxwell School of Citizenship and Public Affairs at Syracuse University and co-author of a Research for Housing Institute America study on financial distress during the coronavirus pandemic.
RIHA Study: More than 6 Million Renters and Homeowners and 26 Million Student Debt Borrowers Missed September Payment
More than six million households did not make their rent or mortgage payments, and 26 million individuals missed their student loan payment in September, according to third quarter research released by the Mortgage Bankers Association’s Research Institute for Housing America.
CMBS Servicers Working through Surge in Requests
S&P Global Ratings, New York, said commercial mortgage-backed securities special servicers are working through a surge in borrower requests for relief, primarily on lodging and retail properties.