Servicing Newslinks Archive

“[FHFA] Director [Mel] Watt has expressed significant concern regarding the lack of a capital cushion at the enterprises. This negotiated outcome is far better than the Director taking unilateral action and should put to rest calls for indefinite retention of earnings.”–MBA President and CEO David Stevens, CMB, on an agreement reached by the Federal Housing Finance Agency and Treasury allowing Fannie Mae and Freddie Mac to retain a reserve.

“The tough challenges associated with implementation are still ahead, however, to ensure that the Plans meet affordable housing needs in underserved markets around the country.” –Federal Housing Finance Agency Director Melvin Watt, on published “Duty to Serve” guidelines for Fannie Mae and Freddie Mac.

“PACE liens pose a real danger to secured lenders and to the MMI fund because they erode the underlying collateral due to their priority lien position in the event of default. HUD’s actions today will help protect taxpayers and the FHA insurance fund, and will align FHA policy with that of Fannie Mae and Freddie Mac.”–MBA President and CEO David H. Stevens, CMB, on HUD’s announcement Thursday that it will no longer accept FHA mortgages that include Property Assessed Clean Energy assessments.

“Because of the Rounds Amendment, this package will protect the ability of most Americans to obtain safe, decent shelter and affordable home mortgage credit without disruption. Had this language not been included, the change in tax accounting for MSRs would have had a devastating impact on the flow of capital that supports a robust and competitive real estate finance market, both single-and commercial/multifamily. We thank the Senate for its leadership on this issue.”
–MBA President and CEO David Stevens, CMB, in a statement following Senate passage of a tax reform bill in which MBA worked with senators to eliminate a provision that would have dramatically changed treatment of mortgage servicing rights.

“As responsible keepers of this sensitive information, we feel compelled to articulate our profound concerns about the risks to consumer privacy, of identity theft and fraud presented by the Proposed Guidance.”–MBA and other industry trade groups, in a letter to the Consumer Financial Protection Bureau regarding its proposed guidance on treating loan-level data under the Home Mortgage Disclosure Act.

“The drop in the capital reserve ratio–primarily due to the extreme volatility of the Home Equity Conversion Mortgage program–demonstrates that the Trump Administration was wise to reverse the mortgage insurance premium reduction made in the last days of the previous administration. Had the reduction remained in place, the value of the MMI fund would have more than likely dropped below the legal statutory 2 percent threshold.”–Mortgage Bankers Association President and CEO David Stevens, CMB, on the FHA Mutual Mortgage Insurance Fund actuarial report released last week.

“Home equity is a critical source of financing for low- and middle-income households for home improvements, college tuition and other emergencies. MBA believes deductibility of a portion of home equity indebtedness should be retained. In addition, the deduction for property taxes helps families overcome affordability challenges in high cost and/or high tax jurisdictions.”–MBA President and CEO David Stevens, CMB, in a letter to Senate Finance Committee members on tax reform legislation.

“Only Congress can alter the existing GSE charters, establish an explicit federal government guarantee and create a regulatory mandate to maintain a level playing field. We cannot go back to a housing finance system that provides private gains when markets are strong yet relies on support from taxpayers when losses occur.”–MBA President and CEO David Stevens, CMB, in testimony last week before a House subcommittee on housing reform.

“MBA has long recognized the importance of this ‘bright line’ between the primary and secondary markets, and its continued application is particularly crucial given the rapid development and deployment of new mortgage-related technologies.”–MBA President and CEO David Stevens, CMB, in a letter to the Federal Housing Finance Agency.

“MBA and its members are committed to serving all borrowers in a safe and sustainable manner–including those with limited English proficiency. While we continue to have significant reservations about including a language preference question on the URLA, we appreciate the modest improvements FHFA has made in response to industry feedback and concerns about the GSEs’ consumer testing.”–MBA Senior Vice President for Residential Policy and Member Engagement Pete Mills, in response to a Federal Housing Finance Agency announcement including a question on Limited English Proficiency in its Uniform Residential Loan Application.