Foreclosures | Mortgages | Financing
The co-sponsor of the Dodd-Frank Wall Street Reform and Consumer Protection Act is warning that a repeal of the law could lead to another crisis.
Dodd-Frank, which was passed in 2010, was co-sponsored by former Sen. Chris Dodd (D-Connecticut) and Rep. Barney Frank (D-Massachusetts).
President-elect Donald J. Trump has vowed to repeal and replace the law to the delight of the banking industry, which considers the law too burdensome.
From:: Financing
The Consumer Financial Protection Bureau is challenging an appeals court ruling in a lawsuit filed by PHH Mortgage Corp. that would enable the president to fire the agency’s director.
Last month, the U.S. Court of Appeals for the District of Columbia issued an opinion favorable to PHH and the mortgage industry that reined in the power of the powerful financial regulator.
Among other things, the court ruled that the bureau’s structure gives the CFPB’s director too much power and that the president should be able to fire the bureau’s director for any reason.
From:: Financing
A deal that was announced earlier this month to acquire Prospect Mortgage LLC has been followed by the hiring of nearly two dozen loan originators.
On Nov. 1, HomeBridge Financial Services Inc. disclosed an agreement to acquire the operating assets of Sherman Oaks, California-based Prospect.
Once the acquisition closes as planned in January 2017, staffing is expected to exceed 3,000 employees, including around 900 retail loan originators.
From:: Financing
Mortgage rates shot up to the highest level since the first week of the year thanks to the election, and a further increase could lie ahead in the next week.
During October, 30-year note rates averaged 3.76 percent, up from 3.75 percent the previous month when it was the lowest it’s been since May 2013.
But 30-year interest rates on residential loans have still improved compared to the same month last year, when the average note rate was 4.25 percent.
From:: Financing
The nation’s mortgage bankers have grown less optimistic about the volume of refinance originations during the first half of next year.
During the final quarter of this year, home lending, including purchase financing and refinancing, is expected to reach $470 billion.
Mortgage production is then expected to fall to $365 billion in the first-quarter 2017 then bounce up to $430 billion three months later.
From:: Financing
A survey of high-producing loan originators highlights what the group considers important when evaluating a potential lender for employment.
Among high-producing mortgage loan originators, 43 percent found their employers through a colleague who referred them to the company.
A quarter of the originators were recruited by their new employers, while 15 percent worked for a company that was involved in a merger.
From:: Financing
As refinances took up a bigger share of monthly mortgage production, the ratio of loans that closed improved. While average credit scores eased, other metrics used to determine credit quality were unchanged.
Sixty-eight percent of loans closed in October were conventional mortgages. Another fifth were insured by the Federal Housing Administration, and 9 percent were guaranteed by the Department of Veterans Affairs.
There was no change to the share by loan type when compared to one month previous. But conventional share has expanded from 64 percent one year previous, while FHA share was reduced from 23 percent.
From:: Financing
An improvement in buyer traffic for new houses offset a drop in expectations by the nation’s homebuilders for sales during the spring.
As of November, the Housing Market Index, a snapshot of builder sentiment, was a seasonally adjusted 63, no different than in October.
But home builder confidence has grown slightly more optimistic than in the same month last year, when the index was determined to be 62.
From:: Financing
As interest rates on residential loans moved higher following the presidential election, refinances led a reduction in new applications for mortgages.
A seasonally adjusted 9 percent drop from a week previous was recorded for the Market Composite Index for the week that ended on Nov. 11.
The index, which is a reading on the volume of applications for new home loans, declined by 10 percent when seasonal adjustments are excluded.
From:: Financing
In addition to a host of integrations between various mortgage service providers and loan origination systems, major enhancements have been made to a major LOS.
On Oct. 17, Ellie Mae Inc. announced its Encompass 16.3 includes enhancements for Fannie Mae and Freddie Mac solutions and new Total Quality Loan service ordering options.
Also included in the latest major Encompass release are additions to secondary marketing and significant enhancements to the Encompass product-and-pricing engine.
From:: Financing