Foreclosures | Mortgages | Financing
The issuance of agency mortgage-backed securities leapt to the highest level since 2012, with monthly activity soaring to a record at Ginnie Mae.
Fixed-rate MBS issuance on behalf of Fannie Mae, Freddie Mac and Ginnie worked out to $157.656 billion during September of this year.
Agency securitizations soared to the highest level since November 2012’s downwardly revised $195.610 billion — a three-year high at the time.
From:: Financing
Last month, the rate of delinquency on securitized commercial real estate loans ascended to the highest level this year. Office loans led the rise.
Delinquency of at least 30 days on loans that are held in commercial mortgage-backed securities closed out September 2016 at 4.78 percent.
It turns out that 30-day delinquency has not been this high since December of last year, when the rate was previously reported at 5.17 percent.
From:: Financing
The 11th District Cost of Funds Index increased again the past month, this time rising to the highest level in two and a half years.
As of August 2016, COFI, which is utilized to determine rate changes on some adjustable-rate mortgages, was 0.703 percent.
The last time that the index was as high as it was last month was in February 2014, when it was calculated to be 0.709 percent.
From:: Financing
On loans used to finance a home purchase, lower-income and black borrowers saw their share rise. But a decline was noted on refinances.
Between 2014 and 2015, the number of mortgages originated was up by 1.4 million units. That worked out to an increase of 22 percent.
On just mortgage refinances, production was up by 36 percent from 2014. Purchase financing loans saw a year-over-year rise of 13 percent.
From:: Financing
Last month, potential fraud on new residential loan applications was no different than in July. A decline in risk on conventional applications was exceeded by the decline on government transactions.
The U.S. Loan Application Defect Index — which estimates the frequency of defects, fraudulence and misrepresentation in the information submitted in mortgage applications — was 70 in August.
Although there was no change from the previous month for the index, the risk of application has improved compared to the same month last year — with the index retreating 4 percent from August 2015.
From:: Financing
New business was higher than it’s been in three years at the Federal National Mortgage Association, while a new eight-year low was recorded for delinquency.
In its August 2016 Monthly Summary, Fannie Mae said its total book of business finished August at $3.1130 trillion — the biggest it’s been since April 2015.
The Washington-based organization’s total portfolio grew from $3.1032 trillion one month earlier and was also greater than $3.1013 trillion one year earlier.
From:: Financing
Allegations that Branch Banking & Trust Co. certified government-insured mortgages that didn’t meet program requirements have been settled.
From Jan. 1, 2006, until Sept. 30, 2014, BB&T is accused of falsely certifying residential loans insured by the Federal Housing Administration.
The alleged actions on FHA loans by the Winston-Salem, North Carolina-based financial institution were in violation of the False Claims Act.
From:: Financing
New residential loan activity ascended to the highest level that it has been in seven weeks, and it was conventional refinance business that drove the week-over-week gain.
At 178, the U.S. Mortgage Market Index from OpenClose and Mortgage Daily for the week ended Sept. 30 was greater than it’s been since the week ended Aug. 12.
The index, which provides insight into prospective mortgage production based on average per-user rate locks by OpenClose clients, rose 6 percent from the previous week.
From:: Financing
A settlement has been reached in a lawsuit filed against U.S. Bancorp accusing the bank of allowing hundreds of foreclosed properties to deteriorate.
In 2012, the city attorney for Los Angeles sued the Minneapolis-based financial institution over problems that were found with 1,500 foreclosed homes.
U.S. Bank, which was the trustee on the loans, argued that the city sued the wrong party. It said the blame for decrepit properties rested with servicers.
From:: Financing
New research indicates that following a period of very tight home lending, banks are lending more of their own money for mortgages.
During 2008, banks originated and retained just 15 percent of the residential loans that were made to finance a house purchase.
But that share has since grown to more than a third of such mortgages being kept by the financial institutions in the first-half 2016.
From:: Financing