Refinances Drive Up New Mortgage Activity

As interest rates on residential loans turned lower, new refinance activity surged to the highest level in 17 months — driving up overall activity in the process.

A 14 percent increase from a week earlier put the U.S. Mortgage Market Index from OpenClose and Mortgage Daily for the week ended Aug. 5 at 199.

Compared to the same week last year, the index — a representation of average per-user rate locks by customers of OpenClose — has risen by 37 percent.


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From:: Financing

Consumer Bankruptcies Sink to 6-Month Low

The number of consumers who resorted to bankruptcy last month tumbled both on a month-over-month and year-over-year basis to the lowest level in six months.

U.S. consumers and businesses collectively made 61,308 total bankruptcy filings during July, fewer than the upwardly revised 66,303 recorded for the prior month.

There was even a bigger decline compared to the same month last year, when the number of filings made in U.S. Bankruptcy Courts was an upwardly revised 71,875.


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From:: Financing

Stellar Growth for U.S. and Mortgage Employment

The latest employment report was strong — with a solid increase in U.S. jobs, a higher labor participation rate and a nice bump in mortgage jobs.

For the month of July, total nonfarm payroll employment increased by 255,000 jobs from the prior month, the Bureau of Labor Statistics reported.

Although the number of jobs added was down from the upwardly revised 292,000 in June, it still represented a solid month of U.S. job growth.


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From:: Financing

Record Ginnie Mae MBS Issuance

Residential and commercial loan securitizations on behalf of the Government National Mortgage Association climbed to the highest level on record last month.

As of June 30, there were $1.6925 trillion in Ginnie Mae mortgage-backed securities that were outstanding, an analysis of monthly operational data indicates.

The Washington-based firm’s outstanding MBS grew from a month earlier, when the total was $1.6834 trillion, and a year earlier, when it was $1.5609 trillion.


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From:: Financing

Mortgage Rates Fall, Could See Further Dip

Mortgage rates turned lower this past week and could see a further decline next week unless tomorrow’s jobs report turns out strong.

Thirty-year fixed rates averaged 3.43 percent in Freddie Mac’s Primary Mortgage Market Survey for the week that ended on Aug. 4.

That was the lowest level for 30-year fixed interest rates since the week ended July 14, when Freddie reported the average at 3.42 percent.


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From:: Financing

Losses, Servicing, Staff Cut at Stonegate Mortgage

Stonegate Mortgage Corp. trimmed the size of its staff, reduced its servicing portfolio and cut its losses. Lending slowed from a year ago.

From the period that started on April 1 and finished on June 30 of this year, earnings prior to income tax expense was a $17 million loss.

The Indianapolis-based firm disclosed its income, as well as other operational and financial results, in its second-quarter 2016 earnings report.


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From:: Financing

Taxpayers Net $34 Billion Since Fannie Bailout

Since the Federal National Mortgage Association was taken over by the government during the financial crisis, taxpayers have netted more than $34 billion.

Prior to federal income taxes, Fannie Mae earned $4.3 billion from April 1 through June 30 of this year. Earnings rose from $1.7 billion in the first quarter.

The Washington-based government-controlled enterprise discussed the details about its financial performance in its second-quarter 2016 earnings report.


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From:: Financing

Mortgage Credit Conditions Reverse Course, Ease

After tightening for the prior two months, mortgage credit conditions were somewhat looser last month. Jumbo and government conditions eased most.

As of July, the Mortgage Credit Availability Index, a standardized quantitative index that is focused on credit conditions in home lending, was 165.3.

The index, which had been down each month since April, reversed course and rose from 163.7 in June — an indication that credit conditions eased.


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From:: Financing

PennyMac Home Lending Up, Wholesale Launch Ahead

Quarterly home loan production surpassed prior period totals at PennyMac Financial Services Inc. A new wholesale lending channel is planned.

Pretax income from April 1 to June 30 totaled $84 million, well above the $30 million earned during the previous period and the highest on record.

The Moorpark, California-based entity revealed this total and other operational and financial results through its second-quarter 2016 earnings data.


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From:: Financing

United Guaranty Has Strong Quarter

New quarterly business at United Guaranty rose by nearly half, while the unit’s income increased, its book of business grew and defaults declined.

Parent American International Group Inc. reported that it earned $2.9 billion from continuing operations before income taxes in the second quarter.

The details, as well as other operational and financial results, were provided in the New York-based company’s second-quarter 2016 earnings report.


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From:: Financing