Tag: finance

There was little change in monthly residential business at the Federal Housing Administration, though refinance activity is poised for an increase. But commercial real estate activity soared.

At the midpoint of this year, FHA insurance was in force on 8,552,967 residential loans for $1.2901 trillion, according to an analysis of data reported by the Department of Housing and Urban Development.

The total included $1.1455 trillion in single-family loans, $0.1436 trillion in home-equity conversion mortgages and $0.0010 trillion in Title I loans.

---

…read more

From:: Financing

Among recently recognized best employers were several mortgage banking firms, a pair of banks and a mortgage service provider. One home lender has been designated as a “cool” employer.

United Shore Financial Services LLC has made the Cool Places to Work 2017 list from Crain Communications Inc. The 2,100-employee staff as of June 30 is limited to 40-hour work weeks.

The Birmingham, Michigan-based company is cool because of its on-site Starbucks, a gourmet cafeteria and a convenience store. It also has an annual fair for employees and their families, as well as a daily dance party.

---

…read more

From:: Financing

The risk of default on new quarterly mortgage originations turned significantly higher as production plunged, though seasonal factors played a role.

On the $323 billion in single-family loan originations during the first-three months of this year, the weighted-average probability of default was 1.11 percent.

That was according to the Default Risk Index, which was 95.8. The index is a measure of relative changes in risk level and benchmarked against the third quarter of 2013.

---

…read more

From:: Financing

After being named as a defendant in a former employee’s lawsuit over rate-lock extension fees, a class action has been filed against Wells Fargo & Co. over the same allegations.

Last month, Mauricio Alaniz filed a lawsuit against the San Francisco-based company. Alaniz is a former Wells Fargo mortgage banker in Beverly Hills, California.

According to that lawsuit, he was fired after he reported that records were falsified so that it appeared borrowers were responsible for delays that led to rate-lock extension fees.

---

…read more

From:: Financing

For the second month in a row, the performance of securitized commercial real estate loans improved. Industrial loans led the decline in late payments.

Loans that were at least 30 days past due accounted for 5.44 percent of all loans that are included in commercial mortgage-backed securities as of August.

The delinquency rate retreated compared to last month, when 5.49 percent of all CMBS loans were past due and the rate plummeted 26 basis points from June.

---

…read more

From:: Financing

As overall applications for home loans slowed on a week-over-week basis, the share that were for government mortgage programs was more narrow.

The number of applications completed for new mortgages in the week ended Aug. 25 descended by a seasonally adjusted 2 percent from the previous week.

That was based on the Market Composite Index, a measure of retail residential loan application volume that was down 4 percent without seasonal adjustments.

---

…read more

From:: Financing

Nearly $1 billion in government-sponsored enterprise residential loans are being marketed for sale. The mortgages are either slightly past due or reperforming.

Bids are being being taken on re-performing and moderately delinquent single-family loans that have a collective unpaid principal balance of approximately $983 million.

Included in the pool are loans modified through the Home Affordable Modification Program and through GSE proprietary modifications.

---

…read more

From:: Financing

The cost of mortgage insurance premiums on federally insured mortgages is going up in an effort to limit taxpayer exposure. But the change will impact few mortgages.

On home-equity conversion mortgages insured by the Federal Housing Administration, the initial mortgage insurance premium rate is being raised to 2.00 percent of the maximum claim amount.

Currently, the initial MIP is 0.50 percent on amounts of no more than 60 percent of the principal limit and 2.50 percent of amounts greater than 60 percent of the principal limit.

---

…read more

From:: Financing

An increase in quarterly losses from mortgage servicing rights drove earnings down from the prior period. But income was better than in the same quarter last year.

Independent mortgage bankers and mortgage subsidiaries of chartered banks earned 1 basis point in total net servicing financial income during the second quarter.

Income plummeted from 10 BPS during the preceding three-month period. The decline was primarily driven by a 9-basis-point increase in losses from MSR valuations and hedging.

---

…read more

From:: Financing

A decrease in employee expense was behind a quarter-over-quarter improvement in mortgage production earnings. But there was year-over-year deterioration.

During the three months ended mid-2017, net production income at independent mortgage bankers and mortgage subsidiaries of chartered banks was 45 basis points.

Income soared from less than 9 BPS in the first quarter. The improvement was fueled by a 35-basis-point decline in personnel expense.

---

…read more

From:: Financing