Huh? Maybe Freddie and Fannie are not going to evaporate, which many in the industry were not looking forward to anyway: MSNBCAgencies
One servicing manager from a large institution wrote to me and said, "If you look at the delinquencies at the agencies versus the market, Freddie & Fannie are a much smaller percentage. If FNMA and Freddie 'own' half the mortgages, but their delinquencies are much lower than other institutions during that time period who were buying loans, what does that … (0 comments)
The trivia for the day is, "Your tongue is the only muscle in your body that is attached at only one end." I bring this up because there will be plenty of them wagging at the MBA's Secondary Marketing conference next week about Qualified Residential Mortgages. The proposals are being commented upon (until June 10), and nothing is set in stone, but that doesn't, and won't, stop industry folks from conjecturing and asking investors about it. And investors next week, dressed in blue and gray … (0 comments)
refinance: Market Snapshot
- 04/26/11 05:00 AM
US rate markets slightly better this morning but not much; the early trade in stock indexes were pointing to a better open on UBS earnings. The Fed begins its FOMC meeting today concluding tomorrow with the short policy statement at 12:30 then Bernanke's awaited press conference at 2:15.
At 9:00 the Case/Shiller Feb home price index; on the 20 city measurement prices fell 3.3% yr/yr and on the 10 city metro prices fell 2.6% yr/yr. No reaction to the data as usual, there isn't any improvement in the housing markets with prices continuing to fall and consumers seeing little compelling … (0 comments)
In terms of powerful world figures, how does the FDIC's Sheila Bair stack up against Lady Gaga or Katie Couric? ForbesList For the 1st quarter, the big four banks originated a combined $186 billion in residential mortgages, down 33% from the $281 billion home loans written in the previous quarter, according to their financial statements. Servicing costs were up, each bank still has hundreds of millions of dollars in reserves for buybacks on defaulted loans, and thousands of full-time … (0 comments)
refinance: Market Snapshot
- 04/21/11 06:13 AM
A little better start today in the rate markets while the stock indexes early were pointing to another better open at 9:30. More earnings reports late yesterday coming better than expected. At 8:30 weekly jobless claims were widely expected to have declined 22K after increasing 27K the prior week; claims were down 13K to 403K, continuing claims declined to 3.695 mil frm 3.702 mil the week before. The 4 wk average on claims at 399K frm 396.7K. Claims remain elevated showing little progress recently after falling in Feb and Jan. A week ago the NFIB reported small business optimism, after improving … (0 comments)
The percentage of jumbo business that any originator does is, of course, very dependent on location. But what are borrowers thinking when it comes to obtaining a jumbo loan? Here's one take from Linda Stern with Reuters: JumboFuture
Wells Fargo does a decent business in jumbo loans (at least in its retail and wholesale channels), but as analysts continue to look at its earnings numbers, other items stand out that are indicative of the overall industry. Namely, loan … (0 comments)
refinance: Apr. 20: Dodd Frank's potential impact on underwriting guidelines; bank earnings continue; Cantor's commercial deal; lender & investor news
- 04/20/11 08:21 AM
Apr. 20: Dodd Frank's potential impact on underwriting guidelines; bank earnings continue; Cantor's commercial deal; lender & investor newsLee Farkas, the former chairman of Taylor, Bean and Whitaker Mortgage Corp., was found guilty on all 14 charges stemming from a seven-year, multibillion-dollar fraud scheme that led to the collapse of his firm and Colonial Bank. Even the photo can make you cringe. WSJFarkas At this point Mr. Farkas is probably not interested that Cantor Fitzgerald sold $635 million of bonds backed by commercial mortgages in its first sale of the securities. Congrats to Cantor, who started its real-estate finance business in September. The … (2 comments)
refinance: Market Snapshot
- 04/20/11 04:51 AM
So much for outlook that markets would likely be quiet this week; after markets closed yesterday more earnings were reported and were better than expected for Intel and Intel's guidance that the outlook is for better earnings going forward. Intel said yesterday revenue may top analysts' estimates in the second quarter. United Technologies also reported better than expected earnings and forward guidance. Recent reported Q1 earnings had been generally disappointing; a number of estimates for Q1 growth have been lowered. The stock market looked vulnerable until late yesterday. This morning in pre-market trading at 8:30 the DJIA futures +147 and increasing. The bond … (0 comments)
refinance: Market Snapshot
- 04/20/11 03:38 AM
Treasuries and mortgage markets began flat today after yesterday's nice improvements. Markets still reacting to yesterday's announcement from S&P that it lowered US debt from stable to negative; not a down grade in the debt rating but a signal that unless our politicians do something real in reducing debt spending and increase taxes soon the debt rating may be lowered. While we believe it highly unlikely US debt ratings will actually be lowered, it was nevertheless a shot across the bow to Washington that time is running out on the spending binges that have been the norm for the last eight … (0 comments)
Some may want to move to Northern California - MetLife Home Loans is growing its footprint in that area. (MetLife itself is #51 in the Fortune 500 companies, and in 2008 MetLife Bank acquired First Horizon Home Loans. Although First Tennessee Bank retained most of the servicing portfolio in a holding company, MetLife has continued to expand and is now in the top ten retail mortgage banks with plans to increase market share.) "They are a sales and customer centric … (0 comments)
refinance: Rate Alert Weekly Preview
- 04/18/11 03:27 AM
This Week; is Holy Week. Trade likely will be quiet with the religious holiday. Most all of the data points this week are centered on the housing sector; starts and permits for Mar, new and existing home sales, the NAHB housing market index Monday and the FHFA housing price index on Thursday. The only other releases are weekly claims on Thursday and the and the April Philadelphia Fed business index also on Friday. That's it for the week. Markets closed on Friday.
Until a week ago the overwhelming consensus in the markets was that the US economy would have a strong … (0 comments)
25 basis point increase...FHA...MIP...Monday. 'Nuff said - FHA lenders everywhere are scrambling to take down those FHA case numbers ahead of Monday's MI change. Operators standing by!
Mortgage originators are required, under the SAFE Act, to authorize a credit report be pulled. ("All licensees will be required to authorize a credit report through NMLS": NMLS But it seems that state governments don't like employers "discriminating" potential hires based on credit history, and in fact state governments & consumer groups are very … (0 comments)
refinance: Market Snapshot
- 04/14/11 10:17 AM
Prior to 8:30 this morning the 10 yr note traded slightly better with stock index futures weaker. At 8:30 weekly jobless claims were expected to have increased 3K but jumped 27K back above 400K to 412K; continuing claims however declined from 3.73 mil to 3.68 mil. The 4 wk average increased 5K. Also at 8:30 March producer price index was expected up 1.0%, as reported up 0.7%, the core excluding food and energy was expected up 0.2% but increased 0.3%. Yr/yr overall PPI +5.8% while the yr/yr core +1.9%, up 0.1% frm Feb.
The 10 yr note fell below 3.50% yesterday … (0 comments)
refinance: Mortgage News 04-14-2011
- 04/14/11 10:14 AM
April 14: Citi name change & recent changes; servicing 'settlement' just the start? Rates behaving themselves
Yesterday Reuters ran a story saying, "A proposed rule requiring a minimum 20% down payment on mortgages that lenders could then sell to investors without keeping some of the risk on their books might prevent some potential borrowers from getting a loan, a top U.S. housing official said. While the rule 'is designed to create a class of loans that have a lower likelihood of default, in its proposed definition it has the potential to exclude a number of buyers,' Acting Federal Housing Administration … (0 comments)
refinance: 04-12-2011 Mortgage Market Snapshot
- 04/12/11 07:26 AM
April 12: Mortgage jobs in the Western US; M&A activity in the Central region; FHA MI changes in less than a week by Rob Chrisman I receive my fair share of "out of office" replies. But this unfortunate one caught my eye yesterday: "Thanks for your interest in City Mortgage Services. Unfortunately due to a new law that took effect Wed April 6, 2011, City Mortgage Services is no longer able to stay in business. This email is being forwarded to Norman H. at -------@gmail.com. Please direct any questions or concerns to that email address." But some companies continue to expand. … (0 comments)
April 27: Freddie & Fannie chatter; NMLS & Federally regulated institutions; a bill introduced in CA does what?
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