There are certain parts of the market where you that can't get a conforming mortgage because we know what happens" when loans go into default, said John Stumpf, the CEO of Wells Fargo.
During a wide-ranging discussion of the economy and regulation, Wells Fargo CEO John Stumpf cited several factors that were harming the housing market. His comments came the same day the White House hosted a meeting on the topic.
A bill introduced by Rep. Blaine Luetkemeyer, R-Mo., would eliminate full appraisals on certain higher risk mortgages that lenders hold in portfolio for at least three years.
A bill introduced in the House Financial Services Committee would eliminate appraisal requirements established by the Dodd-Frank Act for certain higher-risk mortgages when lenders hold the loans in portfolio for at least three years.
Banks and mortgage lenders may have received too much relief from loan buybacks, putting taxpayers at greater risk for losses, according to a Federal Housing Finance Agency inspector general's report.
In his first major policy speech as the new housing secretary, Julian Castro voiced support for a Senate bill to reform housing finance and said policymakers should "remove the stigma associated with promoting homeownership."
The Consumer Financial Protection Bureau and Fannie Mae may actually be helping banks and mortgage lenders boost their bottom lines through better oversight of their third-party vendors.
Legacy mortgage insurers welcome the level playing field that will come with a recent capital retention proposal, even though the new requirements will have a greater impact on firms that have larger volumes of insurance on high-risk loans.
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