Compliance & Regulation

The new regulation, codifying requirements already in practice, is meant to help the mortgage giants prepare for the adoption of a uniform security in June.

Being too dependent on the automated underwriting tools created by the government-sponsored enterprises to originate loans underlying private-label mortgage-backed securitizations could negatively affect their credit quality, a report from Moody's said.

If confirmed to lead the Federal Housing Finance Agency, Mark Calabria would have a central role in any efforts to reform the government-sponsored enterprises Fannie Mae and Freddie Mac

Without the ability to issue unsecured debt nearly as cheaply as U.S. Treasury bonds, Freddie Mac could not afford to repurchase defaulted loans from MBS, Freddie CEO Don Layton said.

Policymakers could improve independent mortgage banks' financial stability by giving these companies improved access to liquidity, according to the Mortgage Bankers Association.

The Federal Reserve Bank of New York is streamlining its Ginnie Mae holdings by combining mortgage-backed securities with similar characteristics into larger pass-through instruments.

The federal banking agencies will not hold a hearing on a proposal to reduce the number of residential real estate transactions that require an appraisal.

The Senate Banking Committee's vote on Mark Calabria's nomination to lead the agency comes amid speculation about congressional and administrative GSE reform plans.

The administration is sending conflicting signals on whether it has a plan to overhaul the housing finance system, further complicating an already complex debate.

Former FHFA Director Mel Watt attempted to coerce an agency employee to engage in a romantic relationship with him, according to an inspector general report.