Compliance & Regulation

The House of Representatives late Thursday passed a one-year extension of the National Flood Insurance Program -- in plenty of time to avoid an October shutdown of property guarantees cherished by mortgage bankers and Realtors alike.

The chairman of the Senate Banking Committee is trying to secure a one-year extension of the $729,750 GSE loan limit in a continuing resolution the Senate is expected to pass next week.

PROVIDENCE, RI—Lenders were presented with a glimmer of hope last week that the Federal Housing Administration may be somewhat flexible when it issues a final rule later this year regarding seller concessions.

As the national foreclosure prevention campaign and other efforts have begun to mature, loan modification fraud is becoming more defined, increasingly falling into two categories.

Mortgage servicers signed off on 33,300 permanent HAMP modifications in August — the lowest number of completed restructurings since December 2009 when the Obama administration's foreclosure prevention program was just getting off the ground.

Rep. Spencer Bachus came out swinging midweek against speculation he may not become chairman of the House Financial Services Committee if Republicans win control of the House in the midterm elections.

Mary Lou Christy, who at one time led the mortgage-backed securities trading desk at Fannie Mae, has joined a number of former agency and government officials at The Collingwood Group, a Washington-based business advisory firm.

The Federal Housing Administration expects its new mortgage insurance premium structure that goes into effect Oct. 4 will increase revenues at the government insurer by $4.1 billion annually and put the fund on a stronger financial footing.

Herb Allison, the head of the government's $700 billion financial bailout program, said Wednesday morning that he is leaving the Treasury Department at month's end.

Democratic leaders on the House Financial Services Committee are assembling legislation to expand Community Reinvestment Act requirements beyond banks, targeting nondepository mortgage firms, investment bankers, and insurers.