Compliance & Regulation

This is what CFPB will be looking for to determine if a mini-correspondent really is a mortgage banker or a mortgage broker.

Residential mortgage delinquencies declined for the fifth consecutive quarter to roughly 6%, the lowest level since the fourth quarter of 2007, as subprime loan portfolios continue to shrink.

MGIC Investment Corp. reported its insurance subsidiaries wrote $3.6 billion in new primary mortgage insurance in July, up 12.5% from June, continuing its second-quarter trend.

Fannie Mae and Freddie Mac are relying more and more on their income from loan guarantee fees just at a time when their regulator is considering a proposal to reduce those fees.

Morgan Stanley is returning to the jumbo residential mortgage-backed securities market for the first-time since the housing crisis. The originator is well-known, but the loans are unusual and the geographic concentration is high.

Fair Isaac's new credit scoring model includes enhancements to evaluate borrowers with limited credit histories and quantify the risk associated with different types of debt.

U.S. non-governmental residential mortgage-backed securities infrastructure may help Canadian players diversify their funding sources. The U.S. might win more key investors back if it had Canada's credit strengths.

Banks and other lenders appear to be waiting on a regulatory signal from the Federal Housing Finance Agency before approving loans for borrowers with less than stellar credit profiles.

Though some borrowers will suffer from payment shock when home equity lines reach their end-of-draw-period after 10 years, the risks are isolated. Fewer than 20% of home equity lines have an elevated risk of default in the next few years, TransUnion found.

As warehouse providers try to build market share with new types of credit lines, allowing mortgage bankers to fund non-QM loans is the logical next step to staying competitive.