Finance

Experts review scenarios that could cause Federal Reserve chairman Jerome Powell to reverse course on a decision this week that left some lenders breathing a sigh of relief.

The Fed chair said actively selling securities will become necessary as it looks to reduce its balance sheet, but not anytime soon.

Some stakeholders in the mortgage industry are concerned about the late 2023 deadline, but the government bond insurer said most are already prepared, and it'll work with those who aren't.

Banks including Wells Fargo, Bank of America and JPMorgan Chase have pulled back on financing for offices and other commercial real estate following a record burst of lending in the first half of this year. 

The option can be efficient but companies have to figure out who will handle the additional property data collection, panelists at the Digital Mortgage Conference said.

The post had been vacant on a full-time basis following Ryan Zanin's departure in May.

Waivers boomed during the pandemic's refi wave and the recent automation of desktop appraisals have provided additional flexibilities, but their applications are limited in the current market.

However, company executives said the treatment of mortgage servicing rights under the new rules going into effect late next year looks likely to lead to some consolidation.

Clients of dv01 leverage the firm's loan-level data for a range of purposes, including securitization and performance analysis.

While one analysis finds that publicly traded nonbanks may not be materially affected — contrary to the concerns expressed by Ocwen — Community Home Lenders Association said it could hurt moderately sized lenders.

The servicer is evaluating alternatives in light of the new rule the government bond insurer will put in place next year.

Special-purpose credit programs figure prominently in the recently released equitable housing finance plans of Fannie Mae and Freddie Mac.

BofA Securities Inc. predicts that single-family rental securitizations — which repackage a single loan tied to multiple properties — will fall to just $2 billion for the rest of 2022 as Federal Reserve rate hikes send shivers across the industry.

Historically tight underwriting reinforced by regulation and third-party reviews could be buffers, so long as manufacturing standards for production and servicing hold up as residential mortgage companies downsize, according to KBRA.

At least one other nonbank wholesaler will be following suit, with more likely to follow.

A "Big 3" credit bureau is testing a direct data feed into a FICO score, and a top multifamily mortgage lender signed a multiyear contract with a high-profile fintech platform.

The company is acting nearly a month earlier than its competitors did in 2021, the first shot in this year's "loan limits wars."

Bond credit enhancement has benefited from historically higher-than-average prepayment speeds and low realized losses despite a COVID-related rise in delinquencies.

A larger share of cash-out loans and slowing home-price growth is leading to expectations of more serious delinquencies down the road, according to Milliman.

This product, available throughout all of the company's channels, is characterized by interest-only payments over the first 10 years of the term.