National Mortgage News - October 2019

A way out for the GSEs.

Senate Banking Committee members feel urgency to pass a bill dealing with Fannie Mae and Freddie Mac, but the same obstacles that have stalled congressional action for years remain.

The regulator for Fannie Mae and Freddie Mac suggested that a finalized capital framework for the two mortgage giants could be published by the end of the year.

The Trump administration raised the goal posts for ending the conservatorships of Fannie Mae and Freddie Mac, but how officials get there is still highly uncertain.

The Treasury Department made clear in a much-anticipated report that it prefers Congress take up reform of the government-sponsored enterprises, but it also recommended steps that federal agencies could take without legislation.

Home equity lenders expect origination activity to remain dreary through next year even though consumers can potentially access more proceeds now than in 2006, a Mortgage Bankers Association survey found.

The industry has taken some steps to lower barriers to affordable housing, but some observers say that more can be done.

The Trump administration is not backing down even after a federal court blocked guidance that would have limited the operations of national housing funds.

Though advocates and industry are rarely aligned, they are starting to coalesce around a plan that would call for the elimination of the CFPB’s 43% debt-to-income limit as part of its qualified mortgage rule.

With long-term interest rates at historic lows, mortgage refinancing is coming on strong. But that additional revenue may not be enough to offset net interest margin pressures and lost servicing income.

Properties sold directly to investors in a foreclosure sale were more likely to be occupied by an owner one year later, compared with those that reverted to the lender, an Auction.com study found.

Capacity, formerly Jane.ai, originally designed its chatbot to answer consumers' questions, but when employees started using it, that gave the startup an idea for a new business line.

The bureau issued three policies removing the threat of legal liability for approved companies that test new products.

The use of state housing finance agency down payment assistance programs is part of the solution to address the growing affordable housing gap, a Fitch Ratings report said.

Complaints made by legacy shareholders of Freddie Mac have no value after the Treasury Department pumped up Freddie and Fannie Mae through conservatorship.

While many lenders lately managed their business expecting reduced volume, now they get to capitalize on extremely low mortgage rates. But today's benevolent conditions will not always be with the industry.

Here's a look at 12 of the nation's most affordable housing markets, based on the lowest shares of median local income needed to buy a house in the area, according to Redfin.