Origination

Equity-rich mortgages — those that have a loan-to-value ratio of 50% or lower, meaning the borrower's equity stake is at least half the property's value — decreased to 46.1% from 47.4% the prior quarter, according to the US Home Equity & Underwater Report published by real estate data firm ATTOM. 

As a result, a robust housing market is now on the horizon, Freddie Mac chief economist Sam Khater declared.

The Tax Relief for American Families and Workers Act of 2024 includes restoration of a 12.5% increase in the program's 9% limit that expired in 2021.

The lender has signed a letter of intent to acquire single-family mortgage operations and staff, according to Rick Arvielo, NAF's chief executive.

A key Senator had urged Fed Chairman Jerome Powell to lower rates early this year, but although there's more consensus on making such a move, it now looks unlikely to happen until after the next meeting.

The wholesale giant touts the move as giving brokers a leg up on banks and retail lenders waiting for the next origination wave.

Aspiring buyers took out fewer loans last week, leading to the overall decline, but the average purchase-loan size also surged to its highest mark since last spring, the Mortgage Bankers Association said.

The parent company of Flagstar Bank surprised investors by slashing its dividend, charging off two large real-estate loans and preparing for more trouble in the office and multifamily sectors.

The company's building unit saw income slow, but the mortgage banking division number accelerated on both a quarterly and annual basis.

The net proceeds will be used to pay down borrowings on a credit line secured by its mortgage servicing portfolio.