Servicing

Participants at the National Mortgage News roundtable in New York see a few years of healthy activity left for the distressed mortgage market despite the slowdown in foreclosures and shadow inventory.

Unlike the previous transactions, the latest deal is backed by loans to borrowers that have missed payments in the last 12 months.

New Yorkers for Responsible Lending is calling on Gov. Andrew Cuomo to sign a bill which would amend state law which its supporters claim will move homeowners in danger of foreclosure into court-mandated mediation much quicker by making lenders file certification of the legitimacy of the foreclosure action on a more timely basis.

Two $1 billion losses affecting private-label residential mortgage-backed securities that were taken due to a change in reporting methodologies as loans with principal forbearance changed hands may be the worst of these types of losses.

A former bank executive faces two years in prison and a $2.4 million restitution payment after pleading guilty to one count of misapplication of bank funds.

PennyMac Mortgage Investment Trust has agreed to purchase nonperforming residential mortgages and property acquired in settlement of loans with an unpaid principal balance of $140 million from Citigroup Global Markets Realty Corp.

Home Affordable Modification Program guidelines issued in 2010 recommend that servicers write down forbearances after servicing transfers unless prohibited by the pooling and servicing agreements.

A resident of North Las Vegas has filed a legal complaint seeking to block that city’s move to use eminent domain as a means of resolving distressed mortgage woes.

Municipal Mortgage & Equity has sold its fixed-rate performing multifamily bond portfolio to Merrill Lynch Portfolio Management Inc.

Mortgage Grapevine poster Power Pig shared with the rest of the community a new way he has found to supplement his income.