Servicing

Along with the Federal Reserve and the Office of Thrift Supervision, we announced cease-and-desist orders against 14 large servicers and two service providers that are intended to correct the deficiencies we found both in mortgage servicing and foreclosure processing.

The Shadow Financial Regulatory Committee is warning that proposed risk retention rules might not deter some MBS issuers from securitizing poor quality mortgages.

The Mortgage Bankers Association is projecting a 28% jump in purchase money originations in 2011. And even though refi originations are expected to fall off the cliff, the MBA is still looking for a $1 trillion year.

The servicing-related consent orders that the nation’s megabanks signed to appease banking regulators could impact smaller servicers too, according to consultants at Newbold Advisors.

The surge in refinancing, now down to a virtual trickle, was officially pronounced dead and gone at the Mortgage Bankers Association's annual secondary market conference in New York.

The residential mortgage division of Ally Financial posted earnings of $34 million in the first quarter, a 78% decline from the same period a year ago.

Interactive Mortgage Advisors, Denver, is offering a $402 million package of bulk servicing rights backed by Government National Mortgage Association guaranteed loans.

Mortgage servicers reported a pickup in propriety loan modifications as well as foreclosure sales in March.

Secondary market investors are continuing to push for consent standards that dictate when a second lien can be added to a first mortgage, industry executives told attendees at a conference Monday morning.

House Financial Services Committee chairman Spencer Bachus, R-Ala., on Monday said he is trying to forge a consensus on GSE reform legislation based on several bills already approved by a subcommittee.