Servicing

An improving economy and better execution of loan modifications have meant fewer redefaults on restructured mortgages, the Office of the Comptroller of the Currency said Thursday.

The number of homes nationwide with negative equity dropped significantly in the second quarter, according to the financial information firm CoreLogic.

In August the nation's mortgage loan delinquency rate increased nearly 5% over the previous month to its highest level since February, according to Black Knight Financial Services.

Mortgages that do need meet new ability-to-repay rules are likely to be securitized only sporadically, according to participants at the ABS East conference.

Starwood Waypoint Residential Trust has purchased a pool of delinquent loans and bank-owned homes for a total price of $73.3 million.

Fannie Mae, the largest source of funding for U.S. mortgages, said Chief Operating Officer Terence Edwards plans to leave the government-backed company in the first half of next year.

Several federal agencies have joined forces in launching new public service advertisements designed to inform and assist homeowners at risk of foreclosure.

Devising a risk mitigation plan — and the training and oversight necessary to implement it — requires lenders and servicers to conduct a scientific investigation into the policies, procedures and controls they already have in place.

A program that moves distressed mortgages out of the foreclosure pipeline can save the FHA and GSEs money and give troubled borrowers a better shot at staying in their homes — but only if it's properly implemented.

Within the span of a year, institutional investors with large portfolios of single-family properties have tapped the securitization market with nine deals, creating an alternative form of exposure to the housing market.