Servicing

Treasury Secretary Timothy Geithner reiterated support Wednesday for mortgage principal reductions at Fannie Mae and Freddie Mac.

The changing origination landscape is making it more advantageous for midsize lenders to retain servicing rights, according to a panel at this week's SourceMedia Mortgage Servicing Conference in Dallas.

Bank of America originated just $16 billion of first and second liens in the first quarter, a 72% decline from the same period a year ago as the closing of its correspondent channel weighed heavily.

Single point of contact requirements for servicers aren’t just another compliance burden, they’re an opportunity for improved margins and lower loss severity, according to Craig Focardi, a senior research director at consulting firm TowerGroup.

The residential mortgage banking division of PNC Financial Services Group reported a $61 million profit for the first quarter, turning around a $61 million loss suffered in 4Q.

Genworth Financial lost 20% of its market value Wednesday afternoon after it revealed accelerating losses at its Australian mortgage insurance affiliate and delayed a spin-off of that division until next year.

The Federal Housing Finance Agency wants Fannie Mae and Freddie Mac to be more responsive to troubled homeowners seeking a short sale solution or who receive a bid from an interested buyer.

The pace of bank failures will slow considerably this year as the industry continues to recover from the real estate bust, according to the acting head of the Federal Deposit Insurance Corp.

The U.S. economy is poised for moderate growth in 2012, but unlike prior recessions, the housing sector won't lead the recovery, according to Mark Fleming, chief economist for CoreLogic.

New government aid programs for troubled homeowners are forcing cost-cutting lenders, especially banks, into a tricky balancing act.