A legislative proposal that would allow the Federal Housing Administration to use risk-based pricing is expected to be included in the president's fiscal year 2007 budget, sources have told MortgageWire.The proposal would authorize the FHA to adjust mortgage insurance premiums on single-family loans on the basis of the borrower's credit score and other risk characteristics. "It would allow FHA to set premiums like all the other mortgage insurers," said one source who did not want to be identified. The Bush administration is expected to unveil the president's budget on Feb. 6. Conceptually, risk-based pricing would help the FHA compete for more creditworthy borrowers while still serving subprime borrowers. The FHA has been losing market share to conventional prime and subprime lenders for some time. In fiscal 2005, FHA mortgage insurance endorsements dropped by 46% to $62.3 billion. The FHA has a 20% share of the mortgage insurance market.
-
Elevated delinquency levels have not affected expected losses, however, due to home price appreciation, Fitch Ratings said.
4h ago -
Retail lenders, including Beeline, Tomo Mortgage and Rocket Mortgage, settled with the department over infractions like submitting a false certification to not having the proper liquidity to be in the program.
4h ago -
A pair of bills, one with bipartisan support, look to address the issues around heirs' property so these families can have clear title on their homes.
4h ago -
The agreement, in which the real estate giant admits no wrongdoing, will cover around 70,000 agents.
7h ago -
Doxo plans to fight the FTC complaint, which focuses broadly on consumer finance, but there are signs of confusion about the company's role in mortgages too.
April 25 -
Members of the LGBTQ community were most likely to have experienced housing bias, according to a Zillow survey, which also found many people don't recognize how fair lending laws could help.
April 25