Fannie Mae is working on new structures that would allow the mortgage giant to guarantee and securitize mortgages it likes (in terms of pricing and risk) and sell off the pieces it doesn't like to other investors."We tested our first structure to transfer risk to other market participants who have a different view of risk than us," Fannie executive vice president Thomas Lund told a Credit Suisse financial services forum Feb. 8. "These structures will allow Fannie to serve its customers and participate in more transactions," he said, and it works with many products, including subprime mortgages. The EVP for single-family mortgages noted that Fannie started purchasing subprime loans from a "very limited" number of its lenders last year. "We began to dip our toe in the water of subprime whole loans to determine if we could bring value to that segment of the market," Mr. Lund said. He indicated that Fannie wants to increase its involvement in the subprime market. The government-sponsored enterprise can be found on the Web at http://www.fanniemae.com.
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Elevated delinquency levels have not affected expected losses, however, due to home price appreciation, Fitch Ratings said.
3h 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.
6h 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