Friedman Billings Ramsey has identified 56 metropolitan statistical areas that have persistently high default rates on subprime and alternative-A loans.According to FBR research, subprime loans in these MSAs (which cover 16 states) have a default rate of 13.82%, more than double the national subprime delinquency rate of 6.16% (for 331 MSAs). Alt-A loans in the 16 states carry a 2.54% delinquency rate, compared with 0.77% nationally. The MSAs include Buffalo, N.Y.; Charlotte, N.C.; Cincinnati; and Cleveland. FBR analyst Michael Youngblood told MortgageWire that the problem MSAs have "rust belt, cotton belt, and farm belt economies that are stuck in the 19th century." He said delinquencies are rising in these areas in part because of layoffs in the automotive and auto parts industries. Mr. Youngblood said it's appropriate for lenders to "price each loan based on its individual risk."
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House Republicans overcame internal divisions to narrowly pass President Trump's tax and spending package Thursday afternoon. The measure would cut the Consumer Financial Protection Bureau's funding level, among other provisions.
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A labor shortage is costing the market tens of thousands of new homes per year, and tariff uncertainty is adding thousands of dollars in expenses per unit.
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The pace of revenue growth slowed toward the end of 2024, with the trend continuing into the first three months of this year, NAHB reported.
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Capital One closed the deal to buy the credit card provider in May and as part of the review process, decided to exit its home equity lending business.
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The 10 basis point decline in the 30-year fixed mortgage was the most since March and the first time rates are below 6.7% since April, Freddie Mac said.
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The firm, now going by Fairway Home Mortgage, said the change is a representation of plans to create a "connected ecosystem."
July 3