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."
-
The lender recorded a $59 million net loss in the fourth quarter, an 83% improvement from its third quarter performance.
6h ago -
Initial analyses of Home Mortgage Disclosure Act data show UWM ahead in 2023 loan numbers and dollar volume, but Rocket's market share still looks competitive.
6h ago -
Last year, the Raleigh, N.C.-based Integrated called off a deal to sell itself to MVB Financial after bank stocks took a hit in the aftermath of the regional bank failures. Capital hopes to expand its government-guaranteed lending with the transaction.
6h ago -
The pending end of the program comes as over half of U.S. states have already ceased accepting new applicants for federal aid aimed to help struggling households with mortgage payments.
7h ago -
But the 30-year fixed rate mortgage is still near 7%, and that remains the overhang on the housing market, Freddie Mac said.
7h ago -
Mortgage payments rose 10% year-over-year to an all-time high for March, Redfin said.
9h ago