A report from the Government Accountability Office has cited competition and pricing as areas of concern in the title insurance business.The report calls on the Department of Housing and Urban Development to "consider expanding the information in its homebuyer information booklet; evaluating the costs and benefits to consumers from [affiliated business arrangements]; clarifying regulations related to referral fees and ABAs; and enhancing the agency's coordination with state regulators." It also called on Congress to increase HUD's enforcement ability under the Real Estate Settlement Procedures Act to levy civil money penalties for Section 8 violations. In a letter (included in the report) written by Federal Housing Commissioner Brian Montgomery, HUD said amending RESPA would allow it to "protect consumers from unnecessarily high settlement charges caused by kickbacks and referral fees that tend to increase unnecessarily the costs of title insurance and other settlement services." The report was done at the request of Rep. Spencer Bachus, R-Ala., the ranking member of the House Committee on Financial Services. Rep. Bachus said it showed that "the title industry could be improved through better oversight by state and federal regulators, as well as better education of consumers."
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The new Financial Stability Oversight Council report also recommends an expanded Ginnie Mae PTAP facility and an industry-funded liquidity resource.
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The publicly traded title holding companies all had stronger earnings as the mortgage market improved from one year prior.
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One in every 37 residential properties nationwide had a loan-to-value ratio of 125% or greater to begin the year, according to a new report.
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There's temporary leeway on formal compliance with replacement-cost value requirements in order to sort out insurer concerns with a recent re-emphasis on them.
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Max Levchin, CEO of the buy now/pay later lender, said recent tests show young adults prefer interacting with intelligent chatbots over phone-based agents, but the company doesn't foresee major cost savings from generative AI for a few more years.
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May 10