The mortgage banker of the future will be an organization that is both horizontally and vertically integrated, along the lines of Countrywide Financial Corp., according to Paul Miller, a buy-side equity analyst for the Friedman, Billings, Ramsey Group.Speaking at the Mortgage Bankers Association National Secondary Market Conference in Chicago, Mr. Miller said the continued evolution of the nonagency securitization market will disintermediate the government-sponsored enterprises and other Wall Street nonproducers of mortgage assets. Countrywide is the model, as two-thirds of its production is traded on the secondary market, not by Wall Street, but by its internal operations. In the future, mortgage bankers will have to do all four loan categories -- prime, subprime, alternative-A, and niche -- to stay in business, Mr. Miller said. Many of their best loans will have to be put into portfolio in order to be profitable. Finally, mortgage bankers will need to be better at retaining their servicing portfolio, something they have not done a good job of so far, Mr. Miller said. The successful mortgage banker will retain over 40% of its servicing customers and cut out the mortgage broker, he said.
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The increasing frequency and severity of droughts was top of mind for panelists at AmeriCatalyst's "Going to Extremes" conference Thursday.
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In a Senate hearing, Director Sandra Thompson said a raise to the required income threshold provided to affordable housing was on the table, while housing regulators also faced questions related to property insurance hikes and title insurance waivers.
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The nonpayment rate for non-qualified mortgages is up 21 basis points from February and 134 basis points from March 2023, Morningstar DBRS said.
April 18 -
The government mortgage-bond guarantor will require additional information on foreclosure prevention actions, and retire some forbearance reporting.
April 18 -
But views are split, at least in the near-term on whether rising mortgage rates are holding back the Spring home purchase season.
April 18 -
The top five producers had an average dollar volume of FHA loans of more than $50 million in 2023.
April 18