It's that time of the year again: one in which financial services columnists wax poetic and ponder the Bailey Building and Loan and how if it existed today (it doesn't really) regulators would sue George Bailey (and Uncle Billy and 'Old Man' Potter since he sat on the board) for fraud to go after the D&O insurance. Who cares if the good folks of Bedford Falls filled the negative net worth hole with their donations! (Sam Wainwright's line of credit would probably be dismissed by the FDIC as sham. Plastics? Hah! Looks like a mixing of commerce and banking to me.) But let's get down to the profit margin equation and ask this very important and basic question: is borrowing short and lending long any riskier than the system we have today? Why not fund seven year loans (the average life of mortgage paper) with deposits that average two or three years? Someone needs to go and do the math and take a look at the past 10 years and figure out how old fashioned balance sheet lenders would've prevailed. I'm not saying (at all) that I prefer the old system. Keep in mind that in the old system the rate paid on savings deposits was regulated by Uncle Sam and thrifts could not offer money market accounts. What happened to change all this? Our good friends at Merrill Lynch had the banking laws changed. Then we had Garn-St. Germain, FIRRERA, Glass-Steagall (torn down), and the list goes on and on. Message: Once you let an industry, any industry, lobby Congress to change the rules of their game, watch out. Message: if it ain't broke, do not fix it. The Genie is out of the bottle and there is no going back. Hark, the Herald Angels sing…
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Former Angel Oak Lending Chief Marketing Officer Steven Winokur has come back into the non-qualified mortgage business by taking a marketing role at Carrington Mortgage Services.
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The process of making changes to foreclosure prevention programs has been complicated by differences in how the Department of Veterans Affairs operates compared to an agency like the Federal Housing Administration.
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Originators increased program offerings for the fifth consecutive month, but overall credit availability remains tight, the Mortgage Bankers Association said.
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Malhotra joins the home finance giant after previously helping launch platforms to provide generative AI enterprise solutions and founding a technology research lab at the global multinational firm.
May 6 -
The reverse-mortgage lender saw a quarterly loss but expects originations to increase 10% in the second quarter, as it attempts to address high-yield debt concerns.
May 6 -
Capital Community Bank of Provo has purchased Security Home Mortgage, headquartered in nearby Orem.
May 6