Maybe the Government is Starting to Understand Mortgages?

Is the Obama Administration starting to listen to the mortgage industry – and in a good way? Well, don't throw a party quite yet, but two major mortgage developments this week suggest that perhaps the White House is starting to understand that you can't have a housing recovery without the cooperation of lenders and servicers that make the loans. The first positive development: the Federal Housing Finance Agency has apparently scrapped its controversial plan to radically alter the 25 basis point minimum servicing fee on Fannie/Freddie loans. Secondly, Uncle Sam has come out with a 'new and improved' refi effort for underwater borrowers using FHA. (For details on both stories visit the NMN website.) Meanwhile, we understand that the CFPB actually met with some loan brokers last week – and listened intelligently to their complaints, or so we're told.