Loan brokers take note: Alan Fishbein of the Consumer Federation of America believes that newpricing disclosures on subprime loans will have a "cleansing effect" on the mortgage industry. He alsosaid the release of the pricing information (coming in a few weeks) will force wholesalers to police their mortgagebrokers. He made his comments at a gathering of state attorney generals last week. At the meeting two AGs, RoyCooper of North Carolina and Patricia Madrid of New Mexico, told National Mortgage Newsthat their respective predatory lending laws have not affected, one bit, the availability of non-conforming creditin their states. Mr. Cooper said a few lenders exited N.C., but he added, "We were glad to see them go." He also said a few exited then returned...
General Motors, the world's largest automaker, rattled the market on Wednesday (big time) when it slashedearnings estimates. Its stock got beat up but good and the company -- which owns GMAC Mortgage -- now hasa market cap of about $15.9 billion. For years, officials at GMAC Mortgage have quietly lamented that its fundingcosts in the capital markets have been too high -- mostly because of the poor credit ratings of its automaker parent.Last fall GMAC and its sister company, GMAC-RFC, unveiled plans to create a holding company with the hopeof shielding the mortgage business from the automaker's credit woes...
The chances of getting a GSE regulatory bill passed this year look pretty good. And so far most of the focushas been on Fannie Mae and Freddie Mac. But what about the Federal Home Loan Bank system? Some industry executives are predicting that language will be introduced to whittle the FHLBs down to six fromthe current 12. Who will be the survivors? We hear: Atlanta, Chicago, Dallas, Des Moines, New York, and San Francisco...
Countrywide may be the nation's largest residential funder, but according to National Mortgage News'soon-to-be released Annual Data Report, the company is still way behind Wells Fargo Home Mortgagein retail. According to ADR stats, Wells funded $173 billion via retail versus $116 billion for Countrywide. WashingtonMutual was a close third with $111 billion. Of course, Countrywide makes up for its shortcomings in retailby being the nation's largest correspondent funder. In 2004 Countrywide acquired a stunning $160 billion in closedloans from other originators, leaving the number two ranked Wells in the dust with just $82 billion...
And according to the new ADR, two of the fastest growing wholesale funders in the nation are: Silver StateMortgage of Nevada, and Cherry Creek Mortgage of Colorado. The best correspondent performers in termsof growth were: Impac, IndyMac, and HSBC. To order the ADR contact:
The National Alliance of Independent Mortgage Bankers, a relatively new trade group that represents mid-sizedlenders, on March 16 sent a letter to the chairman of the Senate Banking Committee, saying it opposes theidea of government regulating guarantee fees...
Stop the presses! This very important story has come across our desk:
Should Fannie Mae and Freddie Mac spin-off their automated underwriting systems? Yes, says industry veteranJohn Robbins, who is scheduled to become chairman of the Mortgage Bankers Association in two years. If you want more details read Lew Sichelman's story in this past Monday's edition of National MortgageNews...
Mortgage lender Doral Financial of Puerto Rico saw its stock tumble 14% on Thursday after MerrillLynch downgraded the stock to "neutral" from "buy." Doral has 56 offices in PR and oneon the U.S. mainland...
American Business Financial Services, the troubled Philadelphia-based subprime lender, has received finalbankruptcy court approval for a $500 million debtor-in-possession financing facility that will enable it to resumeproduction. The facility includes $175 million in interim financing provided by Greenwich Capital, and CITBusiness Credit...
RBC Mortgage of Houston says it was honored with the "Wholesale Lender of the Year" award bythe North Carolina Association of Mortgage Professionals at the recent NCAMP annual convention. Accordingto RBC, the award is given to a wholesaler, "that has continually contributed to the betterment of the overallindustry by providing education, service, support, programs and innovative technological advances that enhancethe mortgage industry." RBC, according to NMN and Origination News, is on the auctionblock...
RealtyTrac, which operates an online marketplace for foreclosure properties, has launched a new monthlyforeclosure market report...
MORTGAGE MEETINGS: It's considered one of the best subprime meetings of the year. That would be the annual"Subprime Lending Symposium" hosted by Source Media. This year's conference is in Las Vegas onMay 19 and 20. Featured speakers include New Century's Brad Morrice and Countrywide's Debbie Rosen.For more information call: (800) 803-3424.
MORTGAGE PEOPLE: Freddie Mac has named Chris Bowden vice president of HomeSteps, the GSEunit responsible for the management and sale of single-family real estate owned. Maurice "Hank" Greenberghas been forced out as the long time CEO of insurance giant American International Group. Mr. Greenbergwas a founding board member of FM Watch (now called FM Policy Focus), a group that lobbies to contain theexpansionist tendencies of Fannie and Freddie.
SURVEY REMINDER: Lenders and servicers don't forget to fill out our annual survey. Respondents will receiveFREE our daily mortgage news briefing (which is called, of course, Daily Briefing) plus will be ranked inNMN, the Mortgage Industry Directory and other publications. To view the survey
SourceMedia.co
DATA NOTICE: NMN has just published its 4Q edition of the Quarterly Data Report. For more infocontact
@SourceMedia.com
@SourceMedia.com
