This just in: the third quarter was a blowout for the industry. According to National Mortgage News'just released 3Q edition of the Quarterly Data Report, mortgage bankers funded $924 billion in the thirdquarter, the industry's best showing in two years. Then again, many lenders are glum about prospects for next year,though some executives tell us margins are improving a bit, a little bit, that is.
To order the new QDR e-mail
Also just in: the brand-new 3Q edition of the Alternative Products QDR offers an exclusive ranking ofthe nation's top funders of payment-option ARMs. To order, e-mail Ms. Todd
In case you didn't see MortgageWire Thursday afternoon, the nation's largest subprime funder Ameriquestannounced companywide layoffs. About 10% of its work force was let go, but the staff at Argent Mortgage,its wholesale division, was spared
It looks as though mortgage REIT Sunset Financial of Jacksonville, Fla., is on the auction block. Thecompany reported a $1.4 million loss in the third quarter because of a "commercial loan" problem. Italso paid out $853,000 in severance. The REIT has hired Banc of America Securities to "explore strategicalternatives." Translation: the company is open to offers
When Fannie Mae revealed last week that it had unearthed accounting problems in regard to investmentsit made in synthetic fuel tax credits some readers were probably scratching their heads, muttering "syntheticfuel tax credits? That sounds familiar." Well, it should ring familiar to readers of National MortgageNews. In August 2003, NMN reported on a research report by MDB Capital Group, which questionedthe investments, noting that the Internal Revenue Service might revoke them. The research firm -- whichwas neither "long" or "short" the stock -- estimated that since 1998, Fannie "has utilizedsynthetic fuel tax credits in the range of $500 million to $1 billion." In last week's SEC filing, Fannieput no dollar amount on its synthetic fuel problem. In 2003, a Fannie Mae spokeswoman told NMN that MDB'sanalysis was wrong. Well guess what? It appears that MDB wasn't wrong. Don't subscribe to NMN? Call (800)221-1809
Federal Reserve governor Mark Olson believes mortgage firms need to carefully review the way theypay their loan officers. In a recent speech, Mr. Olson said management should review compensation arrangementsto make sure they don't include "incentives to extract fees from vulnerable or less well-informed borrowers"
Freddie Mac spent $7.3 million on lobbying activities during the first half of the year, according toPoliticalMoneyLine, a website that tracks such costs. Overall, Freddie ranked fifth nationwide
It's official: credit-card giant Capital One Financial has closed on its purchase of Hibernia Corp.of New Orleans. Hibernia is one of the largest residential lenders in Louisiana, which is struggling in the wakeof Hurricane Katrina
Cleveland-based KeyCorp has signed an agreement to acquire the commercial mortgage-backed securitiesservicing business of Orix Capital Markets LLC, Dallas, for an undisclosed sum. Key said the transactionwould expand its CMBS servicing portfolio from $45 billion to more than $70 billion
Say it ain't so! The Red Sox and Patriots at the heart of a RESPA scandal? Not really but HUDand the FDIC found that 1-800-East-West Mortgage Co. solicited and received tickets from certain settlementservice providers to Boston Red Sox and New England Patriots events (as well as music concerts) in exchange forreferral business
WASHINGTON NEWS: The House and Senate banking committees are rushing to provide additional borrowingauthority for the cash-strapped federal flood insurance program, which suspended paying claims to homeowners onNov. 11. The National Flood Insurance Program has exhausted its $3.5 billion line of credit with the Treasury.The House Financial Services Committee approved a flood insurance reform bill that would provide $18.5 billionin additional borrowing authority. The Federal Emergency Management Agency, which administers the NFIP,has estimated that Hurricanes Katrina and Rita will generate $22 billion in flood insurance claims.
MORTGAGE PEOPLE: Freddie Mac has named Timothy Bitsberger its new treasurer and senior vice president.Mr. Bitsberger is a former Treasury Department official and Wall Street veteran. Radian Group hasnamed Mark A. Casale executive vice president of its mortgage insurance unit. He will report to Radian presidentRoy J. Kasmar.
UPCOMING CONFERENCES: If Hurricane Wilma caused you to miss the MBA annual, try Las Vegas. Check outthe LoanToolbox and SourceMedia conference on "Business Plan 2006." (SourceMediapublishes NMN.) The meeting will be held Dec. 6-9 in Las Vegas where no hurricanes are expected -- or everstrike. For more information
DATA NOTICE: Need to know every subprime lender in the nation and which firms are the subprime marketleaders in all 50 states? Order NMN's new Subprime HMDA Database. E-mail
