Secondary

In another escalation of Quicken Loans' ongoing clash with the government, the Department of Justice on Thursday filed a lawsuit alleging shoddy underwriting by the company.

Judging by the help-wanted notice that Loretta Lynch posted last year, the freshly confirmed U.S. Attorney General intends to pick up where her predecessor left off and make lenders pay for their role in the subprime crisis.

The Federal Housing Finance Agency is sticking to its schedule and moving quickly to finalize proposed financial requirements for nonbank firms that service Fannie Mae and Freddie Mac loans.

Private-equity funds and hedge fund players have become more active buyers of mortgage-servicing rights as traditional investors withdraw from the market.

Bill Emerson, chief executive of Quicken Loans, said at a recent conference that the threat of government probes and a lack of regulatory clarity are making FHA lending less attractive.

Purchases of new homes slumped more than forecast in March from a seven-year high, a sign progress in the industry will be halting.

Freddie Mac's latest sale of risk-sharing bonds, its biggest yet, was structured in a way that will help reduce the earnings volatility that's added to concerns that the mortgage giant may again need to tap taxpayer funds.

Stock Yards Bancorp in Louisville, Ky., reported much better-than-expected earnings in the first quarter one the strength of higher mortgage revenue and net interest income.

Tricon Capital Group, which has been acquiring single-family rental homes in the U.S. since 2012 through Tricon American Homes, is planning its first securitization.

As banks have largely ceded the market for government-backed loans to nonbank lenders and servicers, it's fallen on Ginnie Mae to be sure that these nonbanks can meet their obligations to bondholders. It's a huge concern for President Ted Tozer, who says the company does not have the resources or manpower to examine these firms' finances.