Secondary

Consumers may see little change in the ultimate cost of Fannie Mae or Freddie Mac loans despite a restructuring of certain loan fees announced Friday by the Federal Housing Finance Agency.

While most structured finance should withstand the effects of a rate rise courtesy of the Federal Reserve, faster increases could threaten to shock markets for commercial and residential mortgage-backed securities, according to Fitch Ratings.

Carrington Capital Management will challenge a court decision to award contractual damages to an investor it blocked from pulling money out of a mortgage securities fund it managed in 2007.

Interest rates remained stable as the real estate industry eyes the start of spring home-buying season, according to Freddie Mac.

Sandy Spring Bancorp, in Olney, Md., reported an increase in quarterly profit because of an increase in mortgage revenue.

FHFA's reduction appears likely to involve loan level price adjustments that the two government-sponsored enterprises charge borrowers and adverse market fees charged on every loan, but not a guarantee fee reduction that the industry has sought.

Wintrust Financial in Rosemont, Ill., reported first-quarter earnings of $39.1 million, up 13% from a year earlier, as loans increased and mortgage revenue rose.

Beginning home construction rose less than forecast in March, indicating builders were slow to take advantage of favorable weather and underscoring a temperate housing recovery.

Bank of America had mortgage banking income of $694 million, up from $412 million one year prior, as it originated $14 million of first mortgages in the first quarter.

Mortgage loan application volume dropped 2.3% on a seasonally adjusted basis for the week ended April 10 versus the previous week, the Mortgage Bankers Association said.