Secondary

Policymakers should differentiate between housing finance-related issues of real importance to the greater public interest, and those that concern only special interests.

The Michigan company had fewer gains from loan sales. It also reported an increase in noninterest expenses.

While Freddie Mac is moving cautiously into buying manufactured housing loans not secured by land, Fannie Mae is moving more aggressively. Industry representatives are divided on which approach is superior.

Rather than working with large-scale investors, Freddie Mac said it will focus on assisting community organizations and local institutions to fund single-family properties for renters with special needs.

Unlike the $15 billion-asset bank’s legacy mortgage bonds, the new offering is backed by loans to borrowers with strong credit and significant equity in their homes.

Double-digit growth in loan volume offset a decline in fee income at the Honolulu company.

Ocwen Financial finalized the deal to sell its interests in $110 billion of nonagency mortgage servicing rights to New Residential Investment Corp. for total consideration of $400 million.

It’s a very large number for any bank, but Bank of America executives said the move makes good economic sense and promotes relationship-building with customers.

Auto risks mounting. Mortgage market tightening. Are there any good risks these days in consumer lending? Regional bank executives insist partnerships with online lenders, unsecured personal loans and other niche efforts can work if done properly.

From the small lender’s perspective, most of the various GSE reform proposals that have been offered are designed to advance the interests of the big banks.