Special Program Root Tag

The Mortgage Bankers Association forecast comes as bankers continue keeping an eye on their commercial real estate portfolios, including office buildings. The MBA also noted that many companies have long-term leases on their offices, likely making the hit more gradual.

Special-purpose credit programs figure prominently in the recently released equitable housing finance plans of Fannie Mae and Freddie Mac.

Republican Sen. Pat Toomey criticized the degree of "opacity" surrounding some community benefit agreements, or written deals between banks and community groups ahead of a merger that often involve billions of dollars of commitments.

Frustrations with gatekeeping, a lack of diversity and the way home appraisal is overseen are spurring many practitioners to call for an overhaul of the industry's governance structure.

Higher mortgage rates have led to a sharp slowdown in cash-out refinances. Second mortgages were up nearly 50% in the first five months of the year as homeowners looked for new ways to borrow against their equity.

Listing inventory is returning to levels not seen since before the pandemic, but building material shortages and supply chain issues continue to have an impact on new construction.

The application process was regarded more positively, which suggests originators have been successful at improving in this area.

Although housing costs are still far higher than levels from a year ago, monthly data showed prices declined across five U.S. regions in June, and a separate survey indicated almost one-third of sellers had recently slashed prices.

BofA has launched two programs, one focused on increasing homeownership for Black and Hispanic Americans, and the other on small businesses owned by women and minorities that buy commercial real estate in federal opportunity zones.

With Mortgage Bankers Association numbers showing just 57% were profitable in the second quarter, companies have tough decisions to make, but they have options that will help many stay the course.

Cybersecurity expenses and threats

Traditional metrics provide limited insight as to whether a portfolio is on its way to reperformance, so instead of tracking things like calls per employee, measure the number of homeowners helped.

A data breach in 2022 costs companies $4.35 million on average, an all-time high according to IBM research.

Automating rent-based underwriting for single-family loans and offering incentives for multifamily borrowers who accept housing vouchers are just two ways Fannie Mae and Freddie Mac are tackling the challenge of equitable housing.

Both bank and nonbanks are starting in — or returning to — this segment as they look to make up for declining originations. But there are a few key issues to consider before taking on the new line of business.

Advances by Federal Home Loan banks hit a 15-year low last year, but commercial banks and other financial institutions are clamoring for more as loan demand has increased and deposits have ebbed. How long will the trend continue?