Financial institutions

As 2019 got underway, weakness in the housing market drove the number of workers employed by nondepository mortgage companies down to a low not seen since August 2016.

Mr. Cooper Group took a net loss of $136 million in the fourth quarter after lower rates hurt the mark-to-market value of its larger mortgage servicing rights portfolio harder than its peers.

Policymakers could improve independent mortgage banks' financial stability by giving these companies improved access to liquidity, according to the Mortgage Bankers Association.

The company disclosed that it paid $146 million for servicing rights associated with $13 billion in mortgages.

Credit card issuers would have to set aside more in reserves because of higher loss histories, according to research by Keefe, Bruyette & Woods on the impact of the new loan-loss standard.

Ginnie Mae should not overreact in supervising smaller, more diversified mortgage bankers, but rather scale its approach in line with the concentration of risk that different-sized servicers pose.

Why now? Will it work? How will their rivals respond? The megadeal between the two East Coast regionals offers up plenty of grist for speculation.

The industry's largest acquisition in more than a decade will create the sixth-biggest bank in the country, with assets of more than $442 billion.

Nonbank mortgage companies cut payrolls by 3,100 full-time employees in December, bringing the level of the hiring in the industry to its lowest point in more than two years.

Residential mortgage-backed securities servicers are better able to weather a downturn and the resulting loan defaults today versus before the crisis because of their investments in technology and regulatory compliance, Fitch Ratings said.

Some hopeful souls in Washington believe the commercial banking industry will return to originating and servicing higher-risk mortgages, but most banks are more likely to continue withdrawing from the sector.

CrediFi helps bankers pursuing commercial real estate loan growth minimize the risk in lending to customers they historically haven't served.

As suspense builds over which firm will be the first to seek the special-purpose charter, a side discussion has emerged over which financial services sector has the most to gain — or lose — from the new option.

Independent mortgage banks have been instrumental in filling the void left by banks that have retreated from the home lending market since the Great Recession.

While Fannie Mae's multifamily origination volume took a step back from 2017's record high of $67 billion, its delegated underwriting and servicing program provided $65 billion in financing in 2018, led by Wells Fargo.

Policymakers should not let mortgage REITs, hedge funds and other firms gain membership through captive insurance companies.

Loans in commercial mortgage-backed securities originated after 2009 by nonbank lenders have a significantly higher default rate than those originated by banks, a Fitch Ratings report said.

Employment at nondepository mortgage companies dropped considerably in November, as the combined effects of lower volumes and seasonal slowing reduced hiring needs.

Mortgage servicing assets are poised for gains in 2019. But as higher average mortgage rates spur lenders to sell servicing rights and diversify their loan offerings, servicers' work will also get more complicated and costly.

New American Funding expects to add $1 billion to its annual production next year by purchasing Marketplace Home Mortgage.