Law and regulation

For many politicians, GSE reform is a shorthand term, which translates into their plan to shut down the government-sponsored enterprises in favor of an untested system of housing finance.

The Jacksonville, Fla.-based company will give the FDIC $24 million in cash and a $24 million promissory note to terminate loss-sharing agreements related to its Bank of Florida acquisition.

A big increase in short- and long-term affordable rental housing demand means the window of opportunity for multifamily and foreclosure-to-rent investors and developers nationwide continues to expand.

The luxury builder has commitments from two banks to buy non-QM loans.

The North Carolina Democrat will be the first confirmed director of the FHFA in five years.

Violations related to third-party providers such as appraisal management companies can lead the Office of the Comptroller of the Currency to pursue enforcement actions and assess special fees against lenders.

The Midwest bank was fully reserved to cover the costs.

Gov. Andrew Cuomo is proposing regulations that expand mortgage relief options available to homeowners who owe more than the current market value of their homes and share benefits with investors.

New ability to repay/qualified mortgage rules and other regulations going into effect next year will present additional risks for the industry. Excerpts from this recent NMN/American Banker/PaymentsSource webinar highlight some key ones.

Among the products being dropped are 95% loan-to-value ratio mortgages and loans for borrowers with low-to-mid range credit scores.

Other businesses are doing away with them in favor of salaries but originators are reluctant to do the same.

A group of state regulators issued a paper calling on federal regulators to do a better job of exempting small banks from their regulations, including urging the CFPB to provide more exemptions for small banks to its qualified mortgage rule.

With the annual March 1 date looming for federal Home Mortgage Disclosure Act compliance, Texas Dow Employees Credit Union has successfully implemented an automated solution that saves time, money and beats the deadline.

The g-fee changes should encourage further return of private capital to the mortgage market, says Ed Demarco, as the price changes provide better protection of and return to taxpayers who are providing the capital support that keeps these companies operating.

In perhaps one of the most significant but least talked about changes, mortgage servicers will be facing revised statutes governing qualified written requests under the Real Estate Settlement Procedures Act.

The nonbank has cracked the nationwide top ten servicing list and now wants to increase originations share.

Senators warned that using guarantee-fee revenue to offset government spending will complicate Fannie and Freddie reform.

The CFPB estimates litigation expense could be just 10 basis points per loan, or even lower.

NMN also got a wry remark suggesting that big banks could be tapped to help fund the nation’s health care.

Requiring only independent mortgage bankers to meet certain education standards is “patently unfair” for both independent mortgage bankers and consumers, according to Mortgage Bankers Association president David Stevens.