Originations

The countdown clock on the Federal Reserve's rule to limit mortgage brokers' pay still has two months to go, but the shake-up is under way.

Technology vendor Mortech released a new version of its mortgage product and pricing engine that includes tools for automated underwriting.

Fannie Mae purchased $87.6 billion of mortgages from its seller/servicers in December, its best purchase month of the year and yet another sign that loan production remained strong in the fourth quarter.

It used to be axiomatic that it was cheaper for a lender to refinance a homeowner’s mortgage than to originate a purchase loan. Now it’s debatable.Broadly speaking, costs to produce either kind of mortgage are higher today than a few years ago, mostly because of increased regulation. And the common belief is still that it is more expensive to acquire a customer for a purchase loan than a refi, since purchase loans require more marketing.

In today’s mortgage world there are several challenges faced by everyone in the profession. First there is client acquisition and conversion. The mortgage industry is very competitive. Acquiring new clients is one of the greatest challenges faced by both new and experienced brokers.

LAS VEGAS—The National Association of Mortgage Brokers has a lot of fight left in it.Down to just a few more than 5,000 members and no longer with a full-time Washington staff, the group still plans to challenge the Federal Reserve Board’s compensation rule and hopes to persuade the new Congress to revisit the SAFE Act.

Of the states with at least a thousand new home closings last year, only five registered more closed deals than they did in 2009, according to new research from Housing Intelligence.

MetLife Bank last week hired industry veteran Jess Lederman to head its fledgling correspondent lending division, the last piece in the company's plan to become a top five player in mortgage banking."We plan on building a major corresponding lending business," said Lederman in a brief interview with National Mortgage News.

The Department of Housing and Urban Development on Friday officially suspended its anti-flipping rule for the rest of this year to facilitate the financing and sale of newly renovated foreclosed properties.

There will remain a need for private mortgage insurance as credit enhancement on low-downpayment loans even if the government-sponsored enterprises are eliminated, said a former Comptroller of the Currency, Eugene Ludwig.

Wells Fargo & Co., U.S. Bancorp, M&T Bank Corp. and others extended more business property loans during the last three months of the year, taking advantage of a modest improvement in a once-toxic field that smaller rivals have all but abandoned.

Economists at Moody's Analytics expect a pickup in home sales and construction in 2011, but admit they are "nervous" about their price forecast because of the high level of seriously delinquent loans, distressed sales, and strategic defaults.

Old Republic International Corp., Chicago, had net losses of $13 million for the fourth quarter, including a $110 million pretax operating loss for its mortgage insurance business. However, these are still an improvement over a $37 million corporate net loss and a $126 million pretax operating loss for the same period in 2009.

Fidelity National Financial Inc., Jacksonville, Fla., reported net earnings of $131 million for the fourth quarter and $370 million for the full year 2010, both showing improvements over the $69 million and $222 million earned in the same periods in 2009.

I've learned over the years that my most effective executive coaching leadership clients know the "why" of what they are passionate in achieving. They get excited in my office telling me inspiring stories of their hopes and struggles. They are optimistic and forward thinking.

It appears that Wilbur Ross hit a home run on his first day out. The WL Ross & Co.-affiliated BankUnited Inc. raised $783 million in its initial public offering, more than 18% more than what it initially expected.

Existing home sales in California in December were at their highest level since May, according to the California Association of Realtors.

The dynamics of the relationships between mortgage broker and wholesaler have been changed as a result of the housing crisis.And for many on the mortgage broker side of the equation, those changes have not been for the better.

Harris Financial has hired Kevin Christopher to be director of mortgage sales. He will be responsible for leading the Harris mortgage team in its internal collaboration, service and sales capabilities to contribute to the bank's overall strategy.

The National Association of Realtors is forecasting that existing home sales will hit 5.3 million units in 2011, up 8% from last year. But back in September, NAR economists were projecting a 10.7% increase in sales.