Mortgages

What if flat fee loan officer/mortgage banker compensation prevails?

Key senators signaled guarded optimism Thursday about the chances of finding a bipartisan compromise on mortgage refinancing legislation, though the bill still faces an uphill fight in the House.

The CFPB surprised many when its proposals announced earlier this month contained a provision to eliminate certain critical differences between brokers and creditors concerning the compensation of loan officers. This may not, however, be as significant for brokers as it may first appear.

With more effective outreach to municipalities and better internal processes, servicers can minimize their risks of code violations and stiff penalties, and build stronger relationships with code enforcement departments to protect the condition and value of properties in their portfolios.

In a recent presentation to investors Fortress Investment Group estimated that $4 trillion in mortgage servicing rights may change hands over the next few years, but MSR investors and others say that estimate is much too high.

The Federal Home Loan Banks stopped purchasing private-label MBS in 2008, but losses on those bad investments have been a major drag on earnings ever since. But that may be changing.

The Senate late this week passed a 60-day extension of the flood insurance program, preventing a shutdown of coverage by the beginning of June.

As the Litigation Compliance Law Center explained during a May 10 webinar, it was offering to pay finders' fees to mortgage brokers for recruiting homeowners who themselves paid a $5,000 up-front "retainer" to affiliated attorneys.

A pair of nonlisted real estate investment trusts with the same dealer/manager have modified their share repurchase programs to increase stockholder liquidity.

Credit quality improved in all major loan categories at commercial banks, savings banks and thrifts, except for single-family loans, according to the Federal Deposit Insurance Corp.

Up to 90% of the borrowers underwater are current and continue to pay their mortgage on time.

New regulations have, and are expected to continue to impact the commercial real estate mortgage servicing industry, while process redesign and technology implementations are helping organizations improve efficiency, expand offerings and in many cases, retain staff.

LendingTree said from January to May, the proportion of borrowers who refinance into a 30-year fixed-rate mortgage has increased by 5% on a year-over-year basis.

American Capital Mortgage Investment Corp., Bethesda, Md., has priced a public offering of 11 million shares of common stock for total expected gross proceeds of $253 million before expenses.

LemonDrop, a networking group for women mortgage industry professionals, held a reception at the Arizona Biltmore Hotel in Phoenix during the Mortgage Bankers Association’s technology conference in April.

The average weekly rate for a 30-year fixed-rate mortgage in Freddie Mac’s primary market survey held steady at its record low of 3.78% during the week ending May 24.

The three outside investors in Republic Financial Indemnity Group are George Cochran, chairman, financial institutions group at Macquarie Capital Advisors; David Kimmel, managing partner of Summit Capital LLC; and James W. Schacht, president of the Schacht Group.

Just days after predicting that this year’s mortgage originations would fall to their lowest level in volume since 2007, the Mortgage Bankers Association is changing its tune—singing at a higher note.

On Wednesday industry officials met with the Consumer Financial Protection Bureau to discuss the agency’s new proposal to reengineer how loan officers and brokers can make a living. To call it a nightmare might be an understatement, we were told by attendees.

The Federal Reserve Board is using YouTube to try to reach more borrowers who may be eligible to have their foreclosure files reviewed as part of consent agreements with the 14 largest mortgage servicers.