Risk

In some cases lenders are using “safeguards” against for loans made outside the legal safe harbor for "qualified mortgages" that reprise old protections that did not work before.

Lenders who make or buy non-qualified mortgages are learning how to get more of a handle on the risks, in part by ensuring they don't stray too far away from QM boundaries.

Fannie Mae and Freddie Mac updated their representation and warranties frameworks in a move designed to encourage mortgage lenders to ease credit restrictions by limiting repurchase requirements.

An automated consumer training technology aims to mitigate compliance risk in loans outside qualified mortgage standards for liability protection.

Fannie Mae and Freddie Mac's new low down payment loans products may not represent such a risk to the Federal Housing Administration program as some have feared.

Only eleven months after cheering Federal Housing Finance Agency Director Melvin Watt's confirmation, Senate Democrats are fed up with the pace of reforms at the agency.

Lawyers for the U.S. and Wells Fargo told a judge they doubt they can reach a settlement in a government lawsuit accusing the bank of home-mortgage fraud, a person familiar with the matter said.

The Obama administration is committed to reducing FHA premiums for borrowers who complete the housing counseling program.

An independent actuarial report showed the Federal Housing Administration's mortgage insurance fund's capital ratio hit 0.41% this year, which is below the earlier estimate of 1.2%.

Plaintiffs advocating for spousal rights in existing Home Equity Conversion Mortgages are renewing their motion for class certification, citing circumstances surrounding two instances of foreclosures under interim government policy.

A fine levied against a relatively small lender shows that capitulating to the demands of staff on matters of lawful loan officer compensation is not a risk worth taking.

With an eye on eliminating mortgage buybacks and adhering to increasing regulatory compliance obligations, mortgage lenders are redoubling their sales training efforts for both rookie and veteran loan officers.

A report due next week on the Federal Housing Administration's financial health is expected to show that the agency's reserve fund has significantly improved over the past year.

Trade groups press federal banking regulators to make the Basel III capital rule less onerous.

A new multifamily investment product will for the first time allow Freddie Mac to buy and guarantee bonds backed by multifamily loans that were originally underwritten by private entities.

The company cited uncertainties with industrywide litigation and the regulatory environment in the move. In August, a New York regulator questioned its purchase of the unit from an affiliated company.

Industry observers have mixed reactions on whether next year's Republican-controlled Congress will finally address long-stalled efforts to reform Fannie Mae and Freddie Mac.

Despite policy changes that apply to new reverse mortgages, the rights for existing spouses of deceased borrowers remain unclear and subject to change until HUD and litigants agree on a final policy in line with court directives.

Lenders cannot afford to relax when it comes to performing regression analysis and fair lending training, but may find if they have strong compliance that they have more pricing options.

While the government-sponsored enterprises' move to allow down payments as low as 3% comes with some inherent risks, Fannie Mae executives are confident they can responsibly administer the new guidelines to ensure they're an effective tool for increasing access to credit.