Risk

If you thought the subprime mortgage-backed security was an artifact of the past, think again. Nomura Holdings and Angel Oak Capital have a deal that may help revive the part of the market that went bust during the crisis. Their success could encourage more banks to dip their toes back into riskier mortgages.

JPMorgan Chase & Co., the second-largest servicer of U.S. mortgages, is buying the right to handle $45 billion of home loans from Ocwen Financial Corp., according to a person familiar with the transaction.

But derivatives that magnified their performance woes were the bigger culprit, according to a new book by investor Howard Hill, who created models for collateralized mortgage obligations before the meltdown.

Ed DeMarco, the former chief regulator of Fannie Mae and Freddie Mac, warned that efforts under the Obama Administration to expand access to credit could risk repeating mistakes that led up to the crisis.

Nomura Holdings Inc. will defend claims by a U.S. regulator that it sold defective mortgage-backed securities to Fannie Mae and Freddie Mac before the 2008 financial crisis, becoming the first bank to take such a case to trial.

Real estate investment trust ZAIS Financial Corp.'s acquisition of privately owned mortgage company GMFS proved to be highly dilutive to earnings.

Fannie Mae selected a chief internal auditor with an "inherent conflict of interest" and the mortgage giant's process for filling the position was faulty, according to a watchdog report to be released Wednesday.

Banks can expect to incur higher costs in several areas during the implementation of a settlement agreement to improve the accuracy of credit reports. But they might benefit in the long run by getting better information on borrowers.

The recent delay of new HECM rules is a reprieve for lenders scrambling to implement training and systems updates ahead of the original deadline. But it's also prompted questions about a key technology used by the reverse mortgage industry.

More than half of borrowers with home equity lines of credit that will reset this year have seriously underwater properties, and that risk is likely to grow further next year.

JPMorgan Chase has agreed to a $50.4 million settlement with the Justice Department for robo-signing documents sent to homeowners in bankruptcy and for related abuses.

From new compliance scorecards to rethinking how to deal with consumer complaints, there's plenty to debate about the future of servicing. Here's a look at the most insightful and noteworthy discussions from this year's Mortgage Bankers Association servicing conference.

An audit of Ginnie Mae financials identified four "material weaknesses" and one "significant deficiency," primarily related to the accounting of $6.6 billion in defaulted loans made by the failed lender Taylor, Bean & Whitaker.

Embattled mortgage servicer Ocwen Financial faces up to $26 billion in damage claims by bondholders and a greater risk of being fired as a mortgage servicer on thousands of small, private-label trusts.

Ocwen Financial Corp., the mortgage servicer under attack for its handling of home loans, slumped the most in more than a month after receiving notices that it was being fired from overseeing debt backing two bond deals.

Although lenders received some good news via Freddie Mac's February U.S. Economy and Housing Market Outlook, raising the enterprise's 2015 originations forecast from $1.2 trillion to $1.3 trillion, the Aug. 1 TILA-RESPA Integrated Disclosure rule implementation deadline still looms large.

Ocwen Financial Corp., the mortgage servicer under attack for its handling of home loans, is being fired from overseeing debt backing two bond deals, according to notices sent to bondholders.

The scorecard compares issuers' operational strength and skill in managing delinquent loans with those of their peers.

The rate of delinquencies of 90 days or more has trended downward since 2009, but servicing costs have generally been rising, according to the Mortgage Bankers Association. That is not the way it used to work.

The Federal Housing Administration's recent premium reduction is undercutting the private sector and expanding the government's role in the housing market, housing finance industry representatives told a House subcommittee on Thursday.