One day after Donald Trump’s victory in the U.S. presidential election, officials at the Federal Reserve announced their decision to cut the benchmark interest rate by 25 basis points to a target range of 4.5% to 4.75%, a move that aligned with market expectations. The reduction, made public on Thursday afternoon, was more modest than […]
Ginnie Mae announced on Thursday that it will allow relief from its risk-based capital ratio (RBCR) requirements for any mortgage-backed securities (MBS) issuers that effectively hedge the value of their mortgage servicing rights (MSRs). One housing advocacy group said the move will create flexibility for independent mortgage banks (IMBs). A new memorandum reiterates that beginning […]
When rates dropped in the third quarter of 2024, UWM Holdings Corp., the parent of United Wholesale Mortgage, notched its biggest production quarter in three years while improving margins due to a higher refi volume. However, it also made a more modest profit, mainly because of the financial impact of lower rates on its servicing […]
Climate change is increasing the intensity and severity of natural disasters. It’s resulting in calls to reimagine the costs of homeowners insurance (Image generated by AI in Midjourney) As the planet warms and extreme weather intensifies, the rising cost of homeowners insurance is stopping real estate deals in their tracks. In just the past two […]
A stagnant housing market hasn’t held back Zillow’s mortgage business. On its third-quarter earnings call Wednesday evening, the real estate portal giant reported that its mortgage revenue rose 63% year over year, driven by an 80% jump in purchase origination volume. Compared to the first nine months of 2023, Zillow’s origination channel revenue grew 41% […]
Fair Isaac Corp. (FICO), the company that retains the rights to the market’s widely adopted consumer credit-risk assessment methodology, announced on Wednesday that it has increased its wholesale royalty from $3.50 to $4.95 per score for mortgage originators. “At this new per-score royalty, the amount collected by FICO will remain a small percentage of the […]
Jim Cory, managing director of reverse mortgages at Guild Mortgage, has been in the industry for the better part of three decades. He is a longtime member of the National Reverse Mortgage Lenders Association (NRMLA), and he was recently elected as its co-chair alongside Mike Kent of PHH Mortgage Corp. Cory first joined the association […]
Mortgage professionals can expect a transformed regulatory environment for the financial sector as Donald Trump returns to the White House in January. This includes an increased likelihood of Fannie Mae and Freddie Mac being released from conservatorship along with immediate shifts in agency leadership, analysts said. “Trump win is a regulatory game changer that likely includes […]
A lot has been said during this election cycle about housing affordability as a potential difference-maker, with both major party presidential candidates giving more attention to housing issues than in other recent campaigns. But now that the results have largely been tabulated, voters appeared to back more basic economic concerns rather than issues related to […]
Mortgage demand declined for a sixth straight week on the back of higher mortgage rates, according to weekly applications survey data published Wednesday by the Mortgage Bankers Association (MBA). Applications dropped 10.8% on a seasonally adjusted basis during the week ending Nov. 1. Demand has plummeted 41% since the last increase in applications during the […]
loanDepot achieved profitability in the third quarter of 2024, ending an 11-quarter streak of financial losses. Cost reductions and revenue growth drove this turnaround amid lower interest rates, which boosted refinancing activity. As a result, loanDepot is retiring its Vision 2025 strategic plan, which began in July 2022 to help the company reduce its non-volume […]
Onity Group, the recently rebranded parent company of top-10 lender Liberty Reverse Mortgage, posted improved earnings results in the third quarter of the year — with particular attention given to the profitability of its forward and reverse mortgage servicing segments. Onity CEO Glen Messina led the Tuesday morning earnings call by saying that the company […]
It’s a big week for the U.S. economy as the 2024 election takes place and monetary policymakers are meeting to decide what to do next about interest rates. For mortgage professionals who’ve been dealing with uncertainty of late, more clarity could soon emerge. Mortgage rates have been rising quickly in recent weeks, dashing hopes for […]
Credit rating agency Fitch announced this week that its long-term issuer default rating for Finance of America was downgraded to “restricted default” status following its recently publicized debt exchange plan. The rating was then upgraded to “CCC” following the completion of the exchange agreement. Fitch explained its rationale for the whipsaw of ratings by characterizing […]
I remember in 2007 when I told a neighbor I was about to become a loan officer. I had been working at Washington Mutual for a few months when I was offered the opportunity to go into a mentorship under the two top loan officers in the county. She looked me dead in the eyes and […]
Reverse mortgage industry performance metrics have been trading gains and losses for several months now, but a more favorable interest rate environment and optimism about the possible trajectory of business in 2025 have arrived alongside some generally positive news for October. Home Equity Conversion Mortgage (HECM) endorsements increased by 11.1% from September to October, with […]
Global credit rating agency Morningstar DBRS last week assigned a “good” rating to reverse mortgage industry leader Finance of America (FOA), confirming the ranking the company was assigned this past summer ahead of its earnings call this week. The rating is officially classified as “MOR RVO2” by Morningstar. The agency once more noted the recent […]
The 2024 general election in the United States is on Tuesday, and will decide the balance of power between the two major political parties in our system of government. At the top of the ballot, the presidential race between Democratic nominee Vice President Kamala Harris and Republican nominee and former President Donald Trump pits two […]
The HousingWire award spotlight series highlights the individuals and organizations that have been recognized through our Editors’ Choice Awards. Nominations for HousingWire’s 2025 Tech100 Award are open now through December 16, 2024. Click here to nominate a tech organization. As technology continues to rapidly reshape nearly every aspect of real estate and mortgage, HousingWire’s Tech100 award has […]
With mortgage rates back into the 7% range and several consecutive weeks of reduced demand, Rocket Mortgage is making what appears to be a volume play. The third party origination (TPO) division of Rocket Mortgage on Monday announced the rollout of its latest product, 24 Takeoff, which allows mortgage broker partners to receive a 24 […]
The Consumer Financial Protection Bureau (CFPB) on Friday announced that it is seeking a settlement with Chicago-based Townstone Financial that would resolve a case over what the bureau calls “discriminatory lending practices and redlining African American neighborhoods in Chicago.” The proposed order would prohibit Townstone from taking any action that would violate the Equal Credit […]
The Mortgage Industry Standards Maintenance Organization (MISMO), a subsidiary of the Mortgage Bankers Association (MBA), has been developing a series of uniform technology standards that will ideally allow for the somewhat siloed reverse mortgage industry to more easily collaborate with others in the mortgage finance ecosystem. Jonathan Kearns, vice president of technology at MISMO, sat […]
Editor in Chief Sarah Wheeler sat down with Optimal Blue CEO Joe Tyrrell to talk about how the company decides where to deploy generative AI and why return on investment (ROI) for customers is paramount. Before arriving at Optimal Blue this year, Tyrrell served as president at ICE Mortgage Technology and as chief operating officer […]
The National Reverse Mortgage Lenders Association (NRMLA) said this week that it has submitted comments to the U.S. Department of Housing and Urban Development (HUD) requesting that the agency, at minimum, align its cybersecurity reporting requirements with those of Ginnie Mae. Ideally, however, it wants the extension to be even longer. A draft Mortgagee Letter […]
With mortgage rates moving closer to 7% once again, recent homebuyers are finding creative ways to lock in lower rates. A survey from Zillow conducted between March and September of this year found that 45% of recent buyers — half of whom bought a home in the past year and the other half in the […]
Deephaven Mortgage, a Charlotte-based lender focused on nonqualified mortgages (non-QM), has recently expanded its home equity offerings with a new closed-end second-lien product and the introduction of a home equity line of credit (HELOC). “Today’s second-lien market presents a significant opportunity,” said Tom Davis, Deephaven’s chief sales officer, in an interview during the Mortgage Bankers […]
A recent episode of “The Loan Officer Podcast” features a high-profile guest masterclass. Host Dustin Owen sits down with Lower CEO Dan Snyder to explore his journey from studying law to founding a mortgage fintech platform, along with key entrepreneurial tips for aspiring originators. This interview has been edited for length and clarity. To start […]
Source: Mortgage Bankers Association The trade group’s national Purchase Applications Payment Index (PAPI) measures how new monthly mortgage payments vary over time relative to income and uses data from MBA’s By at least one measurement, affordability is improving for prospective homebuyers, even as home prices continue to rise and mortgage credit availability remains relatively low. […]
The Federal Housing Finance Agency (FHFA) on Thursday said it will aim to simplify the process of funding affordable housing projects through the Federal Home Loan Banks (FHLBanks). The advisory bulletin came in response to comments by sponsors that have called the process too cumbersome. “Each of the 11 FHLBanks operates an Affordable Housing Program […]
In the halls of the Colorado Convention Center on Monday, it was hard not to overhear mortgage bankers gnashing their teeth over the rumored price hikes for Fair Isaac Corp (FICO) scores. “They’ve got us by the balls,” said one mortgage pro in an interview between sales meetings at Mortgage Bankers Association (MBA) Annual 2024 […]
New York-based asset manager Rithm Capital, the owner of multichannel lender Newrez, reported a 58% increase in refinances to $3 billion in the third quarter of 2024 after mortgage rates dropped due to the Federal Reserve’s 50 basis-point rate cut. But executives expect things to calm down moving forward. “I think we’re going to get […]
You don’t often hear about someone with an affinity for nuclear physics finding their way into the reverse mortgage field, but that’s exactly the journey we’re charting in this edition of “Origins” from HousingWire’s Reverse Mortgage Daily (RMD). Rick Schluter, a New Jersey-based reverse mortgage specialist with Mutual of Omaha Mortgage, became engrossed in physics […]
A California regulator has revoked the residential mortgage lending license of LoanSnap, the latest in a series of difficulties for the fintech lender. According to a filing from the California Department of Financial Protection and Innovation dated Oct. 18, LoanSnap had its license revoked after it failed to renew its surety bond. That policy, which […]
Despite rampant political polarization, a majority of people affiliated with the Democratic and Republican parties agree that the state of retirement in the U.S. is concerning. This is according to a recent survey conducted by the National Institute on Retirement Security (NIRS). An overwhelming majority of Republicans (81%), Independents (79%) and Democrats (78%) agree that […]
When asked whether loan buybacks were a more significant issue last year than now, Freddie Mac executive Sonu Mittal says emphatically, “It depends on who you ask.” Freddie Mac has seen a nearly 55% reduction in repurchase requests from its peak in the first quarter of 2023. But public filings analyzed by Inside Mortgage Finance […]
A new episode of “The Loan Officer Podcast” aims to teach mortgage originators how to leverage tools and grow their businesses. Host Dustin Owen and Lauren Walton, a senior loan officer at Lower-backed Gerber Group, sit down to teach viewers how to move from the call-center model to retail lending as a top-ranked and self-sourced […]
A 60 basis point increase in mortgage rates in October has strangled mortgage demand, particularly for refinancings, according to the latest survey data from the Mortgage Bankers Association. Mortgage applications overall decreased 0.1% from one week earlier, per the MBA‘s weekly applications survey for the week ending Oct. 25. The Market Composite Index, a measure […]
Former House Speaker John Boehner, pictured on the big screen, shares his perspectives on the 2024 election during the MBA Annual event in Denver on Tuesday. (Photo by Chris Clow) If the U.S. presidential election were held today — one week prior to Election Day — then Donald Trump would retake the White House and […]
Employment data for October is set to be released Friday, and it will go a long way in determining the path for mortgage rates, which have surged upward in the past month. At HousingWire’s Mortgage Rates Center on Tuesday, the average rate for 30-year conforming loans was 6.72%. That’s up 10 basis points (bps) from […]
Earlier this year, Lewisville, Texas-based property services company MCS announced that it acquired Five Brothers Asset Management Solutions, a deal that brought MCS into the reverse mortgage industry for the first time. Soon after, CEO Craig Torrance offered an early look at what he hoped to achieve with the move. Roughly six months later, Torrance […]
If you didn’t know it before, you’re likely to be reminded every day between now and Nov. 5 that this is a close election for the balance of power in Washington, D.C. This theme persisted through the first full day at the Mortgage Bankers Association (MBA)’s Annual Convention and Expo in Denver this week. Programming […]
Industry-leading reverse mortgage lender Finance of America (FOA) announced this week that nearly all of the holders of outstanding senior notes that were set to mature in 2025 will participate in a new bond exchange offer that was first announced in June and amended last month. Under the amended offer, the current unsecured notes, due […]
While we can’t share their names, we can share their stories. It’s the same one, over and over again. An individual, often for the first time, is engaging in one of the most important transactions of their lifetime: homeownership. Already intimidated by the multitude of financial requirements that come with securing a mortgage, the borrower becomes […]
Mortgage technology company Gateless is offering its flagship automated underwriting platform to a new lender. The Loan Store — a wholesale lender based in Arizona — will now use the Gateless Smart Underwrite platform, according to a recent announcement. The artificial intelligence-based platform, the latest addition to the Gateless AI mortgage tool suite, aims to […]
On Monday, the Federal Housing Finance Agency (FHFA) announced that all approved lenders will have access to a fee-based alternative to repurchase Freddie Mac’s performing loans with defects, expanding a pilot program launched earlier this year. In addition, the FHFA announced that government-sponsored enterprises (GSEs) will give 60 days of advance notice for increases to […]