In his 20 years in mortgage banking, no year has compared to 2023 in terms of difficulty, said Ben Cohen, Guaranteed Rate’s managing director and a top-producing loan officer. “This is a lot different than 2008 where you needed a credit score and a heartbeat to get a mortgage. Now, you need to be very […]
Guild Mortgage has an ambitious plan under the leadership of its new CEO, Terry Schmidt. The California-based retail lender has set a target of becoming a top-10 lender in the markets in which it has a presence, which would give it about 2% in overall market share. It won’t be easy. United Wholesale Mortgage, the […]
Mortgage subservicer Loancare informed authorities that the data of about 1.3 million customers was compromised following a cyberattack in November on its parent company, the big four title firm Fidelity National Financial (FNF). This data includes customers’ social security numbers. The company informed officials in Maine and California that 1,316,938 customers had information accessed by hackers during the incident. […]
Kyle Joseph, a specialty finance equity research analyst at Jefferies, believes that the worst of the current mortgage cycle may be behind us, a sentiment shared by most analysts covering this industry. “Barring any sort of unforeseen consequences, I’d like to think so,” Joseph said in an interview. “Obviously, this cycle was fast and furious […]
As we approach Christmas day, we can only hope that the Federal Reserve now realizes their fear of 1970s-style inflation created a rate-hike cycle that disproportionately impacted the U.S. housing market and that they need to be pro-housing again. Even with all the drama we have dealt with in 2022-2023, the housing market stayed intact […]
Entering the real estate finance world in the summer of 2022 as a 23-year-old, I immediately felt like a fish out of water. Attending industry-related conferences and visiting clients, I was typically the only person in the room under the age of 30. Our industry is full of professionals with decades of experience, but with […]
The year ahead promises to offer the housing industry some relief, compared with a grueling 2023, but it is likely to be only a small bounce forward toward a healthier market. The housing industry, including the secondary market it feeds, is still likely to be sluggish in 2024, with marginal improvements in some sectors as […]
While delinquencies remain low overall, the number of delinquent loans ticked up in November, according to the latest ICE Mortgage Monitor report. Furthermore, the delinquency rate among FHA loans is at a nine-year high, and will be worth watching closely in 2024, the report said. The national delinquency rate climbed to 3.39% in November, which […]
Dovenmuehle Mortgage, a mortgage sub-servicing company, has informed authorities in Illinois that it will impose a layoff affecting hundreds of employees next year. The company has decided to cut 212 jobs in its Lake Zurich site starting on Feb. 16, 2024, per a Worker Adjustment and Retraining Notification Act (WARN) filed with the Illinois Department of […]
Mortgage rates stayed below 7% for the second week in a row, a welcome relief after a 17-week streak of above-7% rates. This week’s dip is the largest weekly drop since November 2022. The 30-year, fixed mortgage rate averaged 6.67% for the week ending Dec. 21, according to Freddie Mac‘s Primary Mortgage Market Survey. That’s […]
It was late 2022 and Mike was feeling the pressure. Mortgage rates had climbed close to the 7% range and he was determined to remain competitive on pricing with rival loan officers in North Carolina. But there was a problem: pricing exceptions, in which the lender takes the hit, were becoming scarce at his company. […]
Last week’s DataDigest offered readers a host of housing forecasts from industry experts at banks, trade associations and more, the thrust of which was housing professionals should expect a modestly better year of sales thanks to retreating mortgage rates in the year to come. A day after publication, Federal Reserve officials made several of their […]
Mortgage demand fell for the first time since November as mortgage rates reached their lowest level since June 2023. Total home loan applications decreased by 1.5% for the week ending Dec. 15 compared to the previous week, according to data from the Mortgage Bankers Association (MBA). Mortgage rates for the 30-year fixed loan averaged 6.83%, […]
High-profile government actions against some of the nation’s largest financial firms for alleged violations of fair lending laws and loan servicing principles have sent a sobering message to industry CEOs and their boards: the buck stops at the top. We have entered a new regulatory era, one filled with expectations that a firm’s compliance with […]
The Federal Communications Commission (FCC) last week released a new order amending its “express consent” rules for the Telephone Consumer Protection Act (TCPA), which closes the “lead generator loophole” used by mortgage professionals to connect with potential business leads. The loophole allowed those gathering leads to sell to many entities at once, who would then […]
The Federal Reserve played the good grinch for Christmas this year and delivered the best gift for homebuyers nationwide, leading to lower mortgage rates. The 10-year yield and mortgage rates fell together after the Fed meetings, which gave us mortgage rates under 7% last week. Mortgage rates and the 10-year yield What a crazy week! […]
South Carolina-based retail lender Movement Mortgage filed a lawsuit this week against Todd Scrima, founder and president at its competitor Summit Funding, accusing him of gaining illegal access to Movement’s confidential financial files and also scheming to divert Movement’s customers toward Summit. It’s the latest salvo in a legal battle that started after the three of Movement’s […]
Mr. Cooper Group’s examination of the cyberattack it suffered in late October concluded that the personal information of current and former customers was compromised. The data breach led the company to estimate an additional vendor cost related to the incident in the fourth quarter to include offering identity protection services for two years. On Oct. 31, […]
The Federal Communications Commission (FCC) — the government regulatory body overseeing communications across a wide variety of media including radio, telephone cable and the internet — adopted a new series of rules on Wednesday designed to crack down on controversial lead generation methods, including “robocalling” and “robo-texting.” The new rules as adopted could bring a […]
A coalition of bipartisan lawmakers in the U.S. Senate on Wednesday introduced legislation targeting the practice of mortgage trigger leads. The bill, designated “S.3502,” is designed to “amend the Fair Credit Reporting Act (FCRA) to prevent consumer reporting agencies from furnishing consumer reports under certain circumstances,” according to the bill’s language. Sen. Jack Reed (D-R.I.) […]
The holidays have come early for the mortgage industry. Mortgage rates fell below the 7% threshold this week as markets prepared for Federal Reserve Chairman Jerome Powell’s announcement on Wednesday. The 30-year, fixed mortgage rate averaged 6.95% for the week ending Dec. 14, according to Freddie Mac‘s Primary Mortgage Market Survey. That’s down from last […]
Mortgage industry trade group Community Home Lenders of America (CHLA) is urging government agencies to begin to have conversations surrounding the impact of the jury verdict and potential court ruling in the Sitzer/Burnett commission lawsuit on lending practices. In a letter submitted Thursday to Federal Housing Finance Agency Director Sandra Thompson, Federal Housing Administration Commissioner […]
Texas-based lender Thrive Mortgage plans to merge with digital multichannel rival Lower, which will create a unified lender with more than 650 loan officers and 120 active branches across the country. Financial details of the merger, which is expected to close in the first quarter of 2024, were not disclosed. Over the last 12 months, […]
The housing market cheered as the Federal Reserve signaled interest rate cuts next year after making a series of rapid rate hikes starting in 2022. While the central bank did not completely rule out the possibility of a rate increase in 2024, that action seems unlikely. Instead, fresh economic projections from central bank officials showed […]
The Mortgage Bankers Association (MBA) and the National Mortgage Servicing Association (NMSA) are expressing their views on a recently revised Federal Housing Administration (FHA) loss mitigation proposal, stating that it needs additional adjustments to effectively address the challenges it is designed to tackle. The proposed policy FHA in May submitted — and in November, updated […]
Government sponsored enterprise Freddie Mac has approved mortgage technology company Truv for both payroll verifications and consumer-permissioned income. With the new integration, lenders will have access to the Truv platform to obtain and transmit information and data required on Freddie Mac’s Loan Product Advisor platform for the income modeling assessment without needing a third-party verification. […]
The Federal Open Markets Committee (FOMC) held its short-term policy interest rate steady at a range of 5.25% to 5.5% at its last meeting of the year on Wednesday. It was the fourth pause recorded in 2023. Investors will parse Jerome Powell’s press conference this afternoon for clues about when and why the central bank […]
As 2023 winds to a close, so too does a brutal year for the housing market, a year marked by rising rates, steep home prices, scarce inventory and anemic mortgage originations, compared with the boom years of 2020 and 2021. It also has been a brutal year for the secondary market that creates liquidity for […]
As 2023 draws to a close, housing professionals hope for relief from the high mortgage rates, terrible inventory levels and slow sales that characterized the year. They may find that relief for mortgage rates next year, according to forecasts from various industry experts compiled by HousingWire. Sales, however, may see only mild improvement in the […]
PrimeLending, a Texas-based retail mortgage bank, added 12 new loan originators as it attempts to grow market share within its existing Texas footprint. Among the newly added LOs in the fall included two LOs — John Muhammad ($25.72 million) and Hugo Ortiz-Pulido ($21.21 million) with a production volume of more than $20 million year-to-date, according […]
California-based mortgage lender loanDepot on Tuesday announced the launch of its fully automated underwriting engine called melloNow. The new system, which has been in beta-testing for the last several quarters, delivers a fully conditional loan approval “in minutes rather than hours or days,” the company said in a statement. Jeff Walsh, loanDepot’s mortgage president, said in a […]
In the mortgage business, November typically represents the start of the slow season. While mortgage rates cooled down significantly from October, it wasn’t enough to overcome seasonal, historic trends and low levels of inventory. Lock volume declined 10% last month from October, driven by a 12% drop in purchase locks, according to Optimal Blue’s originations […]
Wells Fargo, once the largest mortgage lender in America, was accused of discrimination through the common industry practice of offering mortgage loan discounts to select borrowers, CNBC reported. The bank received Matter Requiring Attention (MRA) notice from the Consumer Financial Protection Bureau (CFPB) on problems with loan discounts, CNBC reported on Monday, citing anonymous sources. […]
After hitting a 23-year high of 8% in October, mortgage rates have cooled down to the lowest levels since July. Some borrowers are even getting quoted in the 6% range. A top-tier borrower with a 780 FICO score and a 25-30% down payment for a single-family vanilla 30-year fixed-rate mortgage was quoted 6.875% on Thursday, […]
The most underreported housing story I’ve seen this year is that even with mortgage rates rising to 8%, the number of homes that took price cuts before they sold was 4% below 2022 levels. This happened even with higher home prices and higher mortgage rates in 2023. Weekly housing inventory data We will start with […]
A former mortgage consultant who worked for Wells Fargo and ultimately brought a case against the company in a Southern California court over allegedly being fired for complaining about discriminatory lending practices has settled with the company, according to reporting from Los Angeles-based radio outlet KNX News. Attorneys for both parties jointly filed papers in […]
Incenter Mortgage Advisors (IMA) has rebranded and changed its leadership to reflect the offering of a broader set of capital markets services. The company, which helped organize over $2 trillion in mortgage-servicing rights (MSRs), changed its brand name to Incenter Capital Advisors. It will emphasize corporate strategy and capital markets activities in different asset classes, institutions and balance sheet types. […]
Mortgage rates continued their downward trajectory this week as the 10-year Treasury yield dropped below 4.2% for the first time since September, according to new data from Freddie Mac. The 30-year, fixed mortgage rate averaged 7.03% for the week ending Dec. 7, according to Freddie Mac‘s Primary Mortgage Market Survey. That’s down significantly from last […]
Editor in Chief Sarah Wheeler sat down with Tom Cronkright, co-founder and executive chairman of CertifID and CEO of Sun Title, to talk about battling the latest frauds and scams as bad actors leverage a new arsenal of tech tools to wreak havoc on buyers and sellers of real estate. Sarah Wheeler: Can you give […]
California-based Pennymac Financial Services raised $750 million in unsecured debt with qualified institutional investors, 15% more than it initially expected, the company announced Thursday. Pennymac will use the proceeds of the offering to repay $650 million in debt due in October 2025. The remainder will be used for “other general corporate purposes,” the company said in an […]
Since the 2008 housing crisis, there have been significant changes that prompted the Treasury to place Fannie Mae and Freddie Mac under conservatorship. While the conservatorship has allowed for the mortgage market to be restored to its pre-crisis state and strengthened these two government-sponsored entities (GSEs), there are significant downsides to maintaining the status quo […]
Government-sponsored enterprise (GSE) Freddie Mac on Wednesday announced further enhancements to its Condo Project Advisor tool that are designed to “streamline” such loan originations and to offer lenders “greater security” through a new designation, according to an announcement. “This designation, known as ‘project certified’ status for Project Assessment Requests (PAR), confirms that condo properties meet […]
CBC Mortgage Agency – a federally chartered housing finance agency – will offer two temporary rate buydown features for its down payment assistance (DPA) program for Federal Housing Administration (FHA) loans. The agency is the first to provide either a 2-1 rate buydown or a 1-0 rate buydown on a DPA program. “The addition of […]
Pennymac Financial Services is the latest mortgage company to issue debt in a challenging housing market. The California-based company announced on Wednesday it intends to offer a $650 million aggregate principal amount of senior notes due in 2029. “Proceeds from the offering will be used to repay a portion of the Company’s secured term notes due […]
The Community Home Lenders of America (CHLA) submitted a letter to the Federal Housing Finance Agency (FHFA) expressing its support for the use of attorney opinion letters (AOLs) on Wednesday. In the letter addressed to FHFA Director Sandra Thompson, the CHLA says that it supports the use of AOLs in lieu of title insurance, “in conjunction […]