Mortgage Servicing News articles from December 2008

Mortgage Servicing News archives from December 2008

Is Apollo a Finalist for IndyMac?
December 1, 2008... Byline: Paul Muolo Washington-At press time the Federal Deposit Insurance Corp. was still holding by its promise that it would announce, by the end of December, a winning bidder for IndyMac Bank FSB, a $180 billion servicer. The...

BoNY/Mellon Tops Debt Trustee Ranking.(Bank of New York Mellon Corp.)(Brief article)
December 1, 2008... New York-The Bank of New York Mellon is now the No. 1 overall trustee for all U.S. debt for the third quarter of 2008, taking the lead across all significant segments such as long-term municipal, high-yield, investment grade, structured and...

Caruso to Aid Wells With Modifications.(FL-Bob Caruso)(Lender Processing Services)(Brief article)
December 1, 2008... Jacksonville, FL-Bob Caruso, a former Wells Fargo servicing executive who is now vice president of strategy and business development at Lender Processing Services, will assist Wells Fargo in managing the portfolio of pay-option loans being...

Mixed Reactions to the Downturn.(Credit Counselor)(Survey)
December 1, 2008... Byline: Amila Dymi Questions about the current recession and the best ways to manage money in tough times are proliferating as fast as recommendations given by professionals. Some are fast to applaud even sporadic better news. Others...

Fitch Revises U.S. Subprime RMBS Surveillance.
December 1, 2008... Byline: Amilda Dymi New York-Fitch Ratings has updated at least two of its market watch tools aiming to further improve subprime loan data analytics accuracy. The ratings agency said its surveillance methodology for U.S. subprime...

Fitch Revises Its MBS Loss Estimates.
December 1, 2008... New York-Fitch Ratings has revised its surveillance methodology for evaluating subprime residential mortgage-backed securities to reflect higher loss expectations on loans originated between 2005 and 2007. Fitch now expects more than half...

Fitch: MI Firms Won't See Recovery before 2010.
December 1, 2008... Byline: Amilda Dymi New York-Fitch Ratings has downgraded PMI Mortgage Insurance Co., Genworth Mortgage Insurance Corp. and Mortgage Guaranty Insurance Corp. to outlook negative and is reviewing the ratings of several other insurers. ...

HECM Servicers Face Potential Fraud Risk.
December 1, 2008... LAS VEGAS-Home-equity conversion mortgages, those backwards loans seniors use to turn their homes into cash, are more susceptible to fraud than other types of loans, according to a specialist in reverse mortgage servicing. These...

Loan Mods Pose Heightened Risk for Fraud.
December 1, 2008... Byline: Brad Finkelstein Las Vegas-Loan modifications might be an area ripe for mortgage fraud, said panelists in a session on risk control at the SourceMedia Mortgage Fraud Conference here. Gary Lacefield, executive vice president,...

Ginnie Revises Re-Pooling Rule.(Government National Mortgage Association)(Brief article)
December 1, 2008... Byline: Brian Collins Washington-Ginnie Mae has tightened its re-pooling requirements and starting Jan. 1 all workouts must be current before the loans can be placed in a Ginnie mortgage-backed security. The secondary market agency for...

IMS Helps Servicers.(Integrated Mortgage Solutions)
December 1, 2008... Byline: Anthony Garritano Houston-As servicers continue to feel the pinch of the market, overloaded with defaults, Integrated Mortgage Solutions here has launched Asset Disposition and Management Services to help servicers handle loss...

Outlook Remains Bleak.
December 1, 2008... Byline: Ted Cornwell Washington-There's little hope to stem the tide of rising mortgage delinquencies and defaults in the short term, according to economists who follow the industry. Jay Brinkmann, chief economist for the MBA, said...

Want to Help a Late Borrower? Give Him a Job.(Mortgage Scene)(Department of the Treasury. Troubled Asset Relief Program)
December 1, 2008... Byline: Paul Muolo Plenty of ink has been spilled in the trade press about loan modifications. And plenty more will be spilled throughout 2009 and then some. Do loan mods work? Should the government spend taxpayer money to restructure...

Credit Managers Feel Grim.
December 1, 2008... Columbia, MD-The National Association of Credit Managers monthly index continued to decline in November, dropping well below the threshold considered to represent a contracting economy. The overall index slid to 42.2 in November, down 2.6...

NAR Sees Silver Lining.(National Association of Realtors)(real estate marketing)
December 1, 2008... Orlando, FL-National Association of Realtors' chief economist Lawrence Yun sees encouraging signs of stabilization in the real estate market alongside credit problems, decreases in home values and rising foreclosures nationwide. Addressing...

SERVICING PEOPLE.
December 1, 2008... CALIFORNIA Santa Ana-First American Title Insurance Co. said that Mark S. Webber has been named state manager for Nevada. Mr. Webber, who also has served as Utah state manager since joining the company in 2004, will now oversee all of...

Firm Aims to Change Bank-Owned Home Sales.(Managing REO)
December 1, 2008... Byline: Ted Cornwell New York-Helping potential homebuyers and investors navigate the process of buying bank-owned homes has become big business, especially given the current state of the housing market. Many websites offer information...

Disposing of REO Properties Still a Challenge.(Managing REO)
December 1, 2008... Byline: Jennifer Harmon With markets across the country reporting excess REO inventory, it's important to come up with strategic ways to actually move these properties. Part of the marketing strategy for asset managers is the desire to...

Some Markets Show Signs of Hope.(Managing REO)
December 1, 2008... Byline: Amilda Dymi Denver-Whether one sees county and neighborhood data as early indicators of overall changes in market trends or not, changes in local housing prices show where to look for the strongest and weakest mortgage markets. ...

Demand for REO Financing Reintroduces Loan.(Managing REO)
December 1, 2008... Byline: Amilda Dymi Seattle, WA-Demand for 100% financing options that can return increasing REO inventory into affordable housing options in a credit tightened marketplace has pushed at least one mortgage industry veteran to reintroduce...

New Updated Listings On Foreclosed Homes.(Managing REO)
December 1, 2008... Byline: Jennifer Harmon Santa Ana, CA-As Orange County foreclosure activity reaches record levels, Orange County Register Communications and Foreclosure Trackers Inc. are providing a new service at OCRegister.com/realestate to obtain the...

Obama's Default Plan.(Managing REO)
December 1, 2008... Byline: Brian Collins Washington-President-elect Barack Obama is determined to find a way to address the foreclosure crisis as part of an economic recovery and stimulus plan that he wants Congress to pass shortly after he takes office on...

Lenders Need to Act Faster Than REO Home Price Changes.(Managing REO)(dynamic real estate )(Conference notes)
December 1, 2008... Byline: Jennifer Harmon Hollywood, FL-Values are changing so quickly on REO properties that lenders are asking for updated BPOs within 60 days, according to speakers at the REOMAC fall conference here. In fact, monthly reports on...

Zillow.com Expands Its Free National Listings.(Managing REO)
December 1, 2008... Byline: Amilda Dymi Seattle-High foreclosure rates and the rapid overall growth of the real estate-owned property market are fueling the expansion of online real estate broker communities such as Zillow.com, a provider of free national...

Expert Calls Regulation Key to Combating Mortgage Fraud.(Managing REO)(Conference notes)
December 1, 2008... Byline: Brad Finkelstein LAS VEGAS-The key to combating mortgage fraud is "regulation, regulation, regulation," the director of research and policy for the Community Law Center told attendees at SourceMedia's Mortgage Fraud Conference in...

USB Must Use Loan Mods for Downey.(Managing REO)(U.S. Bancorp of Minneapolis )(Brief article)
December 1, 2008... Newport Beach, Cal. -U.S. Bancorp of Minneapolis will have to use FDIC-sanctioned loan modification programs for troubled mortgages at two thrifts it acquired in late November. One of the thrifts, Downey Savings and Loan here, was a top 40...

HUD Will Buy Seconds to Spur H4HProgram.(Managing REO)(Brief article)
December 1, 2008... Washington-In an attempt to spur usage of its Hope for Homeowners refinancing program, the Department of Housing and Urban Development said it will now buy out second-lien holders - likely for pennies on the dollar. The secondary market...

GSEs Suspend Foreclosures During the Holidays.(Managing REO)
December 1, 2008... Byline: Brian Collins WASHINGTON-Fannie Mae and Freddie Mac have suspended all foreclosures and evictions of homeowners during the holiday season while their servicers get up to speed on a new streamlined loan modification program. ...

Ellie Mae Eyes Mod Market.(Special Report)
December 1, 2008... Pleasanton, CA-Ellie Mae, a provider of loan processing software here, is creating and updating loan modification closing packages for several top 10 lenders. Ellie Mae said clients are currently using the service to process more than...

'RediMod' Retools Cross-Sell Technology.(Special Report)
December 1, 2008... Byline: Ted Cornwell Jacksonville, FL-Lender Processing Services, which owns the widely used Mortgage Servicing Package for automation of loan administration, has unveiled a new service to facilitate mass loan modification programs. ...

Thunderhead Sees Increase in Demand for Counselors.(Special Report)
December 1, 2008... Byline: Amilda Dymi Irvine, CA-Demand for credit counseling and related technology continues to grow, according to Thunderhead, an enterprise communications solution provider for financial services, investment banking and insurance firms...

OUTSOURCING.(Special Report)
December 1, 2008... Servicers face a myriad of obstacles, both familiar and new. They face portfolio churning generated by rate-induced refinancing. At the same time, they face an unprecedented default management burden, much of it driven by underwriting...

Dexma: Technology Can Revive MBS Market.(Special Report)
December 1, 2008... Byline: Anthony Garritano Edina, MNaMost lenders view technology in silos and apply it to fix isolated problems. However, the Dexma approach offers a broader fix that the vendor hopes will go so far as to restore investor confidence in the...

Cramdowns Increase Costs for Homeowners.(Viewpoint)
December 1, 2008... Byline: David Kittle Mr. Kittle is the chairman of the Mortgage Bankers Association and executive vice president of Vision Mortgage Capital in Louisville, Ky. He testified recently before the Senate Judiciary Committee at a hearing titled,...

Big Plans for Acqura.
December 1, 2008... Dallas-In the mortgage business timing can be everything. Take the case of Amy Brandt, the former CEO of WMC Mortgage, once one of the nationas largest subprime wholesalers. Ms. Brandt left WMC in late 2006, while the company was still...

Mortgage Losses Add to Banking Industry's Woes.
December 1, 2008... Byline: Brian Collins Washington-Loan performance continued to deteriorate in the third quarter as banks and thrifts added $50 billion to loan-loss reserves for the second consecutive quarter, according to the Federal Deposit Insurance...

Analysts: Price Drop Could Sink New Loans.
December 1, 2008... Byline: Amilda Dymi New York-Concern is growing that despite tighter underwriting standards and the demise of the riskiest loan products, falling home values could put newly originated loans underwater, raising the risk of default. ...

A Shaky Start to 2009.(Editorial)
December 1, 2008... When the subprime mortgage meltdown started to be felt, many economists predicted that housing markets would stabilize in 2009 and begin to recover in 2010. Now, while most prognosticators are still hoping for that scenario to be realized, many...

Fed: CRA Didn't Cause B&C Mess.(Community Reinvestment Act )(Brief article)
December 1, 2008... Washington-A Federal Reserve Board study discovered that banks and thrifts made only a small percentage of subprime loans in their Community Reinvestment Act assessment areas, refuting critics who claim CRA contributed to the crisis. "Only...

Mortgage Insurance Defaults Hit Record.
December 1, 2008... Washington-While mortgage insurers remain under stress, they saw a slight improvement in a key measure of credit performance in October, despite a record high default rate. The cure/default ratio for October 2008 improved by 10 basis points...

Rate Refinancing Is Back in Vogue.(Hedging)
December 1, 2008... Byline: Ted Cornwell The focus of mortgage portfolio risk managers has been squarely on credit in recent months, but they'd better keep an eye on interest rate risk as well. To the benefit of mortgage servicing hedge professionals,...

Investor Sues CFC over Mods.
December 1, 2008... Byline: Brian Collins Washington-Servicers have been looking over their shoulders all year, expecting investors to sue if they go too far in modifying securitized mortgages - and it has finally happened. An investment fund manager...

'Re-Defaults' as High as 60%.(Brief article)
December 1, 2008... Byline: Brian Collins Washington-Re-defaults of newly modified loans are "remarkably high," according to the Office of the Comptroller of the Currency, which released data showing that 36% of restructured loans are 30 days past due after...

Bernanke: Servicers Slow to Add Mod Capacity.
December 1, 2008... Byline: Paul Muolo Washington-Federal Reserve chairman Ben Bernanke criticized residential mortgage servicers for being slow to add "capacity" to their loan modification programs. Speaking at a Fed conference on housing, Mr. Bernanke...