National Mortgage News articles from June 2009

National Mortgage News archives from June 2009

Helping Lenders Achieve Recovery.(News)
June 1, 2009... Byline: Jennifer Harmon MAITLAND, FL-As the default rate for single-family mortgages and construction loans continues to rise, national construction loan management companies are reaching out to help lenders maximize their recovery rates....

Fl REIT Suspends Preferred Dividends.(Commercial Mortgages)
June 1, 2009... CLEARWATER, FL-Real estate investment trust American Land Lease Inc. will not pay a quarterly dividend on its 7.75% Series A preferred shares for May 2009. The company's decision was based on American Land Lease's current capital resources...

Developer Restructures Debt.(Commercial Mortgages)
June 1, 2009... Byline: James Comtois NEW YORK-Dominican Republic resort developer Cap Cana SA completed a debt restructuring of $250 million of bonds. The bond restructuring allowed the 30,000-acre property to avoid default and regain financial footing...

Loan Sale Advisor Accepting Bids.(News)
June 1, 2009... NEW YORK-Mission Capital Advisors LLC is presently accepting bids for a commercial real estate mortgage loan and real estate-owned portfolio with an outstanding balance of $441 million. According to the company, the sale offers prospective...

Feds to ParticipateIn BankUnited Loss.(News)
June 1, 2009... WASHINGTON-A group of private equity investors led by former North Fork Bank chief John Kanas bought ailing payment-option ARM investor BankUnited of Florida in a federally assisted transaction where the government could share in losses on up...

FDIC's 'Legacy' Loan Sale Effort Is Delayed.(News)
June 1, 2009... Byline: Brian Collins WASHINGTON-An Obama administration initiative to sell troubled bank mortgages to investors with the help of government financing is running into headwinds, according to FDIC chairman Sheila Bair. The Federal...

Grapevine: Making the Transition from Wholesale to Retail.(MortgageGrapevine.com)
June 1, 2009... Mykidsdad: How many brokers are considering going to retail? I am getting calls to go to retail from a couple of the big boys. Everyone (except me I guess) sees the train wreck ahead for brokers. Am I nearsighted about this? One thing that...

Price Declines Slow in Hardest Hit States.(News)
June 1, 2009... SANTA ANA, CA-National housing prices fell 11.5% as of March compared to a year ago, a slight improvement from an 11.7% annual decline as of February, according to First American CoreLogic and its LoanPerformance Home Price Index. While...

OPEN FORUM: Housing Remains Under Repair.(News)
June 1, 2009... Byline: Shelia Bair, chairman, Federal Deposit Insurance Corp. Excerpts of Ms. Bair's remarks before The National Association Of Realtors Midyear Legislative meeting In Washington are presented as our Open Forum. Housing led us into...

PEOPLE.(News)
June 1, 2009... CALIFORNIA Los Angeles-The international law firm Greenberg Traurig added two real estate fund attorneys, Sanford C. Presant and Louis Vitali, as shareholders. Mr. Presant joins the Los Angeles office and will serve as chair of the...

Treasury Rate Spike Threatens to Derail Mortgage Recovery.(Street Smarts)
June 1, 2009... Byline: Bonnie Sinnock If the dramatic spike in long-term Treasury yields seen last week leads to continuing upward pressure on long-term mortgage rates it could set back federal efforts to keep housing finance rates relatively low as well...

FDIC: Bank Originations Increase 72% in The First Quarter.(News)
June 1, 2009... Byline: Brian Collins WASHINGTON-The Federal Deposit Insurance Corp. reported a surge in single-family originations by banks in the first quarter as defaults and charge-offs on existing one-to-fours continue to mount. Originations by...

HUD Guidance Coming on Tax Credit.(News)
June 1, 2009... Byline: Brian Collins WASHINGTON-The Department of Housing and Urban Development soon will issue guidance enabling FHA-approved lenders to provide short-term "bridge loans" to borrowers who are eligible for a one-time $8,000 first-time...

EDITORIAL: Follow the Leaders.(News)(Editorial)
June 1, 2009... We reported a couple of weeks ago about our new market outreach on Twitter. And once we got there (we're at twitter.com/mortgagenewz), we discovered that thousands of companies and individuals in the mortgage business were already there. All...

Proxy Battle for PHH Heats Up.(News)
June 1, 2009... Hedge fund Pennant Capital Management has ratcheted-up its proxy battle for seats on the board of mortgage banker PHH Corp., with two candidates it hopes will unseat the lender/servicer's chairman and long time CEO. The dissident...

Europe Ready For MBS Regs.(International Mortgages)
June 1, 2009... Byline: Bonnie Sinnock LONDON-European officials have drafted some proposals that could set additional regulation on securitized products, including residential mortgage-backed securities and commercial MBS. The moves could affect not...

UK Mortgage Rebound Stalls in April.(International Mortgages)
June 1, 2009... LONDON-A year-to-year drop in gross mortgage lending estimates for April is clouding forecasts for a rebound in the United Kingdom residential real estate market. Gross mortgage lending, estimated at A[pounds sterling]10.4 billion ($16.3...

Mods, Redefaults Rise.(News)
June 1, 2009... Byline: Amilda Dymi NEW YORK-A report shows the Obama administration's Home Affordable Modification program is invigorating servicing shops despite some skepticism and continuing high redefaults. The Fitch Ratings "U.S. RMBS Servicers'...

Workouts Soar At Genworth.(News)
June 1, 2009... Byline: Jennifer Harmon RALEIGH, NC-Over the 12-month period ending March 31, mortgage insurer Genworth Financial here and its servicing partners completed over 15,000 workouts and saved more than $2 billion of mortgages from foreclosure,...

EXECUTIVE SPOTLIGHT: EDWARD HJERPE III.(News)
June 1, 2009... The Federal Home Loan Bank of Boston said that Mr. Hjerpe has been appointed president and chief executive officer. A 20-year veteran of the banking industry, Mr. Hjerpe is expected to commence employment at the bank on or before June 30.

IPO Hoping to Tap $1T Market.(Inside Take)
June 1, 2009... Byline: Paul Muolo In January 2008 former Countrywide Financial president Stanford Kurland formed PennyMac to bottom-feed on troubled mortgages. Now he hopes to take a REIT affiliate of the company public by selling $750 million worth of...

Migration for MISMO.(News)
June 1, 2009... Byline: Anthony Garritano RESTON, VA-The Mortgage Industry Standards Maintenance Organization realized the need for greater transparency into the mortgage process and greater security around the data inside the transaction itself even...

$200 Million Saves Colonial.(News)
June 1, 2009... Byline: Paul Muolo MONTGOMERY, AL-Mortgage banker Taylor, Bean & Whitaker is supplying two-thirds of the $300 million investment in Colonial Bancgroup here, the nation's largest warehouse lender to non-depositories. The news that...

Foreclosures Increase 27%.(News)
June 1, 2009... Byline: Brian Collins WASHINGTON-Residential foreclosure starts jumped 27% in the first quarter to 1.33% of all outstanding residential loans as state moratoriums expired and it became clear that certain at-risk homeowners cannot qualify...

Freddie Launches MF Securities.(News)
June 1, 2009... WASHINGTON-Freddie Mac is launching a multifamily securitization program and marketing its first structured mortgage pool as part of any effort to increase liquidity for the apartment sector. "Freddie Mac is responding to difficult...

GNMA Servicers at 3/31/09.
June 1, 2009... GNMA Serv. GNMA Serv. % Rank GNMA Issuer Location 3/31/09 3/31/08 change 1 Wells Fargo Bank NADes Moines, IA $179,928 $134,695 34% 2 Countrywide/Bank of America (1)Pasadena, CA $106,706 $61,380 74% 3 JPMorgan ChaseColumbus, OH...

Most U.S. Metro Areas 'Still Unaffordable Despite Price Drops'.(News)
June 8, 2009... Byline: Amilda Dymi WASHINGTON-A study shows despite widespread home price declines homeownership remains unaffordable in most metropolitan areas where even jobs created through the stimulus plan are not expected to ease the crisis. ...

Eyeing Post-HVCC Trends.(Special Report: Appraising/Valuing Assests)
June 8, 2009... Byline: Brad Finkelstein In the first month of operating under the Home Valuation Code of Conduct, the percentage of lenders who were ordering appraisals through an appraisal management company vs. the number who are dealing directly with...

Guilty Pleas Linked to False Valuations.(Special Report: Appraising/Valuing Assests)
June 8, 2009... Byline: James Comtois INDIANAPOLIS-Seven Indiana residents charged in U.S. District Court here with participating in a $20 million mortgage fraud scheme obtaining loans for properties at falsely inflated prices have agreed to plead guilty....

Tech, Algorithms Forecast How Properties Sell.(Special Report: Appraising/Valuing Assests)
June 8, 2009... Byline: Anthony Garritano A new company is using a combination of algorithms and technology not only to predict the value of the properties, but also what the properties will eventually sell for on the open market. The Real Estate...

Stressing a Need to Improve Validations of Valuations on REO Properties.(Special Report: Appraising/Valuing Assests)
June 8, 2009... Byline: Jennifer Harmon SAN DIEGO-There is a strong need in the mortgage industry to validate valuations on REO properties so lenders can have confidence that the valuation they have is legitimate and accurate, according to John Walsh,...

Changing The Context.(Special Report: Appraising/Valuing Assests)
June 8, 2009... Many mortgage originators feel they are standing outside the ropes as the Home Valuation Code of Conduct has come to rule appraisals made for conforming mortgage loans. The Home Valuation Code of Conduct has been in practice for a little...

AmREIT Merges With REITPlus.(Commercial Mortgages)
June 8, 2009... HOUSTON-The shareholders for AmREIT, a real estate investment trust here, approved the relocation of AmREIT from Texas to Maryland, which was accomplished in late May. AmREIT's management team and board of trustees believe that changing...

Capmark Financial Completes $1.5 Billion Term Loan Facility.(Commercial Mortgages)
June 8, 2009... Byline: James Comtois HORSHAM, PA-Capmark Financial Group Inc. has entered into a new $1.5 billion term loan facility and entered into amendments to its existing senior credit facility and bridge loan agreement. Proceeds from the facility,...

Maturing Debt Refi Risk Now Top Concern for CRE Sponsors.(Commercial Mortgages)
June 8, 2009... NEW YORK-Mortgage financing and the ability of fund sponsors to refinance maturing debt on commercial properties in the next 12 to 18 months is the single most important concern in today's market, according to results of a survey of more than...

Cugno GettingBack Into B/C.(News)
June 8, 2009... SAN PEDRO, CA-After being on the sidelines as a lender for the past few years and instead focusing on industry training and education, Peter Samuel Cugno is on the verge of starting a new company to originate nonprime loans through the...

FDIC Shifts 'Legacy' Program Focus.(News)
June 8, 2009... WASHINGTON-The Federal Deposit Insurance Corp. said it is refocusing its Legacy Loan Program to concentrate on assets held in receivership by the agency, which currently total about $18.7 billion. In a statement, the agency credited the...

H&R Block NPL Portfolio Doesn't Sell As Bids Are Low.(News)
June 8, 2009... Byline: Paul Muolo WASHINGTON-A $240 million portfolio of nonperforming loans recently offered for auction by H&R Block failed to sell, according to participants with knowledge of the deal. The mortgages offered belonged to its...

Delinquencies, Foreclosures Up in April.(News)
June 8, 2009... JACKSONVILLE, FL-Total mortgage delinquencies in April rose slightly to 8.1%, with a year-over-year increase of 43%, and the nation's foreclosure rate for the month was 2.7%, representing a year-over-year increase of 90.5%, according to Lender...

OPEN FORUM: The Science of Insolvency.(News)
June 8, 2009... Mr. Pollock's recent statement before the House Subcommittee on Oversight and Investigations is presented as our Open Forum. As the charter for this hearing says, "Economics aspires to be a science." But in this it does not succeed -...

PMI CCC RatingGets Boost to B-.(News)
June 8, 2009... WALNUT CREEK, CA-Standard & Poor's has raised its counterparty credit rating on PMI Group Inc. here from CCC to B- in the wake of the mortgage insurer's renegotiated credit agreement which reduces the potential for covenant default. The...

PEOPLE.(News)
June 8, 2009... CALIFORNIA Irvine-Financial Asset Services Inc. has hired Jeffrey Flory as business development manager in its Irvine headquarters. In this role, Mr. Flory will be responsible for developing and expanding partnerships, and leading the...

RBC Loss Is Due To Builder Loans.(News)
June 8, 2009... Byline: Matthew Monks NEW YORK-A hefty impairment charge on its U.S. operations drove Royal Bank of Canada to its first quarterly loss in 16 years. Canada's largest lender said that it lost $45.7 million in the three months that ended...

TRO Is Removed in South Carolina.(News)
June 8, 2009... Byline: Jennifer Harmon COLUMBIA, SC-A temporary restraining order involving loans subject to modification under the Home Affordable Modification program has been removed by Chief Justice Jean Hoefer Toal of the Supreme Court of South...

Non-Agency RMBS in TALF Are a Stretch, but Possible.(Street Smarts)
June 8, 2009... Byline: Bonnie Sinnock Nonagency residential mortgage-backed securities still might be included in the Term Asset-Backed Securities Lending Facility program but it would be "particularly difficult" in the personal opinion of one Federal...

New CEO at UG May Mean Restructuring Is in Store.(News)
June 8, 2009... Byline: Brad Finkelstein GREENSBORO, NC-Are there significant changes afoot at mortgage insurer United Guaranty Corp. here? While parent company American International Group did not address the question, it has replaced a mortgage...

EDITORIAL: A Small Gain.(News)(Editorial)
June 8, 2009... Last year wasn't a great one for mortgages or real estate. In fact it was one of the worst years in recent memory. But there was one niche of the business where both real estate values and mortgages increased. Granted, it's a small niche....

Sales May Trend Upward.(News)
June 8, 2009... Byline: Brian Collins WASHINGTON-Home sales appear to have stabilized and could trend upward over the summer but don't look for a turnaround in prices and mortgage defaults anytime soon. Based on historical patterns, economists expect...

Tax Credit Advances Can't Be Used for FHA Downpayments.(News)
June 8, 2009... Byline: Lew Sichelman WASHINGTON-Federal Housing Administration-approved lenders can immediately provide short-term loans to first-time borrowers eligible for the $8,000 homebuyer tax credit. But under guidance issued by the Department...

Thrift Volumes Jump by 70%.(News)
June 8, 2009... WASHINGTON-Originations of one-to-four family loans by thrifts jumped nearly 70% in the first quarter as refinancing comprised 55% of loan production, compared to 42% in the previous quarter. The Office of Thrift Supervision also reported...

GSE Mods Target Owner Payments.(News)
June 8, 2009... Byline: Brian Collins WASHINGTON-Loan modifications completed by Fannie Mae and Freddie Mac in the first quarter are "significantly deeper" than a year ago in terms of reducing the borrower's payments, according to their regulator. ...

GNMA Close on Warehouse?(News)
June 8, 2009... Byline: Paul Muolo WASHINGTON-The mortgage industry is making headway on a proposal to have the Government National Mortgage Association aid the warehouse lending sector. At press time officials from the Mortgage Bankers Association...

Making a Case On Mozilo.(Inside Take)
June 8, 2009... Byline: Paul Muolo During Angelo Mozilo's final days as Countrywide CEO last summer, an employee of the company walked down the hall to his executive suite to say goodbye. According to one official familiar with the story, the employee...

Originations Soar by 68%.(News)
June 8, 2009... Byline: Paul Muolo WASHINGTON-Thanks to record low mortgage rates, residential funders originated $462 billion in product during the first quarter, a 68% jump from the dismal fourth quarter, according to exclusive survey figures compiled...

Rates Jump, Refis Drop.(News)
June 8, 2009... Byline: Kate Berry NEW YORK-A recent spike in home mortgage rates threatens to quell the current refinancing boom that helped lift lender profits last quarter. Some lenders said the nearly half-point jump in rates could be temporary...

Mortgage Industry Equity Composite; MIEC Index: 18.1 Change: 1.0.
June 8, 2009... Company 6/4/2009 5/28/2009 Wkly.% Chg. 52 wk/lo 52 wk/hi % Chg. P/E Ratio Astoria Federal (AF)8.12 7.36 10% 5.85 30.00 38.80% 13.02 Bank of America (BAC)11.74 11.14 5% 2.53 39.50 364.03% 13.16 Bank of Hawaii (BOH)37.79 36.55 3%...

Top Residential Originators in 1Q 09; (Dollars in Millions).
June 8, 2009... Origination Volume % Market Rank Organization Name 1Q 09 1Q 08 Change Share 1 Wells Fargo & Co.$102,782 $68,384 50% 22.27% 2 Bank of America$89,256 $38,380 133% 19.34% 3 Chase$38,983 $54,299 -28% 8.45% 4 CitiMortgage...

Some Tech Vendors Rehiring Key Executives.(News)
June 8, 2009... Byline: Anthony Garritano BETHESDA, MD-There are signs that the mortgage market is beginning to recover, if ever so slightly. As a result, technology vendors that may have made staff cuts last year are now looking to hire again, but these...

PROMOTION SPOTLIGHT: JEFF LEMIEUX.(News)
June 15, 2009... GMAC Financial Services named Mr. Lemieux, a hedge fund executive, senior vice president of fee-based servicing, including subservicing. Mr. Lemieux comes to GMAC's mortgage division, Residential Capital Corp., from Cerberus Capital where he...

Using Business Rules to Replicate Manual Processes.(Special Report: Process Outsourcing)
June 15, 2009... Byline: Anthony Garritano As lenders look to outsourcing, one of the main things they fear is that the process of the outsourcer will become their new process, and as a result, it may not be as secure. First American Outsourcing and...

LenderLive Sees Boost in Contract Underwriting Business.(Special Report: Process Outsourcing)
June 15, 2009... Byline: Anthony Garritano LenderLive Network Inc. will provide contract underwriting outsource services to companies that had received these services from PMI Mortgage Insurance Co. PMI has recommended LenderLive as a quality provider of...

Domestic Vs. Foreign Outsourcing.(Special Report: Process Outsourcing)
June 15, 2009... CARROLLTON, TX-In discussing the pros and cons of domestic outsourcing vs. foreign outsourcing, the question of data security and protection is becoming more and more important. "Traditionally, the choice of whether to use domestic or...

Unraveling Workload.(Special Report: Process Outsourcing)
June 15, 2009... All around, lenders and servicers are taking on more work. On the servicing side, residential foreclosure starts jumped by 27% in the first quarter of this year to come in at 1.33% of all outstanding loans. This means servicers will be very,...

Leaning on Vendors for Compliance.(Special Report: Process Outsourcing)
June 15, 2009... LANSDALE, PA-With a slew of new regulation hitting the mortgage market, lenders are increasingly turning to vendors. Most recently the Home Valuation Code of Conduct has changed how lenders can order appraisals. The intent was to end...

Commercial and Multifamily Delinquency Rates Still Rising.(Commercial Mortgages)
June 15, 2009... Byline: James Comtois WASHINGTON-The weakening economy and continued credit crunch led to increases in commercial/multifamily mortgage delinquencies during the first quarter of 2009, according to the Mortgage Bankers Association. ...

CRE Mortgages Fall 65% in '08.(Commerical Mortgages)
June 15, 2009... WASHINGTON-Commercial and multifamily mortgage origination volumes decreased 65% in 2008, with mortgage bankers closing $181.4 billion in commercial and multifamily loans, according to the Mortgage Bankers Association's "2008 Commercial Real...

Best Gives Negative Outlooks to Largest Title Insurers.(News)
June 15, 2009... Byline: Brad Finkelstein OLDWICK, NJ-Insurer ratings agency A.M. Best here has issued negative outlooks to the nation's two largest title insurance underwriting conglomerates, cutting the ratings on Fidelity National Financial Inc., but...

Index Reveals Micro-Market Power.(News)
June 15, 2009... Byline: Amilda Dymi TRUCKEE, CA-Recent data show that despite the ongoing overall depreciation trend there are signs of improvement at the micro-market level. The newly introduced Clear Capital monthly Home Data Index Market Report...

FICO and EquifaxRoll Out Score.(News)
June 15, 2009... MINNEAPOLIS-As expected, FICO here and Equifax, Atlanta, have rolled out the branded version of the FICO 08 score for that repository. This version is known as Beacon 09 and the companies say it has advantages over other versions of Beacon,...

FHA Suspends Three Lenders.(News)
June 15, 2009... WASHINGTON-The Department of Housing and Urban Development has suspended three lenders from originating Federal Housing Administration single-family loans while the agency completes investigations of the companies. HUD's Mortgagee Review...

Insurance Fund for FHLBs Is on the Table.(News)
June 15, 2009... Byline: Steven Sloan WASHINGTON-As the Federal Home Loan Banks continue to struggle with charges on their mortgage holdings, the Federal Housing Finance Agency is considering the creation of an insurance fund that could absorb losses at a...

Moratoriums Cutting the Foreclosure Rate.(News)
June 15, 2009... Byline: Jennifer Harmon NEW YORK-Due to a decline in home prices and other factors, Fitch Ratings is seeing a continued rise in defaults as defined by monthly rolls of 90-plus, foreclosure or REO on a national basis. There has been a...

MBA's Chief Lobbyist Departs for Hill Job.(News)
June 15, 2009... WASHINGTON-Francis Creighton, a top lobbyist for the Mortgage Bankers Association, is departing the trade group to take a job on Capitol Hill. A source familiar with the matter said Mr. Creighton, a vice president who is MBA's top liaison...

MDIA DeadlineComing Soon.(News)
June 15, 2009... Byline: Brian Collins WASHINGTON-Mortgage firms are scrambling to implement an overlooked Truth in Lending Act rule going into effect July 30. The rule requires timely delivery of early TILA mortgage disclosures in transactions...

OPEN FORUM: Housing Recovery in Offing?(News)
June 15, 2009... Byline: Ben Bernanke, Chairman, Federal Reserve Excerpts of Mr. Bernanke's remarks before the House Budget Committee recently are presented as our Open Forum. Activity in the housing market, after a long period of decline, has also...

Edge to Activists in PHH Proxy Battle.(News)
June 15, 2009... Byline: Marc Hochstein NEW YORK-Activist shareholders appear to have won the proxy fight at the mortgage outsourcer PHH Corp. According to the preliminary results of a vote at PHH's annual shareholder last Wednesday, both of Pennant...

PEOPLE.(News)
June 15, 2009... CALIFORNIA Long Beach-HCP appointed Scott A. Anderson as senior vice president-chief accounting officer, effective July 1. Mr. Anderson comes to HCP from Apartment Investment Management Co., where he is senior vice president, financial...

Foreclosure Total Still Over 300,000.(News)
June 15, 2009... Byline: Jennifer Harmon IRVINE, CA-May foreclosures marked the third straight month where the total number of properties with foreclosure filings exceeded 300,000, according to the latest data from RealtyTrac here. Default notices,...

Prepayments Could Peak If Refinancing Boom's End Is Near.(Street Smarts)
June 15, 2009... Byline: Bonnie Sinnock Unless interest rates come down radically from their recent spike above 5% the refi boom may be near an end, and this means - among other things - securitized fixed-rate agency and government mortgage prepayments...

EDITORIAL: The State of Foreclosures.(News)(Editorial)
June 15, 2009... Certain states have borne the brunt of the foreclosure pandemic to date. California, Nevada, Arizona, Florida, Ohio, Michigan, all of these have been badly hurt. But now, it seems, more states are hurting. Take New Jersey. The Garden State...

Obama Reaches Out to Minorities.(News)
June 15, 2009... Byline: Brian Collins WASHINGTON-The Obama administration wants to ensure its loan modification program known as "Making Home Affordable" reaches minority communities that were targeted by subprime lenders. The mortgage crisis has had...

Helping Consumers to Identify Good Loans, Good Lenders.(News)
June 15, 2009... Byline: Lew Sichelman WASHINGTON-A group of nonprofits isn't waiting for Congress to repair the mortgage delivery system to make it more consumer-friendly. With major funding from the Ford Foundation, the Fair Mortgage Collaborative...

ECB to Purchase Mortgage Bonds.(International Mortgages)
June 15, 2009... FRANKFURT, Germany-The European Central Bank has released some details of its plan to purchase euro-denominated covered bonds, including those backed by mortgages. The ECB said that it plans to start the purchases in July and have the...

Germans Take Control of Hypo AG RE.(International Mortgages)
June 15, 2009... MUNICH, Germany-Shareholders in Germany's Hypo Real Estate AG have given the go-ahead to a capital increase that makes it possible for the German government to effectively take control of the troubled company. Almost 74% of shareholders in...