National Mortgage News articles from May 2009

National Mortgage News archives from May 2009

Nonagency MBS Still Challenging Anti-Foreclosure Efforts in Progress.
May 4, 2009... Byline: Bonnie Sinnock NEW YORK-Some progress has been made when it comes to mitigating mortgage losses and helping keep distressed low- to moderate-income borrowers in their homes, but more needs to be done - particularly when it comes to...

StoneWater ExecsStepping Aside.
May 4, 2009... TUCSON, AZ-StoneWater Mortgage Corp. here is "restructuring" its management team in the wake of a lawsuit filed against several members who had been part of the officers and directors of First Magnus Corp. Karl F.W. Young, president of...

Tennessee Bank Table Funds Banks, Not Mortgage Brokers.
May 4, 2009... COLLIERVILLE, TN-BankTennessee here has launched a new wholesale division that caters not to independent loan brokers - but to other depositories. "You might say a tremendous vacuum has been created," BankTennesse wholesale chief Jim House...

Home Prices Continue to Decline.
May 4, 2009... NEW YORK-Data through February 2009 show continued broad-based declines in the prices of existing single-family homes across the United States, according to Standard & Poor's Case-Shiller Home Price Indices, with 10 of the 20 metro areas...

FHA Sees Encouraging Signs.
May 4, 2009... WASHINGTON-Department of Housing and Urban Department officials are signaling that the FHA single-family program is doing better than expected and downplaying concerns that a budget review might force the agency to increase mortgage insurance...

FHA Book of Business Continues to Outperform Subprime.
May 4, 2009... Byline: Lew Sichelman WASHINGTON-Like the death of Mark Twain, the demise of the Federal Housing Administration is "premature," according to the outgoing commissioner of the government's mortgage insurance fund. Making what is probably...

Fair Isaac Launches MHA Website.(Website overview)
May 4, 2009... MINNEAPOLIS-Fair Isaac - the company behind the most commonly used credit scoring system in the nation - has launched a new website that tells consumers if they qualify for a Fannie Mae or Freddie Mac loan modification under the Obama...

Cash-Flush Texas Startup Offers Upscale Second Liens.
May 4, 2009... Byline: Kate Berry NEW YORK-Though many community banking companies are expanding in mortgages, the startup First Texas BHC Inc. is going further than most by offering second liens on million-dollar homes. The $653.4 million-asset...

GNMA Closer to Warehouse?
May 4, 2009... Byline: Paul Muolo WASHINGTON-A proposal that would allow the Government National Mortgage Association to give some type of assistance to the warehouse lending sector is moving closer to fruition, according to industry officials. At...

New HECM Borrower Counselor Rule Is Near.
May 4, 2009... Byline: Lew Sichelman CHICAGO-Only persons on the Department of Housing and Urban Development's roster of Home Equity Conversion Mortgage counselors will be able to advise potential borrowers under a final rule that is "about to be...

Refi Surge Causes MI Backlog.
May 4, 2009... Byline: Brad Finkelstein NEW YORK-The backlog in the mortgage industry due to the high volume of refinancings is impacting the time it takes title orders to close, three of the four major title groups reported. These problems in turn...

The Outlook for Recovery.
May 4, 2009... Byline: Donald Kohn, Vice Chairman, Federal Reserve Mr. Kohn's remarks on the economic outlook at the Hutchinson Lecture in Newark, Del., are presented as our Open Forum. (First of two parts.) Consideration of the likely shape of the...

PEOPLE.
May 4, 2009... CALIFORNIA Beverly Hills-Kennedy Wilson Auction Group said that Anthony Bains has been named vice president, business development. Prior to his position at LandCap Partners, Mr. Bains worked for Sky Cos., a homebuilder in Los Angeles,...

Ross Now Eyeing the PPIP Market.
May 4, 2009... NEW YORK-Bottom fisher Wilbur Ross - who has made two large purchases in the residential servicing arena - is now considering taking a run at toxic mortgages offered through the Treasury's Public-Private Investment Program. Invesco Ltd....

Stevens FHA Nomination in Limbo.
May 4, 2009... Byline: Brian Collins WASHINGTON-Senate confirmation of David Stevens to be the new FHA commissioner is no longer on a fast track due a RESPA lawsuit filed against his former employer, Long & Foster, a realty firm dominant in the metro...

Global Credit Revival Efforts Must Allow for Differences.(Street Smart)
May 4, 2009... Byline: Bonnie Sinnock Global credit markets provide key funding for the U.S. mortgage industry, among others, and if we want them to make a comeback and restore securitization-based liquidity to our business we have to think beyond our...

EDITORIAL: How and When.(Editorial)
May 4, 2009... Everybody's pretty much agreed that for the mortgage market to recover, and possibly the national economy beyond it, the secondary mortgage market needs to be re-liquefied. The real question is how, and when. Executives of the Mortgage Bankers...

U.S. Treasury Revamps Mods.
May 4, 2009... Byline: Brian Colins WASHINGTON-The Treasury Department has revised the president's loan modification plan to encourage participating servicers to use FHA's Hope for Homeowners program as an option in writing down the principal amount of a...

Mortgage Reform Bill Set to Curb Abusive Lending.
May 4, 2009... WASHINGTON-The House Financial Services Committee passed a mortgage reform bill last week to curb abusive lending, which will move the market toward the origination of mostly prime fixed-rate loans. By a 49-21 vote, the committee passed a...

First Quarter Refis Seen Reducing Payments by $2.5B.
May 4, 2009... MCLEAN, VA-Refinances tracked by Freddie Mac in the first quarter are on track to reduce mortgage payments by $2.5 billion in the coming year. "The payment savings from 'rate-and-term' refinancing done during the quarter is about $160 a...

Ex-AHM Chief Settles with SEC.
May 4, 2009... Byline: Paul Muolo WASHINGTON-Former American Home Mortgage founder and CEO Michael Strauss - who is now in the loan modification business - has agreed to pay the Securities and Exchange Commission $2.45 million to settle a slew of...

BoA Adds Loan Disclosures.
May 4, 2009... Byline: Jennifer Harmon CHARLOTTE, NC-Bank of America - in conjunction with its Bank of America Home Loans rebranding - has created three new tools, including the "clarity commitment," a one-page loan summary that allows customers to...

A Boom Now, but What Comes Next?(Inside Take)
May 4, 2009... Byline: Paul Muolo The preliminary results are in and it appears the first quarter was a barnburner when it comes to new residential loan originations. According to figures compiled by National Mortgage News, loan production in the first...

KCC May Triple Workers.
May 4, 2009... IRVINE, CA-Kondaur Capital Corp. here - an investor in nonperforming mortgages - expects its work force to triple to 900 workers by yearend. In an interview last week, company chairman and CEO Jon Daurio described Kondaur's business of...

Cramdowns Defeated.
May 4, 2009... Byline: Brian Collins WASHINGTON-The Senate easily defeated a cramdown amendment last week that Sen. Richard Durbin, D-Ill., has pushed for the past two years as a way to reduce foreclosures and help stabilize the housing market. By a...

Mortgage Industry Equity Composite; MIEC Index: 17.3 Change: 0.6.
May 4, 2009... Company 4/30/2009 4/23/2009 Wkly.% Chg. 52 wk/lo 52 wk/hi % Chg. P/E Ratio Astoria Federal (AF)8.34 7.22 16% 5.85 30.00 42.56% 13.75 Bank of America (BAC)8.91 8.82 1% 2.53 40.65 252.17% 15.67 Bank of Hawaii (BOH)35.28 34.37 3%...

Residential Interest-Only Lenders in 4Q 2008.
May 4, 2009... IO Funded IO Funded % Market Rank Organization Name Location in 4Q 2008 in 4Q 2007 Change Share 1 Wells Fargo & Co.San Francisco, CA $2,397 $10,934 -78% 28.09% 2 ING Bank FSB (E)Wilmington, DE $853 $1,653 -48% 10.00% 3 SunTrust...

Residential Originators in 1Q 09.
May 4, 2009... Origination Volume % Organization Name Location 1Q 09 1Q 08 Change EverBank MortgageJacksonville, FL $1,709 $1,308 31% HSBC Mortgage Corp. USADepew, NY $2,159 $3,655 -41% M&T BankBuffalo, NY $1,858 $1,445 29% Midwest Loan...

Flagstar Ups Warehouse Arm.
May 4, 2009... Byline: Anthony Garritano TROY, MI-Joining Wells Fargo and GMAC, Flagstar Bank here is looking to increase its warehouse operations, but unlike the other two players, Flagstar is doing so with a technology twist. "We are open for...

IBM Now Offering Loan Modification Support.(Technology)
May 4, 2009... Byline: Anthony Garritano ARMONK, NY-Realizing the need to modify a record number of problem loans and the fact that servicers can't keep up, IBM here has stepped in with a new offering that it hopes will allow mortgage loan servicers to...

Housing Advocates Get Kudos.(News)
May 11, 2009... Byline: Amilda Dymi WASHINGTON-Affordable housing advocate the National Housing Conference and its research affiliate the Center for Housing Policy received the 2009 MacArthur Award for Creative and Effective Institutions and a $650,000...

Mortgage Firms Banned from Doing Business in Pennsylvania.(News)
May 11, 2009... Byline: James Comtois HARRISBURG, PA-The Pennsylvania Department of Banking has banned four out-of-state mortgage modification companies from doing business in Pennsylvania. The department issued orders to cease and desist against...

Specially Serviced CMBS Up 48%.(Special Report: Subservicing)
May 11, 2009... Byline: Amilda Dymi NEW YORK-Commercial mortgage-backed securities are raising new red flags of worry for the U.S. secondary market. According to Fitch Ratings, "a dramatic jump" in the number of loans being transferred to special...

Servicers, Originators Connect to Offer Full Service Solution.(Special Report: Subservicing)
May 11, 2009... Byline: Amilda Dymi EWING, NJ-Government assistance requirements pressed a servicer and originator to interrelate services into a full mortgage banking solution. David Miller, senior vice president of business development at Cenlar...

Technology Helps Subservicers Collaborate.(Special Report: Subservicing)
May 11, 2009... Byline: Anthony Garritano SOUTHFIELD, MI-Subservicers are hard pressed to be more in tune with the customer service needs of the servicing industry. Technology can help them enhance their process and get better results. Most...

Boomers Create Reverse Demand.(Special Report: Subservicing)
May 11, 2009... Byline: Jennifer Harmon SPRING, TX-There is more subservicing being done in the reverse mortgage sector in today's market in part because demand for thsese services continues to grow. Marc Helm, chief operating officer of Reverse...

Subservicing: A Changing Marketplace.(Special Report)
May 11, 2009... As servicers frantically continue to respond to unprecedented demand, new government programs and regulatory requirements add toissues of scale in response to subservicing and special servicing. The Making Home Affordable program has raised...

City Bank Revises $61M Loss.(News)
May 11, 2009... Byline: Jennifer Harmon LYNWOOD, WA-As a result of new appraisals that reflect a deteriorating housing market, City Bank here has revised its loss for 2008 to $60.8 million, an increase of $25 million from the $35.8 million originally...

Keefe Has Mortgage ETF.(News)
May 11, 2009... BOSTON-Keefe, Bruyette & Woods and State Street Global Advisors have launched what they said is the first exchange traded fund to offer 100% exposure to the U.S. mortgage finance industry. The two companies said the new ETF allows investors...

FBR Looks For Consistent Returns.(News)
May 11, 2009... MOUNT LAUREL, NJ-PHH Corp. here needs to prove to investors that its business model can produce consistent returns, according to analysts at FBR Capital Markets, Arlington, Va. The report from Paul Miller and Bob Ramsey raises the price...

FHA Seen Finishing Fiscal Year 2010 in Black.(News)
May 11, 2009... Byline: Brian Collins WASHINGTON-The Federal Housing Administration single-family program will not need a congressional appropriation to continue operating in fiscal year 2010 and it should be able to keep its head above water throughout...

Foreclosures Up,Overdues Down.(News)
May 11, 2009... Byline: Jennifer Harmon JACKSONVILLE, FL-Foreclosure starts are continuing to rise to record highs but total delinquencies fell in March to 7.88%, a month-over-month decrease of 5.8%, according to the April 2009 LPS Mortgage Monitor from...

Demand for Better AVMs Up.(News)
May 11, 2009... Byline: Amilda Dymi JACKSONVILLE, FL-At least one expert finds the foreclosure crisis has created demand for improved housing valuation and pricing tools that allow for more sustainable business decisions. Nima Nattagh, senior vice...

Merrill Lynch Sued Over Two CDS Deals.(News)
May 11, 2009... ARMONK, NY-An MBIA Inc. subsidiary and LaCrosse Financial Products LLC are seeking rescission and damages for misrepresentation and breach of contract in connection with credit default swaps that had ties to U.S. subprime residential mortgage...

NY Sees 23% Decrease in Filings.(News)
May 11, 2009... Byline: Jennifer Harmon NEW YORK-Foreclosure filings were made on 11,017 properties in New York during the first quarter of 2009, representing a 23% decrease compared to the first quarter of 2008 and a 32% increase over the fourth quarter...

OPEN FORUM: The Outlook for Recovery.(News)
May 11, 2009... Byline: Donald Kohnvice Chairman, Federal Reserve Mr. Kohn's remarks on the economic outlook at the Hutchinson Lecture in Newark, Del., are presented as our Open Forum. (Second of two parts.) In part, this effort has involved targeted...

Servicing BusinessHurts PHH's Net.(News)
May 11, 2009... Byline: Brad Finkelstein MOUNT LAUREL, NJ-PHH Corp. here was a victim of mortgage servicing rights prepayments as the company's first-quarter net income was well below that from the same period one year prior. The $118 million segment...

TALF CMBS Loans May Take Edge Off Commercial Downturn.(Street Smart)
May 11, 2009... Byline: Bonnie Sinnock The commercial mortgage concerns that threaten to overshadow the few rays of light that have been breaking through the clouds in the residential market are slightly brightened by TALF's CMBS expansion. The...

Credit Risk Index Highest Ever.(News)
May 11, 2009... CHICAGO-The TransUnion Credit Risk Index reached 124.79 in the last quarter of 2008, the highest level seen since its inception. The index recorded its biggest change on a quarter-to-quarter basis (up by 5.99% compared to 3Q08). It increased...

AIG Will Keep United Guaranty.(News)
May 11, 2009... GREENSBORO, NC-The future of United Guaranty Residential Insurance Co. here is up in the air as the company will be kept by American International Group, New York, rather than spun off into a newly created property/casualty insurance holding...

Wells Drops TPO 'Low Balance' Commercial.(News)
May 11, 2009... SAN FRANCISCO-In yet another sign that depositories are shunning loan brokers and even correspondents, Wells Fargo & Co. said it would no longer fund "low balance" commercial mortgages through third parties. A spokesman for Wells Fargo...

Originations Increase Bank Nets.(News)
May 11, 2009... Byline: Brad Finkelstein NEW YORK-For some banks, their first-quarter results have been enhanced by strong performance in the mortgage origination side of the business, as refinancings have taken hold. However, at some of these same...

EDITORIAL: A Housing Advocate.(News)(Editorial)
May 11, 2009... When Jack Kemp was serving as secretary of HUD during the administration of the first President Bush, NMN published a story about him with the headline "Kemp a Housing Liberal." When it was pointed out to him at an MBA annual convention, the...

FBI Gets More Fraud Resources.(News)
May 11, 2009... Byline: Brian Collins WASHINGTON-President Obama will be able to sign a bill soon that increases the FBI's resources to go after mortgage fraud and expands the federal bank fraud statutes to cover independent mortgage companies and...

Servicers GetMore Leeway.(News)
May 11, 2009... Byline: Brain Collins WASHINGTON-The Senate has passed a housing bill that gives mortgage servicers more leeway to modify loans and protect them from investor lawsuits. The bill (S. 896) also revamps the $300 billion FHA Hope for...

Colonial Deal in Trouble?(News)
May 11, 2009... Byline: Brad Finkelstein NEW YORK-Fitch Ratings believes it could be a challenge for Colonial Bancgroup - the nation's largest warehouse lender - to satisfy some of the conditions attached to a $300 million investment in the bank by a...

1st Metro Being Bought By Hestia.(News)
May 11, 2009... Byline: Paul Muolo CHARLOTTE, NC-1st MetropolitanMortgage here, once a top-ranked loan brokerage and net branch operator, has struck a deal to merge with another lender and then become part of Hestia Financial of Dallas. Daniel Jacobs,...

Bankers Get Full Ride on HVCC.(Inside Take)
May 11, 2009... Byline: Paul Muolo The way loan brokers are feeling these days they've lost the HVCC war and banks won and it's probably just a matter of time before the entire brokerage sector evaporates into thin air. That's the worst-case scenario. The...

YSP Future in Doubt.(News)
May 11, 2009... Byline: Brian Collins WASHINGTON-The House has passed a mortgage reform bill last week by a 300-114 vote that curbs abusive lending practices and discourages subprime and nontraditional mortgage loan products. The legislation is based...

Chase Changes its Mind, Will Stay in Warehouse.(News)
May 11, 2009... Byline: Paul Muolo NEW YORK-First the good news: JPMorgan Chase has decided to stay in the warehouse lending business at all. Now the bad: it only plans to provide lines of credit to just a handful of customers that tend to sell loans to...

Mortgage Industry Equity Composite; MIEC Index: 18.0 Change: 0.7.(News)
May 11, 2009... Company 5/7/2009 4/30/2009 Wkly.% Chg. 52 wk/lo 52 wk/hi % Chg. P/E Ratio Astoria Federal (AF)8.22 8.39 -2% 5.85 30.00 40.51% 14.89 Bank of America (BAC)13.64 8.96 52% 2.53 39.50 439.13% 14.89 Bank of Hawaii (BOH)39.57 35.57 11%...

Head Servicers Ranked by Portfolio Yield - 4Q08; (Dollars in Millions).(News)
May 11, 2009... Avg. Yield Service Rank Organization Name Location on Portfolio Portfolio Size 1 EMC Mortgage (1)Lewisville, TX 7.36% $74,629 2 DHI MortgageAustin, TX 7.30% $204 3 M&T MortgageBuffalo, NY 7.00% $21,254 4 Banco...

Residential Servicers at March 31; (Dollars in Millions).(News)
May 11, 2009... Servicing Volume % Organization Name Location 3/31/09 3/31/08 Change American Internet Mortgage San Diego, CA $260 $289 -10% Branch Banking & Trust Co. Wilson, NC $76,923 $67,648 14% Celink Lansing, MI $3,384 $2,170 56% ...

Gramercy Completes Manager Internalization.(Commercial Mortgages)
May 18, 2009... NEW YORK-Commercial real estate investment company Gramercy Capital Corp. here has completed internalization of its management through the direct acquisition of its external manager, GKK Manager LLC, which was previously a wholly owned...

Rockwood Capital Closes RE Partners.(Commercial Mortgages)
May 18, 2009... SAN FRANCISCO-Real estate investment company Rockwood Capital here has closed the Rockwood Capital Real Estate Partners Fund VIII with $964 million in capital commitments. The fund will primarily invest in hotel, retail, office and residential...

Office Market Has Worst Quarter Since 2001.(Commercial Mortgages)
May 18, 2009... BOSTON-The U.S. office market greeted the first three months of 2009 by continuing its downward spiral, marking the worst quarter since the third quarter of 2001 and the 9/11 terrorist attacks, according to the first-quarter office report from...

Warehouse Vacancy Climbs.(Commercial Mortgages)
May 18, 2009... Byline: James Comtois BOSTON-The demand for warehouse space declined in the first quarter, according to Colliers International, a real estate services firm here. The national warehouse market struggled during first quarter, with the...

Title Still Hurting.(News)
May 18, 2009... Byline: Brad Finkelstein OLDWICK, NJ-There was an increase in impaired companies in the property/casualty insurance segment from five to seven between 2007 and 2008, caused by four title companies entering that status, a report from A.M....

FHA Seeks $400B Limit.(News)
May 18, 2009... Byline: Brian Collins WASHINGTON-The Obama administration is pushing the Federal Housing Administration to play a larger role in the mortgage market and it will be asking Congress to provide the agency with a $400 billion loan commitment...

Mortgage Reform Caps Fees Even on FRMs.(News)
May 18, 2009... Byline: Brian Collins WASHINGTON-A House-passed mortgage reform bill makes it tough for borrowers to get traditional adjustable-rate mortgages and caps origination fees on the most conservative loans, including prime fixed-rate mortgages....

U.S. Lending Units Hurt HSBC.(News)
May 18, 2009... Byline: Matthew Monks NEW YORK-HSBC Holdings PLC's troubled U.S. consumer lending division continued to drag down Europe's largest banking company in the first quarter, though charges for soured loans were lower than expected. HSBC...

Employees Get B&C Lender Settlement.(News)
May 18, 2009... WILMINGTON, DE-Roughly 1,650 former employees of Mortgage Lenders Network will divide a $2.7 million settlement from the bankrupt subprime lender under a settlement approved by a Delaware judge last week. The privately held Connecticut B&C...

OTS Orders Thrift to Raise Capital.(News)
May 18, 2009... Byline: Bonnie McGeer NEW YORK-Regulators have ordered a $14-million-asset mutual thrift in Pittsburgh to raise capital, citing improper automated clearing house transactions that resulted in large losses. Though mutuals typically are...

OPEN FORUM: These Four Programs Are Critical.(News)
May 18, 2009... Byline: Timothy Geithner, Secretary of the Treasury Mr. Geithner's Recent Remarks Before The Congressional Oversight Panel Are Presented As Our Open Forum. (first Of Two Parts.) First, falling home prices and rising unemployment have...

PEOPLE.(News)
May 18, 2009... CALIFORNIA Santa Ana-Grubb & Ellis Realty Investors LLC said that Fred D. Cochran has joined the company as a regional vice president in Florida. Mr. Cochran will also be a registered representative of Grubb & Ellis Securities Inc.,...

RESPA Reform Mandates Mortgage Disclosures by Jan. 1.(News)
May 18, 2009... Byline: Brian Collins WASHINGTON-The new HUD secretary has decided to move ahead with a RESPA rule that was issued by the Bush administration and requires the industry to implement new mortgage disclosures by Jan. 1, 2010. The surprise...

April Foreclosures Still High.(News)
May 18, 2009... Byline: Jennifer Harmon IRVINE, CA-Total foreclosure activity in April ended up slightly above March, once again hitting a record-level high. Foreclosure filings including default notices, auction sale notices and bank repossessions...

Bond Yields, Reports Paint Mixed Picture for Loan Rates.(Street Smarts)
May 18, 2009... Byline: Bonnie Sinnock Bond yields and weekly rate reports available at press time last Thursday painted a mixed picture for current rates as well as future rate direction. The average rate for fixed-rate mortgages that dominate the...

TM's CreditorsAre Owed $4.6B Residential Jumbo Volumes 2005-2008.(News)
May 18, 2009... SANTA FE, NM-The 10 largest unsecured creditors of the recently bankrupt Thornburg Mortgage include depositories and Wall Street firms that are owed at least $4.6 billion, according to court records. The nature of the debts include senior...

Commercial/Multifamily Continues to Drop.(News)
May 18, 2009... WASHINGTON-Following the trend set by the residential side of the mortgage business, commercial and multifamily mortgage loan originations continued to drop off in the first quarter of 2009, according to numbers that have been produced by the...

EDITORIAL: Follow Us.(News)(Editorial)
May 18, 2009... The ubiquitous social networks that have sprung up in such abundance have migrated over to the business world. So, in an attempt to try to reach our audience anywhere they may be receptive to us, we've launched a presence on Twitter. ...

60 and Younger Purchasing Homes.(News)
May 18, 2009... Byline: Jennifer Harmon PARSIPPANY, NJ-According to a national survey from Coldwell Banker here, over half of those who work in popular retirement areas are seeing younger retirees (age 60 and under) looking to purchase homes in those...

Mortgages May Cause $100B Loss.(News)
May 18, 2009... WASHINGTON-In a hypothetical situation in which the economy is worse than expected over the next two years, the 19 bank holding companies that participated in federal "stress tests" would find first-lien mortgages to be responsible for about...

U.K. Market Sees Early Signs of Possible Recovery.(News)
May 18, 2009... LONDON-The United Kingdom has seen some early signs of a seasonal increase in consumer demand in various surveys, and markets may be stabilizing, but 2009 is still going to be "very, very tough,"said the chairman of the Council of Mortgage...