National Mortgage News articles from November 2008

National Mortgage News archives from November 2008

MRG Adapting to Rapid Change.
November 1, 2008... Byline: James Comtois DALLAS-The mortgage industry is seeing huge changes and as a result will have to make huge changes. With the banking industry in turmoil and compliance and fraud becoming increasingly crucial factors, the mortgage...

Hope Now Sees Record Monthly Workouts.(Affordable Housing)
November 3, 2008... WASHINGTON-Hope Now, the foreclosure prevention alliance of mortgage servicers, counselors, investors and the broader mortgage industry, said it has helped nearly 2.5 million homeowners stay in their homes. In September alone, Hope Now...

Study: Incomes Fail to Keep Pace with Rising Housing Costs.(Affordable Housing)
November 3, 2008... Byline: Amilda Dymi WASHINGTON-Higher living costs indicated by large increases in a wide variety of housing expenses other than higher mortgage costs are impacting both homeowners and renters' ability to cope with the current economic...

BoA Happy with CFC.
November 3, 2008... Byline: Kate Berry, American Banker CHARLOTTE, NC-Several months after Bank of America Corp. here bought Countrywide Financial Corp., the nation's largest mortgage lender, the executive in charge of integrating the two companies says her...

GMAC AsksBank Status.
November 3, 2008... NEW YORK-General Motors Acceptance Corp. - whose residential mortgage division is struggling with liquidity issues - wants to become a bank holding company. In a statement, GMAC said that as a BHC it would have "expanded opportunities for...

Will MIs Use TARP?
November 3, 2008... Byline: Paul Muolo WASHINGTON-Now that Treasury is handing out TARP investment money to insurance companies (or about to), speculation is beginning to center on the nation's seven mortgage insurance companies. According to a new...

PNC May Unload National City's Scratch and Dent Portfolio.(Special Report: Scratch & Dent)
November 3, 2008... Byline: Ted Cornwell PNC Financial Services here bought National City Corp., Cleveland, for its deposit base, and the bank has had little enthusiasm for the mortgage industry since selling its mortgage subsidiary to Washington Mutual eight...

Some Packages Tailored for Specific Buyers Are Selling.(Special Report: Scratch & Dent)
November 3, 2008... Byline: Bonnie Sinnock New government programs designed to help market participants move the problematic mortgage-related assets at the heart of the market's recent crisis, such as the Troubled Asset Relief Program, have been helping...

Lawmakers Speak Out.(Special Report: Scratch & Dent)
November 3, 2008... WASHINGTON-Lawmakers are outraged at the fact that two hedge funds, Greenwich Financial Services and Braddock Financial Corp., have warned mortgage service companies that they might take action against them if they participate in a government...

Buying Scratch and Dent: Creative Marketing.(Special Report)
November 3, 2008... The "scratch-and-dent" market has largely been log-jammed but the government has begun implementing a $700 billion rescue package for the capital markets as well as offering other aid that some think already have started to re-energize it to...

Ex-HUD Chiefs Defend Policies.
November 3, 2008... Byline: Lew Sichelman MIAMI BEACH, FL-Uncle Sam has been widely criticized for pushing people into homeownership when they weren't ready. But an all-star panel of former HUD secretaries from both sides of the political aisle argued here...

Lockhart: Congress Was Too Late to Save the GSEs.
November 3, 2008... Byline: Lew Sichelman MIAMI BEACH, FL-Fannie Mae and Freddie Mac might have been able to withstand the rigors of the marketplace had lawmakers answered earlier pleas to place the government-sponsored enterprises under a more powerful...

Volcker Sees Big Recession.
November 3, 2008... Byline: Lew Sichelman MIAMI BEACH, FL-Before Ben Bernanke, before Alan Greenspan, there was Paul Volcker. Appointed Federal Reserve Board chairman by President Carter in 1979 and reappointed by President Reagan, Mr. Volcker is largely...

CRE Vacancies Continue to Rise.(Commercial Mortgages)
November 3, 2008... Byline: James Comtois BOSTON-The U.S. office market trudged sluggishly through the third quarter, posting the fourth consecutive quarterly rise in vacancies, according to the quarterly office report from global real estate services firm...

REITs Have 'Adequate' Liquidity.(Commercial Mortgages)
November 3, 2008... NEW YORK-The liquidity of U.S. equity real estate investment trusts remains adequate, according to Fitch Ratings. The Fitch report, "Liquidity of U.S. Equity REITs Remains Adequate Despite Market Inactivity," states for the quarter ended...

Wood Secures CRE Financing.(Commercial Mortgages)
November 3, 2008... CORAL GABLES, FL-Thomas D. Wood and Co., a Strategic Alliance Mortgage LLC member here, secured financing in the amount of $5.8 million for Handy Storage and Discount Mini-Storage. Both properties were financed through Thomas D. Wood and Co.'s...

CRE Mortgage Market Seizes Up.
November 3, 2008... Byline: Lew Sichelman MIAMI BEACH, FL-The commercial real estate sector is at a virtual standstill, with lenders on one sideline and borrowers on the other, each waiting for the right investment opportunity, specialists said at the Urban...

GSE Preferred Exposure Trims Community Banks' Earnings.(Equities)
November 3, 2008... Byline: Ted Cornwell NEW YORK-The American Bankers Association estimates that 27% of commercial banks hold preferred stock in the GSEs and that the industry's total exposure to these preferred shares is $10 billion to $15 billion. The...

Fannie Capital Halved?
November 3, 2008... Byline: Brian Collins WASHINGTON-Now that Fannie Mae is in a government conservatorship - and unlikely to be profitable anytime soon - the mortgage giant plans to write off substantially all of its "deferred tax assets," which could cut...

FDIC's Loan Modification Plan Gains Traction.
November 3, 2008... Byline: Brian Collins WASHINGTON-Treasury and FDIC officials are making progress on developing a loan modification program that relies on government guarantees to help up to 3 million homeowners avoid foreclosure. Certain details of...

HMDA Taps Freddie's Rate Survey to Measure 'High Cost'.
November 3, 2008... WASHINGTON-Mortgage lenders will begin using a new benchmark for classifying higher-cost subprime loans in their annual Home Mortgage Disclosure Act reports next October. Under a final rule approved by the Federal Reserve Board, lenders...

Title, MI Firms Suffer in 3rd Qtr.
November 3, 2008... Byline: Brad Finkelstein NEW YORK-So far, the news has been pretty bad from the three title companies, one mortgage insurer and one company that does both who have reported results for the third quarter. The hardest hit might be MGIC...

OPEN FORUM: Turmoil in the Credit Markets.
November 3, 2008... Conditions in the financial markets in recent weeks have shaken the confidence of people around the world in their financial systems. Losses in the stock markets have reduced the valuations of publicly traded companies and have imposed losses...

PNC Mum on Mortgage Plans.
November 3, 2008... Byline: Ted Cornwell PITTSBURGH-PNC Financial Services, which has limited participation in the mortgage space, may be wading back into the game with its purchase of National City Corp. But don't bet on it. In a conference call,...

PEOPLE.
November 3, 2008... CALIFORNIA San Diego-Plaza Home Mortgage Inc. said that Deborah Robertson has joined the company as sales manager, tasked with business development in the New York and New Jersey markets. Ms. Robertson began her mortgage lending career...

Rates Don't Play the Same Role They Used to in Market.(Street Smarts)
November 3, 2008... Byline: Bonnie Sinnock The federal funds rate's decline to 1% is unlikely to spur mortgage origination the way it did the last time it was at this level, and players in this market may find it worthwhile to take into account the changed...

Home Equity Surprise at Valley.
November 3, 2008... WAYNE, NJ-Valley National Bancorp here finds itself in an enviable position among home-equity lenders. At a time when most banks are reeling from high overdue rates, just 15 of Valley National's 15,400 home-equity loans are 30 or more days past...

Homeowners in Denial about Value Drop.
November 3, 2008... SEATTLE-Half of U.S. homeowners believe their homes are insulated from the national decline in property values, according to Zillow's third-quarter homeowner confidence survey. But Zillow said nearly 75% of homes have actually lost value...

EDITORIAL: The Challenges Ahead.(Editorial)
November 3, 2008... Tomorrow's national election affords Americans the chance to make a statement about who they blame for the current financial morass and how they'd like our national leaders to proceed in order to clean it up. It seems clear they should vote...

Banks Post Mortgage Losses.(Financial report)
November 3, 2008... Byline: Brad Finkelstein NEW YORK-Two commercial banks said their mortgage operations were unprofitable for the third quarter. At two of the institutions, that was the catalyst for losses at the corporate level. Only the largest of the...

Volumes Fall for Most.
November 3, 2008... Byline: Paul Muolo WASHINGTON-Suffering from decimated home values and a lack of customers - not to mention no secondary market for nonprime - mortgage bankers saw their loan volumes fall by 9% in the third quarter, according to...

Fannie Gives Loans 'Second Look'.
November 3, 2008... Byline: Brian Collins WASHINGTON-Fannie Mae is undertaking an ambitious effort to prevent foreclosures by conducting last-minute reviews of at-risk borrowers to see if something can be done to keep them in their homes. Fannie employees...

Moratorium for CA?
November 10, 2008... Byline: Paul Muolo SACRAMENTO, CA-California Gov. Arnold Schwarzenegger has proposed a 90-day moratorium on owner-occupied homes where a "notice of default" has been filed. The moratorium is part of a larger relief package for the...

Doubts Rise On ResCap.
November 10, 2008... Byline: Bonnie Sinnock NEW YORK-GMAC Financial Services expressed some doubt about its ResCap's mortgage unit's future in preliminary third-quarter results that show a substantial net loss at ResCap is likely to be the main contributor to...

Builder Says Financing Remains Plentiful.
November 10, 2008... Byline: Jennifer Harmon EDISON, NJ-Despite national media reports, there is plenty of mortgage money available for New Jersey and New York homebuyers with verifiable incomes and assets and good credit, according to officials at K....

JPM Follows FDIC on Loan Mods.
November 10, 2008... Byline: Ted Cornwell NEW YORK-JPMorgan Chase & Co., following a precedent set by the FDIC to resolve troubled home loans at IndyMac, has unveiled the parameters of relief being offered to help restructure home loans to discourage troubled...

IBM Continues to Flesh Out Its Automated BPO Offering.(Technology)
November 10, 2008... Byline: Anthony Garritano SAN FRANCISCO-As lenders look more and more to outsource non-core tasks, IBM continues to flesh out its list of fulfillment services. A recent IBM-conducted survey that sampled senior mortgage executives at a...

Correspondents 'Not Dead'.
November 10, 2008... Byline: Paul Muolo WASHINGTON-Even though several major wholesale lenders have exited the channel or severely cut back their operations, there appears to be some life left in the correspondent market, according to an upcoming report. ...

Cities Pressure Lenders on REO Management.
November 10, 2008... Byline: Jennifer Harmon HOLLYWOOD, FL-Shelley Kaye, president of REOMAC, says it's almost adversarial the way cities are approaching lenders and owners of real estate-owned properties. She agreed with speakers on a panel at the REOMAC...

Zaio Pulls the Plug.
November 10, 2008... NEW YORK-Zaio Corp. of Canada has abruptly pulled the plug on its U.S. property database unit, dismissing its top officers. The end came about a week ago when Zaio issued a press release confirming the shutdown. The company said that...

Homebuilding Weakens Again.
November 10, 2008... Byline: Jennifer Harmon BLOOMFIELD HILLS, MI-Uncertainty and volatility in the capital markets, higher unemployment and a weaker economy provided further downward pressure on the housing market in the third quarter, which is pushing many...

Seacoast Sees Higher Credit Losses.
November 10, 2008... STUART, FL-As a result of elevated nonperforming assets, which produced higher net charge-offs and legal fees, Seacoast Banking Corp. reported a net income loss for the third quarter of $3.4 million, compared to $285,000 for the third quarter a...

Bond Insurers Look to TARP.
November 10, 2008... Byline: Bonnie Sinnock NEW YORK-Exposures to problematic second-lien mortgage assets contributed to significant third-quarter net losses at two bond insurers last week, intensifying pressures on the companies and their interest in...

Champion Funds REO for 'Partners'.
November 10, 2008... Byline: Paul Muolo DALLAS-Champion Mortgage here is expanding its REO financing program to include servicing firms that are trying to sell foreclosed properties. Champion, a brand owned by Nationstar Mortgage, is focusing its...

Some CA Markets Drop 60%.
November 10, 2008... Byline: Ted Cornwell ARLINGTON, VA-The housing downturn in once-strong Northern California is spreading from the exurbs to once-higher-priced communities nearer to the region's major cities, according to analysts at FBR Capital Markets...

Flagstar's Loss Widens on Charges.
November 10, 2008... Byline: Brad Finkelstein TROY, MI-Blaming "several significant credit and asset disposition charges," Flagstar Bancorp Inc., Troy, Mich., lost $62.1 million, or $0.79 per share, in the third quarter, compared with a net loss of $32.1...

Genworth Loses $258 Million.
November 10, 2008... RICHMOND, VA-Genworth Financial Inc. here had a loss for the third quarter of $258 million, or $0.60 per share, compared with income of $339 million, or $0.76 per share, one year prior. This reflected net investment losses of $478 million,...

Ginnie Volume Slips in September.
November 10, 2008... Byline: Brian Collins WASHINGTON-Ginnie Mae guaranteed the issuance of $27 billion in mortgage-backed securities in September, down slightly from the record of $29.1 billion set in August. September's total represents the first monthly...

Couch Leaves HUD Job.
November 10, 2008... WASHINGTON-Former Mortgage Bankers Association chairman Robert Couch has left the Department of Housing and Urban Development where he served as general counsel for the past two years. HUD secretary Steve Preston appointed Michael Flynn to...

MI Volume Falls To Record Low.
November 10, 2008... WASHINGTON-For the second consecutive month, the amount of new primary mortgage insurance written by the members of the Mortgage Insurance Cos. of America was at the lowest point since the group adopted its current reporting methodology. ...

7.5 Million Home Loans Underwater.
November 10, 2008... Byline: Paul Muolo WASHINGTON-If you're looking for any bright signs in the housing market, don't read the new negative home equity report by First American CoreLogic. It's not pretty. Analyzing public deeds of trust filed in county...

'No Paws Left Behind' Expands Education.
November 10, 2008... Byline: Amilda Dymi HOUSTON-Since its launch earlier this year, No Paws Left Behind Inc., the nonprofit dedicated to providing assistance for pets left behind by foreclosed homeowners, continues to expand its crisis resolution footprint...

OPEN FORUM: Policy Landscape Has Changed.
November 10, 2008... I understand this session is about the "political landscape." While it is central to our thinking during an election season, the issues our country is facing complicated and twist that landscape in unexpected ways. We are in new territory....

PEOPLE.
November 10, 2008... CALIFORNIA San Diego-Plaza Home Mortgage Inc. said that Madonna Burns has joined the company in the position of account executive in its newly opened Chicago branch. Most recently with Webster Bank, Ms. Burns began her mortgage career...

Radian Surprises with Return to Profitability in Third Quarter.
November 10, 2008... Byline: Brad Finkelstein NEW YORK-In a surprise, the Radian Group Inc., Philadelphia, bucked the trend of its competitors in the mortgage insurance business and reported positive results for the third quarter. But as one analyst who...

Partnership Offers New MI Option.
November 10, 2008... Byline: Amilda Dymi PHILADELPHIA-Radian Guaranty here has entered into a partnership with the New York Loan Exchange, where the mortgage insurer's products will be incorporated into NYLX's mortgage pricing and eligibility engine. "For...

CA Wholesaler Pulls Out of FL.
November 10, 2008... MILPITAS, CA-Reunion Mortgage, a national wholesaler based here, has pulled out of Florida, abruptly closing its office in Tampa. A company official confirmed the shutdown to National Mortgage News. "Yes, we're closed," he said last...

Longtime NMN Correspondent Dies.
November 10, 2008... Byline: Brad Finkelstein NEW YORK-Georgia Steele, who worked as a correspondent for National Mortgage News and its affiliated publications for nearly 20 years, died from injuries received in an automobile accident in her hometown of...

U.S. Players Should Take Note of Global Market Actions.(Street Smarts)
November 10, 2008... Byline: Bonnie Sinnock Given that the U.S. mortgage market participant's biggest problem today - the global credit crunch - goes far beyond the industry and into international markets, it seems worth considering other countries' strategies...

UBS Profits Despite Taking Big Writedowns.(Financial report)
November 10, 2008... ZURICH, Switzerland-UBS AG's final third-quarter results matched earlier estimates showing the company took $4.4 billion in primarily mortgage-related writedowns during the profitable fiscal period, but the company may reverse some of its gains...

EDITORIAL: Regaining Trust.(Editorial)
November 10, 2008... Mortgage Bankers Association chairman David Kittle had some good advice for industry leaders at the recent MBA convention in San Francisco when he told them they must regain their borrowers' trust. Mr. Kittle's advice on higher ethical...

Challenges For GSEs Didn't End with Takeover.
November 10, 2008... Byline: Steven Sloan, American Banker WASHINGTON-Two months after the government seized Fannie Mae and Freddie Mac, not much has changed. Both government-sponsored enterprises have new chief executives, but the conservatorship that...

Fraud Settlements Coming Soon?
November 10, 2008... WASHINGTON-Federal law enforcement officials are getting closer to making settlements in several mortgage and securities fraud investigations that were started in the summer of 2007, according to one litigator watching the cases. "There...

New Activism on Mortgages.
November 10, 2008... Byline: Brian Collins WASHINGTON-The mortgage industry is going to face more pressure to modify loans and prevent foreclosures with Barack Obama in the White House and larger Democratic majorities in the House and Senate. The...

Fannie Reinstates Counseling Requirement.(Affordable Housing)
November 17, 2008... Byline: Amilda Dymi WASHINGTON-Fannie Mae has reinstated a mandatory homeownership counseling and education requirement for first-time homebuyers interested in qualifying for its MyCommunityMortgage loan or nontraditional credit profile...

Streamlining Mods at Citi.
November 17, 2008... Byline: Ted Cornwell NEW YORK-Last week, as the government-sponsored enterprises unveiled new details about their streamlined loan modification procedures, Citi joined other lenders in offering streamlined workouts to home loan borrowers...

Correction.(Correction notice)
November 17, 2008... In a previous column I incorrectly referred to Hope for Homeowners loan program as the Home for Homeowners program. Please note the former is the correct.

Fannie Having Debt Woes.
November 17, 2008... Byline: Brian Collins WASHINGTON-After operating in a government conservatorship for two months, Fannie Mae is now concerned about its ability to finance its operations and rollover debt. The mortgage giant - which continues to buy...

HUD IG Seeks Jail Time for Those Responsible for Meltdown.
November 17, 2008... Byline: Lew Sichelman LAS VEGAS-The top cop within the Department of Housing and Urban Development thinks those responsible for the mortgage market meltdown should serve time in a federal penitentiary. "Justice needs to be served,"...

Builders Remain Primarily in Defensive Operating Mode.(Home Builders)
November 17, 2008... Byline: Jennifer Harmon DALLAS-As a result of extreme weakness in the housing market, homebuilders remain in a primarily defensive operating mode, focusing on generating cash, reducing debt levels and expenses. For the second quarter ended...

DB Writedowns Continue in 3Q.(International Mortgage)
November 17, 2008... FRANKFURT, Germany-Deutsche Bank saw 1.2 billion euros ($1.5 billion) of partially mortgage-related writedowns in the third quarter but was able to record a net profit under recent European Union-endorsed accounting changes. The writedowns...

LandAm Plans Merger with FNF.
November 17, 2008... Byline: Brad Finkelstein RICHMOND, VA-LandAmerica Financial Group Inc. here lost $566 million ($39.45 per share) for the third quarter as a result of a "market-value-driven, non-cash writedown of goodwill, other intangible assets, certain...

Leading Realtors.
November 17, 2008... Byline: Lew Sichelman ORLANDO, FL-It took the United States 219 years to elect a black president. It took the National Association of Realtors only 100. Charles McMillan, a Texas Realtor for more than 20 years, will lead the...

NAR Members Give FHFA Director an Earful.
November 17, 2008... Byline: Lew Sichelman ORLANDO, FL-James Lockhart has been making the rounds lately. Last month, the director of the Federal Housing Finance Agency spoke to the Mortgage Bankers Association in San Francisco and the Urban Land Institute...

Realtors Believe Obama Will Help with Emphasis on Housing.
November 17, 2008... Byline: Lew Sichelman ORLANDO, FL-The nation's real estate professionals are expecting big things from the new president. And so, it appears, is a big share of the general public. "If history is any indication, chances are pretty good"...

NAR Puts Buydown on Loan Rates First on Political Agenda.
November 17, 2008... Byline: Lew Sichelman ORLANDO, FL-The politically powerful National Association of Realtors is marshaling its considerable forces in an effort to jumpstart the moribund housing market. Here at NAR's annual convention earlier this...

Finding Funding On the First Try.
November 17, 2008... ORLANDO, FL-It's tough to get approved for a mortgage these days, right? Maybe lately. But not for the vast majority of homebuyers who applied for financing as recently as June. According to the National Association of Realtors' annual...

Realtors May Start a Credit Union to Finance Homebuyers.
November 17, 2008... Byline: Lew Sichelman ORLANDO, FL-Could the National Association of Realtors be creating a new source of financing for homebuyers? It's certainly a possibility, if the group's 1.2 million members and their families start parking their...

Site Points to Some Improvement in Housing.
November 17, 2008... Byline: Lew Sichelman ORLANDO, FL-If Internet activity is any evidence, a housing rebound might be just around the corner. Traffic at Realtor.com, which claims to be the nation's top homes-for-sale website, was up in July, up in August...

NEWS ANALYSIS: Eyeing TARP's Change.
November 17, 2008... Byline: Paul Muolo WASHINGTON-Now that the Treasury Department has chucked the idea of buying "troubled" mortgages to revive the credit markets, it is turning to a revival in asset-backed securities to cure the nation's ailing economy. But...

Examining RESPA Rule.
November 17, 2008... Byline: Ted Cornwell WASHINGTON-After 30 years of controversy, HUD has actually published new regulations covering the Real Estate Settlement Procedures Act. But don't expect the new rule to settle some of RESPA's thornier debates...

Celink's AddsInstant Access.(Special Report: Mortgage Servicing)
November 17, 2008... LANSING, MI-Celink, the nation's largest subservicer of reverse mortgages, has unveiled its new Client Data Portal, which allows reverse mortgage clients to retrieve standard reports, make ad-hoc queries on their portfolio database, create new...

Fortress Taps Quicken for Loan Aid.(Special Report: Mortgage Servicing)
November 17, 2008... NEW YORK-Fortress Investment Group, which bought several subprime mortgage firms before the industry crisis erupted, has created a joint venture along with Quicken Loans to create a comprehensive refinancing and loan modification program. ...

Vendor Eyes Servicing Clients.(Special Report: Mortgage Servicing)
November 17, 2008... Byline: Ted Cornwell LenderLive Network, a provider of private-label origination services and technology, has found a new source of business growth: the servicing sector of the mortgage industry. Responding to increased demand for...