News By Edition

During her remarks at the annual Mortgage Bankers Association’s conference in San Diego, acting Federal Housing Finance Agency (FHFA) Director Sandra Thompson announced two measures to advance housing sustainability and affordability.

“Today’s actions demonstrate that FHFA will continue to act purposefully and in dialogue with its stakeholders to minimize market disruption and ensure its regulated entities operate in a safe and sound manner,” Thompson said.

Read on for more details.

Congress confirmed Rohit Chopra as the new director of the Consumer Financial Protection Bureau in a 50-48 vote.

“Today’s mortgage market is the safest it has been in decades,” Mortgage Bankers Association (MBA) President and CEO Bob Broeksmit said. “MBA looks forward to working with Director Chopra to sustain this progress, protect consumers, and provide clarity and consistency in the guidance given to lenders.”

Read on for more details.

The Consumer Financial Protection Bureau (CFPB), U.S. Department of Justice (DOJ), and the Office of the Comptroller of the Currency have filed an action against Trustmark National Bank for alleged discrimination against Black and Hispanic families.

The CFPB and DOJ allege the bank discriminated by deliberately not marketing, offering, or originating home loans to consumers in majority-Black and Hispanic neighborhoods in the Memphis metropolitan area.

For more details about the action, read on. 

The Consumer Financial Protection Bureau (CFPB) ordered large technology companies operating payment systems in the U.S. to turn over information on their business practices.

The CFPB stated information on how these firms use personal payments data and manage data access to users will help the bureau ensure adequate consumer protection.

Read on for more details.

The Consumer Financial Protection Bureau, the Federal Deposit Insurance Corp., the Federal Reserve System, the Office of the Comptroller of the Currency, and the National Credit Union Administration issued a joint statement related to the upcoming discontinuation of the London Interbank Offered Rate (LIBOR).

The statement highlights the risks posed by a lack of preparation for this transition and asks those in the industry who have relied on LIBOR to continue efforts in using alternative reference rates.

Read on for more details. 

The National Association of Minority Mortgage Bankers of America (NAMMBA) and Howard Hanna Mortgage Services announced they have implemented a partnership to help affect positive change in the housing needs of undeserved communities.

“We’re extremely excited to partner with Howard Hanna Mortgage Services,” NAMMBA founder and CEO Tony Thompson said.

Read on for more details.

wemlo, a third-party mortgage processing solution that offers an all-in-one digital platform, plans to launch a Loan Brokering System.

The tool was developed to empower mortgage loan brokers with purpose-built loan software that understands the specifics of their business, compliance priorities, and workflows.

Read on for more details.

MISMO, the real estate finance industry’s standards organization, has issued a request for public comment on its new mortgage insurance estimated rate quote guide.

Comments will be due Dec. 20, 2021.

Read on for more details.

The Government Accountability Office (GAO) is required to periodically report on the loans, loan guarantees, and investments out of the funds appropriated under section 4003(b)(4) of the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

In its most recent report, the GAO found while the CARES Act programs helped improve liquidity and access to credit in the targeted markets, vulnerabilities still remain.

Read on for more details.

Freddie Mac has purchased a loan to finance Seal Beach Shores MHC, a manufactured housing resident-owned community in Seal Beach, Calif., about 30 miles south of Los Angeles.

The loan will support 125 affordable housing units in a community with a newly renovated clubhouse, laundry room, picnic area, and on-site leasing office.

Read on for more details. 

HomeBinder, a home management platform that keeps homeowners connected with professionals in the housing industry, has released new features to enhance consumer engagement in digital home management.

The company works to support homeowners on their ownership path and creates opportunities for repeat and referral business for those lenders, home inspectors, insurance providers, home professionals, and real estate agents involved.

Read on for more details. 

SimpleNexus has acquired LBA Ware, a Macon, Georgia-based software company.

The transaction brings together 325 employees in 29 states to serve 425 distinct lender customers and many mortgage technology integration partners.

Read on for more details. 

A mortgage industry veteran with over 40 years of experience has launched a new mortgage consultancy business called Mortgage Advisory Partners.

The new venture will focus on mortgage bankers, mortgage brokers, banks, home builders, and real estate agents to improve their mortgage-related business.

Read on for more details.

On the same day Rohit Chopra was sworn in as the director of the Consumer Financial Protection Bureau, he wrote a letter to his staff, the board of governors of the Federal Reserve System, board of directors of the Federal Deposit Insurance Corp., and members of the Financial Stability Oversight Council.

In his letter, Chopra emphasizes the bureau’s focus on protecting consumers during a fragile economic time for the U.S.

For more details from his correspondence, read on.

U.S. Sen. Sherrod Brown (D-OH), chairman of the U.S. Senate Committee on Banking, Housing, and Urban Affairs, wrote a letter to Federal Reserve Chair Jerome Powell requesting the Fed make no more movements toward deregulating the banking industry until President Joe Biden announces his nominees for upcoming board terms.

The letter came after it was announced Federal Reserve Vice Chair for Supervision Randal Quarles’ term ended. Quarles will remain a governor at the Fed.

For details from the letter, read on.

In a consumer research survey conducted by Freddie Mac, it was found the homeownership goals of single female heads of households were disrupted by the pandemic.

A majority of those surveyed who are currently renters indicated they feel homeownership is out of reach indefinitely, illustrating the national emergency’s impact on those most economically vulnerable.

Read on for more details.

Snapdocs, Inc. launched a new closing quality control solution designed to eliminate errors from digital mortgage closings.

The company said the solution is powered by artificial intelligence and ensures a more efficient closing process for lenders and a “superior” experience for their borrowers.

Read on for more details.

WFG Enterprise Solutions, part of the Williston Financial Group family of companies, has announced its WFG MyHome Funder Dashboard now is available to regional and national mortgage lenders.

The dashboard should give loan funders and closing personnel insight into a loan’s status during the closing process in real-time.

Read on for more details.

Freddie Mac is planning to offer at least $3 billion in single-family affordable housing bonds, the company announced.

“Freddie Mac is committed to creating additional opportunities for families to access quality housing – and today we are announcing a major action in support of that goal,” Freddie Mac CEO Michael DeVito said.

Read on for more details.

The Federal Housing Finance Agency (FHFA) announced the multifamily loan 2022 purchase caps for Fannie Mae and Freddie Mac.

The caps are based on the FHFA’s projections of the overall growth of the multifamily originations market. The agency also changed certain definitions of multifamily mission-driven affordable housing in Appendix A of the conservatorship scorecard.

Read on for more details.

The Federal Housing Finance Agency released the report on the Federal Home Loan Banks’ (FHLBanks) low-income housing and community development activities in 2020.

The report addresses the FHLBanks’ activities to support low-income housing and community development through statutorily mandated affordable housing programs and community investment programs, and voluntary community investment cash advance program.

Read on for more details.

Securities and Exchange Commissioner (SEC) Caroline Crenshaw delivered remarks at SEC Speaks, a two-day program presented by the agency in cooperation with the Practicing Law Institute.

Crenshaw spoke about the potential benefits of digital assets, and what needs to be done to promote innovation, develop markets both accessible and resilient, and provide appropriate investor protections.

Read on for more details.

Snapdocs, Inc. has announced a new program to empower lenders and give them the ability to more readily adopt eMortgages.

The company’s solution provides turnkey technology combined with expert eMortgage implementation and change management support, the company announced.

Read on for more details.

Mortgage Capital Trading, Inc., a mortgage hedge advisory and secondary marketing software firm based in San Diego, welcomes a new senior director of mortgage servicing rights services.

He will be responsible for assisting company clients achieve their mortgage servicing goals.

Read on for more details.

Sales Boomerang released its Q3 2021 Mortgage Market Opportunities Report.

The report offers insight into the frequency of 11 of today’s top market opportunities for mortgage lenders.

Read on for more details.

In a letter to Rohit Chopra, the newly confirmed director of the Consumer Financial Protection Bureau (CFPB), the Consumer Bankers Association (CBA) asked the regulator to mitigate the growing risk of consumer harm in the financial technology (fintech) lending market.

Fintechs now issue nearly half of all personal loans, and CBA President and CEO Richard Hunt said it is time for the CFPB to use its tools to facilitate a level playing field and competitive markets for consumer financial products.

Read on for more details.

The Consumer Financial Protection Bureau filed a complaint and a proposed consent order against American Advisors Group, a reverse mortgage lender which allegedly used inflated and deceptive home estimates to lure consumers into taking out reverse mortgages.

The bureau also alleged the company violated a 2016 administrative consent order.

For more details about the alleged violation, read on.

Acting Comptroller Michael Hsu addressed the Women in Housing and Finance public policy luncheon in Washington, D.C.

During his remarks, Hsu spoke on making “real, meaningful, and lasting change” to promote diversity and inclusion in the financial services sector. He spoke about personal experiences, statistics, and what his agency is doing to address the issue.

Read on for more details.

Freedom Mortgage is continuing to offer its borrowers free access to nonprofit and government resources through SpringFour, a social impact financial technology (fintech) company.

The fintech’s self-service financial wellness platform provides access to resources from more than 20,000 local, government, and nonprofit entities.

Read on for more details.

Keefe, Bruyette & Woods, a specialist investment bank to the financial services and financial technology (fintech) sectors and a wholly owned subsidiary of Stifel Financial Corp., has hired two managing directors in its fintech and financial services investment banking group.

The two will focus on emerging mortgage technology and related sectors.

Read on for more details.

The Federal Housing Finance Agency is restructuring its Common Securitization Solutions board to better align its corporate governance structure with its core mission.

Matthew Feldman will be the interim chair of the board of managers.

Read on for more details.

At a meeting with the Blockchain Association, acting Comptroller of the Currency Michael Hsu addressed cryptocurrencies, decentralized finance (DeFi), and their role in today’s financial industry.

“Those in traditional finance may laugh at this,” Hsu said. “But crypto/DeFi is able to pose a threat to the status quo because many people feel ignored, taken for granted, or exploited by banks.”

Read on for more details.

The Federal Housing Finance Agency released a report on Fannie Mae and Freddie Mac’s (the Enterprises) foreclosure prevention, refinance, and mortgage performance efforts for the second quarter of 2021.

Over the second quarter, the Enterprises completed 217,020 foreclosure prevention actions, bringing the total to over 6 million since the beginning of the conservatorships.

Read on for more details.

National Credit Union Administration Chairman Todd Harper wrote to the boards of directors and chief executive officers of federally insured credit unions on the end of pandemic-era protection programs for homeowners.

The letter provides the addressees with information for compliance in relation to these programs, including deadlines for some and what credit unions can continue to do to assist its customers.

Read on for more details.

Infosys will collaborate with Frost Bank to provide “strategic business consulting and digital capabilities” to enable the bank to offer mortgage loans along with its other products.

Infosys will help design the bank’s mortgage loan process end-to-end.

Read on for more details.

The Federal Housing Finance Agency’s housing price index showed an increase in prices in July, up both month-over-month and year-over-year.

“Record appreciation rates for the U.S. continued in July,” Lynn Fisher, FHFA deputy director of the division of research and statistics, said in a release.

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Federal Trade Commission Chair Lina Khan appointed two to director positions in the agency – one will head the bureau of competition, and the other the bureau of consumer protection.

Both candidates had been serving in these roles in an acting capacity since June 2021. The commission votes on their appointments were unanimous.

Read on for more details.

As part of the American Families Plan, President Joe Biden has proposed a change to the framework of Form 1099-INT reports, requiring additional information to be included for certain businesses and personal accounts over a de minimis gross threshold.

The change is part of a plan to bolster the Internal Revenue Service, close the tax gap, and increase taxpayer voluntary compliance with tax payments.

To learn how industry groups are reacting, read on.

The Federal Housing Finance Agency and the U.S. Department of Housing and Urban Development (HUD) made clarifications to Freddie Mac’s policies on purchase mortgages secured by a property owned by an individual and rented to a group home for persons with disabilities.

The clarification was in response to a HUD investigation, where a mortgage lender refused to lend to a property owner who was renting to a company operating a group home.

Read on for more details.

United Wholesale Mortgage has launched a new self-service platform that enables qualified borrowers to get an initial approval in just 15 minutes.

It uses data extraction, auto document recognition, and smart technology to input information from items such as driver’s licenses, income statements, and county records.

Read on for more details.

The Federal Housing Finance Agency has extended COVID-19 forbearance to qualifying multifamily property owners as needed.

The program was set to expire Sept. 30, 2021.

Read on for more details.

The Consumer Financial Protection Bureau has appointed new members to its Consumer Advisory Board, Community Bank Advisory Council, Credit Union Advisory Council, and Academic Research Council.

Each committee advises the bureau on a range of issues and market trends.

Read on for more details.