News By Edition

In a discussion with Dodd Frank Update, Zaid Shariff, SLK Global Solutions vice president – head of solution design and product implementation, shared how automated systems can improve efficiency and regulatory compliance for lenders.

“We’re looking at technologies that can help automate the testing process which ensures that controls are functioning and by doing that, ensuring that those issues are appropriately managed,” Shariff said.

For more details, read on.

The Federal Housing Finance Agency released its foreclosure prevention and refinance report for the first quarter of 2021.

The report shows how many foreclosure prevention actions were taken by the Fannie Mae and Freddie Mac during that time compared with the prior quarter and how loan modifications reduced borrowers’ payments, some of them by as much as 20 percent.

Read on for more details.

Although the national delinquency rate increased in May, the overall number of seriously delinquent loans continues to decline, Black Knight’s mortgage performance data showed.

The company attributed the increase to the “Sunday month-end” effect, where a month will end on a Sunday or federal holiday, resulting in fewer business days for payments to be processed at the end of the month.

Read on for more details.

AmeriSave Mortgage Corp. has hired a chief marketing officer (CMO), whose stated goal is to make the company a “trusted, household name.”

In addition to a new CMO, AmeriSave also hired a senior vice president of integrated marketing, a senior vice president of acquisition experience, and an individual to lead direct marketing efforts.

Read on for more details.

Freddie Mac elected a new member to its board of directors, one that brings “significant finance, capital markets, economics, and public policy expertise.”

Read on for more details.

The Mortgage Bankers Association endorsed the Black Homeownership Collaborative’s plan to close the Black homeownership gap by 2030.

Read on for more details.

In its sixth open meeting for 2021, the National Credit Union Administration approved a final rule removing the prohibition on the capitalization of interest in connection with loan workouts and modifications.

Read on for more details.

The U.S. Supreme Court sided with a lower court ruling determining the structure of the Federal Housing Finance Agency (FHFA) is unconstitutional.

“FHFA’s structure violates the separation of powers, and we remand for further proceedings to determine what remedy, if any, the shareholders are entitled to receive on their constitutional claim,” Justice Samuel Alito wrote in the Court’s majority opinion.

For more details from the case, read on.

In a 52-47 vote, the U.S. Senate voted to disapprove, i.e. rescind, the “true lender” rule finalized by the Office of the Comptroller of the Currency in October 2020. The House vote was 218-208.

The rule was initially implemented to clarify which entity the agency considers to be the lender when a national bank partners with a nonbank lender to determine what consumer protection laws apply.

Read on for more details.

U.S. Sen. Sherrod Brown (D-OH) wrote a letter to the acting Comptroller of the Currency Michael Hsu, asking him to review charters granted to cryptocurrency exchanges during the Trump administration.

As chairman of the U.S. Senate Committee on Banking, Housing, and Urban Affairs, Brown raised his concerns about the risk of granting charters to nonbank institutions and wrote about the need to protect consumers and the banking system.

Read on for more details.

Freddie Mac’s Primary Mortgage Market Survey shows the 30-year fixed-rate mortgage average has decreased. The survey focuses on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit.

Read on for more details. 

The Mortgage Bankers Association’s Builder Application Survey showed mortgage applications for new homes decreased in May 2021.

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The National Credit Union Administration’s annual report to Congress on the composition and financial performance of the minority deposit institutions supervised by the agency in 2020 shows the number of these credit unions increased, expanded their membership, and increased lending.

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The Federal Financial Institutions Examination Council has released the 2020 data on mortgage lending transactions reported under the Home Mortgage Disclosure Act.

Institutions included are banks, savings associations, credit unions, and mortgage companies. The data is used by industry, consumer groups, regulators, and others to assess potential fair lending risks.

Read on for more details. 

Fannie Mae published its Green Bond Impact Report, detailing how many green mortgage-backed securities it has issued, and the estimated environmental, social, and economic benefits of the issuances.

“We are proud to share the positive impacts enabled by Fannie Mae’s Green Bond Business and the role it continues to play in building more sustainable housing across the country,” Fannie Mae Senior Vice President and Head of Environmental, Social, and Governance Laurel Davis said.

For details from the report, read on.

The Mortgage Bankers Association released its quarterly report on commercial/multifamily mortgage debt outstanding, showing the level of debt outstanding rose in the first quarter of 2021.

“The pandemic-era growth in the amount of commercial and multifamily mortgage debt outstanding continued during the first quarter, but the growth was not evenly distributed,” Jamie Woodwell, MBA vice president of commercial real estate research, said.

Read on for more details.

Massachusetts-based mortgage lender New Fed Mortgage Corp. has been approved by the Tennessee Department of Financial Institutions to expand into that state with a “wide array” or mortgage programs.

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ICBA Services Network, the business services subsidiary of the Independent Community Bankers of America, appointed four board members to its board of directors.

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The Federal Deposit Insurance Corp.’s tech lab, FDITECH, launched a first-of-its-kind tech sprint to explore new technologies and techniques that could expand banks’ capabilities to meet the needs of unbanked individuals and households.

Read on for more details.

J.D. Power released its 2021 U.S. Consumer Lending Satisfaction study, which showed the consumer lending space was severely disrupted during the COVID-19 pandemic. Factors such as stimulus funding, record-high mortgage refinance volume, and a tenuous economy attributed to the disruption.

Even as these dramatic shifts occurred, the survey also showed traditional banks outperformed financial technology lenders on customer satisfaction.

Read on for more details.

Fannie Mae’s Economic and Strategic Research Group adjusted its growth expectations for full-year 2021 in its June commentary.

Additionally, the group downgraded their forecast for second and third quarter home sales. The housing supply struggles, it said, will likely be a key inflation driver over the next year and a half.

For more details, read on. 

ICE Mortgage Technology will integrate an eVault solution based on technology it acquired from DocMagic, Inc. into its mortgage closing platform.

For more details about the integration, read on.

Black Knight Inc.’s Mortgage Monitor report for April 2021 showed a new record for the home price growth rate, largely because of inventory challenges putting upward pressure on prices.

Read on for more details.

MISMO has launched an eMortgage Technology Certification Program, the organization announced.

To learn about the program, read on.

In its second quarter Mortgage Lender Sentiment Survey, Fannie Mae found its respondents expect profit margins to decrease as the year progresses.

“Despite elevated optimism toward the U.S. economy, lenders show a cautious outlook for their mortgage business,” Doug Duncan, Fannie Mae senior vice president and chief economist, said.

For more details from the survey, read on.

Ginnie Mae reported its mortgage-backed securities (MBS) issuance volume was over $75 billion in May 2021, continuing a ten-month streak.

“The consistency and utility of the Ginnie Mae MBS program are demonstrated every day by issuers and investors who choose the security in a competitive marketplace,” Ginnie Mae acting Executive Vice President Michael Drayne said.

Read on for more details.

The Mortgage Collaborative, the nation’s largest independent mortgage industry cooperative network, shared the results of its first “The Pulse of the Mortgage Industry” survey, which ranks mortgage lenders’ top concerns for 2021.

Responses were received from 598 executives from the co-op’s 234 lender members.

To learn about the list of lender concerns, read on.

Freddie Mac’s multifamily business will soon issue $230 million in social bonds to provide 1,267 rental homes across 39 states and the District of Columbia for individuals with intellectual and developmental disabilities.

Read on for more details.

AmeriSave announced it is using DocMagic’s document preparation solution and Total eClose platform to improve its digital mortgage efficiency.

For more details on the collaboration, read on.

The Federal Housing Finance Agency has issued a request for input on executive compensation at Fannie Mae, Freddie Mac, and the Federal Home Loan Banks.

Read on for more details.

The U.S. Government Accountability Office (GAO) was asked to review issues related to the Consumer Financial Protection Bureau’s oversight and enforcement of fair lending laws after the bureau completed a reorganization of its fair lending activities in 2019.

As a result of this study, the GAO recommended actions to address related challenges or unintended consequences.

Read on for more details. 

The Federal Housing Finance Agency published a first-of-its-kind dataset on mortgage risk from 1990-2019, which contains aggregated results using more than 200 million purchase-money and refinance mortgages.

The agency stated the data included in the revised working paper leads researchers to challenge some long-held assumptions about the impetus of the 2008 financial crisis.

Read on for more details.

Freddie Mac and Fannie Mae announced they have extended COVID-19 forbearance to qualifying multifamily property owners. It was set to expire June 30, 2021.

Should borrowers apply for a new forbearance or modification, there are requirements to notify tenants of certain protections, such as the moratorium on evictions for the nonpayment of rent.

Read on for more details.

The American Bankers Association named a chief economist and head of research.

Read on for more details.

Black Knight, Inc. has entered into a definitive agreement to purchase Top of Mind Networks, Surefire developer.

Read on for more details.

The Mortgage Bankers Association named an associate vice president of legislative affairs and an associate vice president of political affairs.

To learn who’s filling these roles, read on. 

The Consumer Financial Protection Bureau issued a report on manufactured housing financing. Although manufactured housing is a small segment of the overall housing supply, it is one of the most affordable to low-income consumers.

The report was based on new information added in 2018 to the list of Home Mortgage Disclosure Act data collected.

To learn what the report revealed, read on.

The Federal Housing Finance Agency’s recent report on Fannie Mae’s and Freddie Mac’s single-family credit risk transfers (CRT) focuses on securities issuance and insurance/reinsurance credit risk sharing vehicles, which account for about 90 percent of all CRT issuance to date.

The report estimates the historic and projected net costs of the organizations’ CRTs, discusses the performance of CRT vehicles during the COVID-19 pandemic, and identifies areas for further research and analysis.

Read on for more details.

The Federal Housing Finance Agency released Fannie Mae’s and Freddie Mac’s Duty to Serve (DTS) Underserved Market plans for 2022-2024, in accordance with the final rule issued in 2016 that implemented the DTS provisions.

Fannie Mae and Freddie Mac are required to serve three specified underserved markets: manufactured housing, affordable housing preservation, and rural housing.

Read on for more details.

The National Association of Federally-Insured Credit Unions (NAFCU) announced a new, members-only online community called the NAFCU ONES + CFPB Supervision Network.

Read on for more details.

The Consumer Bankers Association, along other organizations, announced a video series to highlight how small businesses and banks worked together during the COVID-19 pandemic and America’s economic recovery.

For more details, read on.

The Independent Community Bankers of America and its Minority Bank Advisory Council sent a letter to Treasury Secretary Janet Yellen and Federal Housing Finance Agency Director Mark Calabria voicing concerns about recent amendments to the Preferred Stock Purchase Agreements for Fannie Mae and Freddie Mac.

For details from the letter, read on.

The Consumer Bankers Association (CBA), along with five other organizations, released a report on the obstacles and viable solutions for improving financial inclusion, providing access to bank accounts to the unbanked, and reducing the use of high-cost non-bank financial products and services.

“The nation’s leading banks are uniquely positioned and committed to help ensure all Americans have access to safe and sound financial products,” CBA President and CEO Richard Hunt said.

For more details from the report, read on.

The Federal Housing Finance Agency is seeking input on a draft advisory bulletin that provides guidance on Federal Home Loan Banks’ investments in agency commercial mortgage-backed securities issued and guaranteed by either the U.S. government or one of the government-sponsored enterprises.

Comments are due to the agency by June 23, 2021.

Read on for more details. 

Freddie Mac’s Board of Directors appointed a new CEO, who began serving in his role June 1. Mark Grier, who served as interim CEO since March 16, 2021, resumed his duties as a full-time member of the board.

The housing industry veteran brings more than three decades of housing-industry experience to the role.

To find out who will be leading the company, read on.

MISMO, the real estate finance industry’s standards organization, updated its business glossary, including a new set of hashtags to help describe terms.

Read on for more details.

Freddie Mac has named a vice president of multifamily securitization.

To find out who, read on.

Fannie Mae’s Economic and Strategic Research Group revised its expectations for full-year 2021 economic growth.

Read on for more details.