News By Edition

Everyone in the mortgage industry has a story about how they got in the game, and it rarely begins with “I wanted to be in mortgage/banking/finance since I was a kid.” For Tai Christensen, her story starts with her great-grandmother’s journey to buy a house and what that homeownership meant for the rest of her family.

Christensen is the chief diversity officer and director of governmental affairs at the Chenoa Fund, offered by CBC Mortgage Agency. The Chenoa Fund is a tribally owned, federally chartered governmental agency that works toward increasing affordable and sustainable homeownership opportunities nationwide for all creditworthy, low-to-moderate income individuals.

For more from Christensen, read on. 

Danny Yen, owner of Real Estate Educational Services and defendant in a multi-state lawsuit, has settled with the California Department of Financial Protection and Innovation, Maryland’s Office of the Commissioner of Financial Regulation, and the Oregon Division of Financial Regulation.

The settlement relates to a scheme where Yen fraudulently reported loan originators (LOs) completing required education courses. He also sat for courses in LOs’ stead, for a fee.

Read on for more details.

Fathom Holdings Inc.’s subsidiary Encompass Lending Group has acquired Cornerstone First Financial, a residential mortgage lender.

The acquisition is expected to be immediately accretive. Other terms of the transactions were not disclosed.

Read on for more details.

Black Knight, Inc.’s Origination Market Monitor Report showed a sharp increase in 30-year mortgage interest rates over the first weeks of 2022.

The average rate recorded at the end of January climbed over 40 basis points to hit the highest point since March 2020.

Read on for more details.

Stavvy’s new suite of tools and workflows on its online platform will support a more secure, transparent, and compliant foreclosure process, the company said.

Stavvy Head of Industry and Regulatory Affairs Angel Hernandez said the time is now to modernize all facets of the mortgage lifecycle to better serve people.

Read on for more details.

Freddie Mac welcomes two to its board of directors, one to serve on the audit committee and nominating governance committee, and the other on the operations and technology committee and risk committee.

The first retired as managing director of the Global Fixed Income Investment Team at BlackRock, Inc., in 2021, and the second has been the CEO of Hayden Consulting LLC since 2012.

Read on for more details. 

Freddie Mac issued its fourth quarter and full-year 2021 financial report, showing the company experienced a net income of $2.7 billion for the fourth quarter of 2021, and a total $12.1 billion for the full year.

During this time, Freddie Mac made a home possible for nearly five million households.

For more details from the report, read on.

The Federal Housing Finance Agency (FHFA) is requesting input on its strategic plan for 2022-2026.

The draft outlines the agencies priorities for the coming years as regulator of the Federal Home Loan Bank system and conservator of Fannie Mae and Freddie Mac. It focuses on securing the regulated entities’ safety and soundness; fostering housing finance markets by promoting equitable access to affordable and sustainable housing; and responsibly stewarding the FHFA’s structure.

Read on for more details.

The Federal Deposit Insurance Corp. (FDIC) has approved three new corporate officers to serve as chief of staff, chief operating officer, and general counsel.

Acting FDIC Chairman Martin Gruenberg said the three bring deep knowledge and experience to their new roles and senior leadership have relied on their trusted expert advice for years.

Read on for more details.

Mr. Cooper and Sagent M&C, LLC have partnered to create the first cloud-native mortgage servicing platform.

In exchange for Sagent buying certain intellectual rights related to Mr. Cooper’s proprietary, Mr. Cooper will receive a meaningful minority equity stake in Sagent.

Read on for more details.

The Mortgage Banker Association’s (MBA) National Delinquency Survey showed the delinquency rate for mortgage loans on one-to-four-unit residential properties decreased by the end of the fourth quarter of 2021.

Levels were at or below MBA’s survey averages dating back to 1979, MBA Vice President of Industry Analysis Marina Walsh said.

Read on for more details. 

Wolters Kluwer’s Compliance Solution has added more than two decades of experience to its U.S. advisory services team by welcoming a long-time Federal Reserve veteran as associate director of specialized consulting.

In his new role, he will be responsible for managing a team of regulatory consultants who develop and deliver fair and responsible banking and Community Reinvestment Act consulting services.

Read on for more details.

Federal Savings Bank CEO and Chairman Stephen Calk was sentenced to one year and one day of imprisonment for using his position to issue millions of dollars in high-risk loans to Paul Manafort for personal political gain.

The U.S. Attorney for the Southern District of New York Damian Williams said the sentence sends the message that those who corrupt federally regulated financial institutions will be held accountable.

Read on for more details.

The Senate Committee on Banking, Housing, and Urban Affairs heard testimony from Sarah Bloom Raskin, Lisa Cook, and Philip Jefferson, President Joe Biden’s nominations for the Federal Reserve Board of Governors.

While Sen. Sherrod Brown (D-Ohio) praised each individual for what they could bring to the board, Sen. Pat Toomey (R-Pa.) voiced concerns about two of the candidates’ ideas and whether their stances would extend the Fed beyond its statutory mandate.

Read on for more details. 

A MarketWise Advisors, LLC independent study on behalf of Notarize, found lenders can save a significant amount per loan when using an eClose with remote online notarization via the online notarization platform.

Moreover, any form of eClosing resulted in a positive ROI, as loans can be closed faster, with fewer errors, and with more money saved than with in-person or legacy paper processes, the study found.

For more details from the report, read on.

Black Knight, Inc.’s Mortgage Monitor report showed home price growth reaccelerating during the early months of 2022.

This, combined with a strained inventory and an increase of affordability pressures, has resulted in $2.6 trillion in tappable equity for mortgage holders nationwide.

For more details from the report, read on.

Lev, a company tasked with assisting commercial real estate owners and investors secure the financing for their properties, has introduced Lev Lending, a digital end-to-end lending platform.

The company said the new platform makes it easier for new and existing property owners to secure the right financing for their specific needs.

Read on for more details.

Incenter, LLC, a business performance solution provider specializing in the mortgage and specialty finance industries, has partnered with the National Association of Minority Mortgage Bankers of America in a continuing effort to diversify the real estate finance industry and open homeownership up to underserved borrowers.

Nathan Bossers, president of Boston National Title Agency, an Incenter firm, said they are thrilled to make their profession with unlimited economic opportunity more accessible to all.

Read on for more details.

United Wholesale Mortgage, LLC (UWM) has filed a lawsuit against America’s Moneyline, Inc. claiming the brokerage violated its “all-in” agreement.

The agreement in question was issued by UWM in March 2021 and states any broker partners wishing to do business with it must agree to not submit a mortgage loan or application to Rocket Mortgage or Fairway Independent Mortgage for review, underwriting, purchase, and/or funding.

Read on for more details. 

Federal Deposit Insurance Corp.’s (FDIC) Chair Jelena McWilliams has officially left her position after serving almost four years.

Her absence from the role means the FDIC board of directors will be without any representation from the minority party while a replacement is nominated.

Martin Gruenberg, a current member of the board and former FDIC chairman, will be acting chairman.

Read on for more details.

In a letter to the Consumer Financial Protection Bureau Director Rohit Chopra, the Community Home Lenders Association requested the bureau act on the Dodd-Frank Act requirement of tiering regulations of independent mortgage banks (IMB) by size, volume, and extent and state regulation.

Specifically, the group called for exam-related exemptions for smaller IMBs.

For more details from the letter, read on.

Black Knight, Inc.’s Surefire, the company’s customer relationship management and marketing automation software, has been integrated with its Empower loan origination system.

The company said the integration will offer greater support for mortgage lenders to power retail, whole, and direct-to-consumer channels through the loan application process.

Read on for more details.

Sales Boomerang’s fourth quarter 2021 report showed increasing opportunities for mortgage lenders to assist borrowers in tapping into home equity.

The Mortgage Market Opportunities Report analyzes Sales Boomerang system data to determine opportunities for borrowers and lenders by comparing the aggregate frequency with which contact records trigger loan-opportunity, prescriptive-scenario and risk-and-retention alerts.

To learn about the reports key findings, read on. 

The Office of the Comptroller of the Currency promoted one of its lead experts in system risk identification support and specialty supervision to be deputy comptroller for supervisory systems and analytical support.

He will succeed Bob Phelps, who has moved into a new position as well.

Read on for more details.

The Consumer Financial Protection Bureau’s (CFPB) Office of Minority and Women Inclusion has published a report analyzing the diversity and inclusion data from financial institutions.

In addition to outlining the CFPB’s analysis, the report also included guidance and suggestions for small, mid-size, and large organizations on how to demonstrate their commitment to the initiative.

Read on for more details. 

Social Finance Inc. has received conditional approval from the Office of the Comptroller of the Currency to create SoFi Bank.

SoFi Bank will be a full-service national bank headquartered in Cottonwood Heights, Utah. As part of the transaction, it will acquire Golden Pacific Bank, which is insured by the Federal Deposit Insurance Corp.

For more details about the conditional approval, read on.

Federal Deposit Insurance Corp.’s Chief Innovation Officer Sultan Meghji discussed the benefits – and drawbacks – of financial technology (fintech), artificial intelligence, and machine learning with Chris Brummer, director of Georgetown University’s Institute of International Economic Law.

The two highlighted how fintech can be used to improve accessibility to the banking system and help the unbanked.

For details from the discussion, read on.

Esusu, a financial technology company specializing in rent reporting and data solutions for credit building, is one of the first black-owned startups to reach “unicorn” status.

A $130 million Series B funding round, led by SoftBank Vision Fund 2, brought the company to a new valuation of $1 billion.

Read on for more details.

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

“House price levels remained elevated in November, but the data indicate a pivot,” FHFA Division of Research and Statistics Supervisory Economist Will Doerner said.

Read on for more details. 

The Consumer Financial Protection Bureau adjusted the maximum amounts for its civil penalties, as required by the Federal Civil Penalties Inflation Adjustment Act of 1990.

The final rule became effective Jan. 15, 2022.

Read on for more details.

At a Federal Deposit Insurance Corp. (FDIC) and National Bankers Association event, FDIC Chair Jelena McWilliams addressed the advancing of diversity and inclusion across financial services.

McWilliams promoted innovation, collaboration with mission-driven banks, and diversity, equity, and inclusion initiatives within the FDIC as avenues toward creating equal opportunities for all.

Read on for more details.

The Federal Reserve’s Federal Open Market Committee reaffirmed its “Statement on Longer-Run Goals and Monetary Policy Strategy.”

In an effort to support the continuing economic recovery, the committee also determined it would continue to reduce its net asset purchases. And although it kept its policy interest rate near zero, stated an increase would soon be appropriate.

Read on for more details.

The National Credit Union Administration (NCUA) has issued its 2022 supervisory priorities to credit union boards of directors and chief executive officers.

The agency stated it recognizes the ongoing challenges faced by credit unions and their efforts to assist members affected by the ongoing COVID-19 pandemic. As a result, its flexible examination scheduling policy will continue into 2022.

Read on for more details.

Tomo, a financial technology (fintech) startup headquartered in Austin, Texas, has doubled its mortgage footprint.

The fintech serves almost a quarter of the U.S. market after expanding into Florida, Connecticut, Colorado.

Read on for more details.

In an All Participants Memorandum, Ginnie Mae issued streamlined documentation requirements for Federal Housing Administration advance loan modifications.

The change is due in part to the expansion of digital signature usage on documents in November and the expansion of mortgage-backed securities (MBS) pools of extended-term mortgages.

Read on for more details.

The National Credit Union Administration appointed its vice president of the Central Liquidity Facility (CLF) to president of the corporation.

The CLF is a mixed-ownership government corporation created by Congress to improve the general financial stability of credit unions.

Read on for more details.