Read the latest news about mortgages, foreclosures, servicers, loan modifications, HAMP, Dodd-Frank, Qualified Residential Mortgage (QRM), mortgage brokers and more.
- Wall Street Predicts $50 Billion Bill to Settle U.S. Mortgage Suits
New York Times 10 Jan 2014
Wall Street banks anticipate that they will have to pay almost $50 billion to ease the scrutiny of federal authorities investigating their role in the mortgage meltdown, according to a confidential analysis of the industry's potential legal exposure.
- New Mortgage Rules Aim to Protect Home Buyers, Owners
Washington Post 10 Jan 2014
New rules take effect on Jan. 10 to protect U.S. borrowers from the kind of abusive lending that helped cripple the housing market six years ago. Despite industry concern that the changes will shut lower-income and other Americans out of the opportunity to buy a home, experts say the Consumer Financial Protection Bureau's mandates will cultivate sustainable homeownership by lending only to consumers who have the ability to repay their mortgage.
- CFPB May Revisit Small Bank QM Exemptions
American Banker 08 Jan 2014
The Consumer Financial Protection Bureau may look at widening exemptions for small lenders from its qualified mortgage rule taking effect on Jan. 10, said agency head Richard Cordray. During a discussion hosted by the National Association of Realtors on Jan. 7, Cordray said the CFPB tried to design the exemption to avoid burdening smaller lenders but was willing to tweak the requirements once the agency determines the rule's impact.
- CFPB Releases New Consumer Resources to Better Handle Rule Changes
National Mortgage Professional 07 Jan 2014
The Consumer Financial Protection Bureau has made more resources available to consumers related to the new protections afforded by its mortgage rules. The educational materials include sample letters that consumers can send to their mortgage servicers to request information or to correct an error.
- Foreclosures to Increase as US Housing Recovers
Live Trading News 07 Jan 2014
RealtyTrac predicts that foreclosures will increase as the housing market recovers, mainly because lenders will accelerate the foreclosure process to take advantage of higher prices and more willing and able buyers.
- Regulator Signals Direction Change in Housing Policy
Wall Street Journal 06 Jan 2014
The new regulator of Fannie Mae and Freddie Mac likely will focus more on ensuring access to mortgage credit than on curtailing the role of the government-sponsored enterprises or other policy goals.
- Will It Be Easier to Get a Mortgage in 2014?
The Street 03 Jan 2014
Tighter controls on mortgage lending take effect this year, and the prospect has stoked fears of a drastic reduction in credit as banks adjust to the new reality.
- Adjustable-Rate Mortgages Regain Popularity as Prices, Rates Rise
Los Angeles Times 01 Jan 2014
Adjustable-rate mortgages fell out of favor with borrowers when the housing market came crashing down but last year started what could turn into a full-fledged comeback. With property prices and mortgage rates creeping up in 2012, more consumers saw ARMs as a way to keep their monthly payments in a workable range.
- New Maryland Bill Could Shorten Debt Collection After Foreclosure
Washington Post 31 Dec 2013
Maryland legislators are looking at drastically reducing the time that debt collectors have to pursue a deficiency judgment -- that is, to take borrowers to court for leftover debt on foreclosed homes. Collectors there currently have up to 12 years to sue for outstanding mortgage debt after a foreclosure, but the proposed bill would narrow the window to just 180 days.
- CFPB Increases Asset-Size Exemption Threshold for Lenders
MortgageOrb.com 31 Dec 2013
The Consumer Financial Protection Bureau has made an annual adjustment regarding which mortgage lenders may be excused from reporting Home Mortgage Disclosure Act (HMDA) data to the federal government.
- Mortgage Tax Break Expires Despite Bipartisan Support in Congress
Los Angeles Times 31 Dec 2013
To the dismay of housing advocates, industry groups, and U.S. legislators, a tax break for distressed homeowners who mortgages were written down expired on Dec. 31. The 2007 measure exempted borrowers from federal taxes they normally would owe on assistance received from banks, primarily in the form of short sales and forgiven home loan debt. Although the residential property market is in recovery, housing advocates contend that the tax break put in place after the market crash is still needed.
- Mortgage Program Pans Out
Wall Street Journal 31 Dec 2013
The federal Home Affordable Refinance Program (HARP), launched not long after President Obama took office in 2009, is proving to be one of the administration's more successful efforts in addressing the country's foreclosure epidemic. Nearly 3 million homeowners -- nearly a third of whom were upside down on their mortgages -- have been able to refinance under the initiative
- Mortgage-Assistance Events Not a Cure-All for Homeowners Facing Foreclosure
Washington Post 30 Dec 2013
A study by the Richmond Fed suggests that mortgage-aid events often failed to help homeowners avoid foreclosure.
- Foreclosure Bills Aim to Remedy Damage to Wisconsin Cities
Milwaukee-Wisconsin Journal Sentinel 29 Dec 2013
Wisconsin Rep. Evan Goyke (D-Milwaukee) is sponsoring a package of five foreclosure-related bills to address the state's ongoing housing issues.
- New Mortgage Rules Won't Knock Out Many Borrowers
BusinessWeek 27 Dec 2013
Contrary to some concerns, prospective home buyers who truly can afford to make a purchase are not likely to encounter barriers to financing as a result of the new qualified mortgage (QM) standard.
- Quinn Signs Illinois Foreclosure Protection Law
Associated Press 26 Dec 2013
Declaring that families in the state "must have access to the tools they need to protect their home," Illinois Gov. Pat Quinn barred lenders from selling a residence if the owner is seeking federal home-loan aid.
- Charges Brought Against Ten in Boca-Based Loan Modification Scam
Palm Beach Post 26 Dec 2013
FHA All Day -- a loan modification operation based in Boca Raton, Fla. -- is facing federal charges for allegedly scamming thousands of distressed homeowners out of millions of dollars.
- Underwater Homeowners Could Face Extra Tax Burden in 2014
Washington Post 26 Dec 2013
Congress has yet to act on the Mortgage Forgiveness Debt Relief Act, the expiration of which at the end of this year could leave distressed borrowers with an additional financial burden in 2014.
- Mortgage Performance Strengthened in Third Quarter: OCC
American Banker 24 Dec 2013
New data from the Office of the Comptroller of the Currency reflects improvement in the mortgage sector. According to OCC, the share of home loans current and performing in the third quarter hit 91 percent -- up from 88.6 percent a year earlier.
- PNC to Atone for Loan Bias by National City
Pittsburgh Post-Gazette 23 Dec 2013
The Consumer Financial Protection Bureau's two-year investigation into lending practices at National City Bank has ended with charges of loan discrimination against African-American and Hispanic borrowers. According to the probe, the bank charged about 75,000 minority customers roughly 1 percentage point more in interest and fees on home loans between 2002 and 2008.