The Independent Bankers of America (ICBA) outlined its regulatory priorities for this year at the National Convention and Techworld in Las Vegas earlier this month. The organization addressed several industry reforms and pending regulations it asserts will negatively and unfairly impact community banks. For example, ICBA suggests any financial institution with $50 billion or less in assets be exempt from Basel III. Likewise, the group argues community banks should be exempt from new lending and servicing reforms.
Read More »Residential Finance Corporation Ensures Timely Closings
Residential Finance Corporation, based in Columbus, Ohio, recently announced the launch of its new Purchase Loan Quick Reaction Force, a team dedicated to ensuring mortgage loans close on time.
Read More »FHFA: Prices Rise 0.6% from December to January
The Federal Housing Finance Agency's (FHFA) Home Price Index rose 0.6 percent in January, the agency reported. The monthly increase recorded in January is just slightly above December's downwardly-revised increase of 0.5 percent. While prices continue their upward trend nationally, one-third of the nine U.S. Census Divisions recorded price declines in January--the East South Central Division, the New England Division, and the Middle Atlantic Division.
Read More »Attorneys General Call for DeMarco’s Replacement
In a letter addressed to the president as well as the Senate majority and minority leaders, a group of attorneys general representing nine states refer to Edward DeMarco, acting head of the Federal Housing Finance Agency, as a "direct impediment to our economic recovery" and called for his replacement. The attorneys' general complaint stems from DeMarco's refusal to allow the GSEs to engage in principal reductions for struggling and underwater homeowners.
Read More »How Dire Are Current Capacity Constraints?
Following Elizabeth Duke's comments on the impact capacity constraints are having on the housing market, Capital Economics released an update with a similar focus.
Read More »Study Finds Evidence of Gender Discrimination in Loan Approvals
Women are less likely to be approved for mortgage loans than their male counterparts, even when loan-to-income ratios are equal, according to a new study from the Woodstock Institute, a Chicago-based, nonprofit research and policy organization. The findings reveal an 8 percent disparity between the likelihood of a woman and man with similar loan-to-income ratios receiving a purchase loan and a 21 percent disparity among approval rates for male and female refinance applicants.
Read More »Capital Economics: ‘No Signs of Imminent Slowdown’ in Housing
House prices increased 9.7 percent year-over-year in January, continuing a recent trend, and prices show "no signs of an imminent slowdown," according to Capital Economics.
Read More »Fed Governor: Consumer Protections May Come with a Cost
As the industry prepares to implement the Consumer Financial Protection Bureau's (CFPB) new ability-to-repay rules, Federal Reserve Governor Elizabeth Duke warns new consumer protections may come at a cost to the industry as lower-quality-credit borrowers are precluded from the housing market. As the broader economy continues to improve, household formation will increase, according to Duke, "but if credit is hard to get, these will be rental rather than owner-occupied households."
Read More »Capital Economics Tweaks Price Expectations
Strong demand, tight inventory, and positive signs among broader economic indicators led Capital Economics to revise its previous price gain forecast up to 8 percent.
Read More »Fitch Notes Potential in FHFA Efforts to Restore Private Market
The goal of attracting private capital into the mortgage market is at the center of discussions throughout the industry and the government. Thus far, efforts by the Federal Housing Finance Administration (FHFA) and other federal agencies to provide incentives for the creation of a vibrant private mortgage securitization market have been largely unsuccessful, according to Fitch Ratings. However, the ratings agency does see some promise in a couple of FHFA's goals for this year.
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