As Loan Volumes Decline, Ginnie Mae Participants May Have Other Concerns on Their Hands as Well
May 2, 2014
Ginnie Mae issuer applications are beginning to slow thanks to declining FHA and VA production, but lenders that play in the space are beginning to wonder whether they should be paying closer attention to the “compare ratios” that measure delinquencies. According to industry advisors, there are new concerns that the Inspector General of the Department of Housing and Urban Development may be expanding its investigation of firms that have significant claims rates on FHA loans. Four years ago, the HUD IG made a big splash when it issued subpoenas to 15 mortgage lenders with unusually high claim rates. Since that announcement, little information on settlements with the 15 has come...