The Department of Veterans Affairs has entered into an agreement with the U.S. Department of Agriculture to manage and market the latter’s inventory of real estate-owned single-family and multifamily properties. Mike Frueh, director of the VA Home Loan Guaranty Program, revealed the agreement during a recent hearing by the House Committee on Veterans Affairs on the state of program. Frueh told...
"Assuming we achieve our cost, volume and other business objectives, and the market unfolds as forecast, we expect core earnings before notable items to be breakeven to modestly profitable for 2016," said CEO Glen Messina.
Originators that fund billions of dollars each quarter use futures and options to hedge their pipelines. It’s the smaller players that may have encountered secondary-market charges.
All three mortgage-production channels saw significant declines in volume during the fourth quarter of 2015, but the retail business fared significantly better, according to a new market analysis and ranking by Inside Mortgage Finance. Correspondent production fell 25.5 percent from the third to the fourth quarter of last year, compared to the overall 15.4 percent drop in mortgage originations over that period. The correspondent channel typically yields a higher share of purchase mortgages than either retail or wholesale-broker production, so it was relatively more impacted by the decline in purchase-mortgage lending. Still, correspondent production for all of 2015 was...[Includes four data tables]
Many small and medium-sized nonbanks have been earning steady profits the past three years, but all that ended in the fourth quarter of 2015, thanks to the integrated disclosure rule known as TRID. At least that’s what some warehouse managers told Inside Mortgage Finance. These credit executives, who spoke under the condition their names not be used, were somewhat surprised by the development, but were quick to caution that about a third of their clients posted losses. The managers also noted...
Guaranty-fee income increased in 2015 at Fannie Mae and Freddie Mac despite the fact that average g-fees on new business acquisitions were down slightly. The two government-sponsored enterprises reported a combined $17.33 billion in net income for all of last year, a 20.9 percent drop from 2014. However, g-fee income at the two GSEs was up 8.2 percent from 2014 to 2015, and continued to account for a growing share of their income as their investment portfolios shrank. G-fee income did not climb...