The recent sharp increase in mortgage interest rates has priced some borrowers out of the market and motivated others to complete home purchases, according to industry participants. If interest rates stay near current levels, home affordability is expected to remain strong, encouraging home purchases. The market for non-distressed properties is still healthy, according to results from the latest Campbell/Inside Mortgage Finance HousingPulse Tracking Survey. Average time on market for non-distressed properties is declining, the average number of offers is increasing and sales-to-list price ratios are at elevated levels. The trends have been driven...
Mortgage company owners hoping to go public or tap the capital markets for another round of equity financing may have to temper their expectations in the new interest rate environment. But that doesnt mean initial public offerings are out of favor with investors. According to industry experts, its a matter of expectations. Some people are saying these deals wont happen now, said Paul Miller, a top analyst at FBR Capital Markets. But Im not in that camp. Any deal that is priced correctly will sell. Miller told...
The Federal Housing Finance Agency should coordinate with the FHA to establish a formal working group to permit both agencies to raise guaranty fees and insurance premiums as a way to reduce the federal governments role in the mortgage-guaranty business, the FHFAs official watchdog has recommended. The FHFA firmly disagrees. A new report by the FHFAs Office of Inspector General this week noted potential benefits that the FHFA may achieve by establishing a more formalized working arrangement with the FHA and jointly assessing the key issues around their pricing initiatives. The Treasury Department made...
The Consumer Financial Protection Bureau may have over-reached by extending its new bulls-eyes on debt collectors to mortgage servicers, according to some top mortgage industry attorneys. The CFPB last week warned all companies under its jurisdiction that they will be held accountable for unlawful conduct in collecting a consumers debts, citing its authority under the Dodd‐Frank Act, which prohibits unfair, deceptive, or abusive acts or practices (UDAAPs). Attorney Alan Kaplinsky, a practice leader in the Philadelphia office of the Ballard Spahr law firm, said its particularly significant that the bulletins not only address the conduct of debt collectors and debt buyers, but also are directed at creditors and servicers. CFPB Bulletin 2013‐07 makes...