A number of groups representing lenders and consumer advocates said the CFPB should abandon an effort to extend the QM patch beyond July 1. The regulator also faces hurdles involving the GSEs and federal rulemaking requirements.
At a Senate committee hearing this week, consumer advocates called for stronger enforcement, industry representatives picked on the CFPB and Republicans and Democrats pushed different priorities.
Plush with record earnings, loanDepot is building an inhouse servicing system, which means its current vendor, eventually, will lose business. Meanwhile, is GSE reform a possibility once again?
The proposed rule would require the GSEs to write living wills that include no government support. However, their PSPA with Treasury includes letters of credit with an outstanding balance of $254 billion.
Trade groups representing appraisers said the proposed automated valuations are really just rebranded desktop appraisals, not too dissimilar to the ones that helped crash the housing market in 2008.
Of the lenders analyzed by hedge advisory firm MCT, 25% will be directly impacted by the $1.5 billion cap on the amount of loans Freddie and Fannie can purchase from each seller over any four-quarter period.
The co-inventor of the MBS says Fannie and Freddie should be regulated as utilities to improve their affordable housing and racial equity activities. He recommends Treasury use its equity to fund joint venture.