On the servicing side of the balance sheet, Citigroup reported $180.3 billion in third-party servicing rights, a 2 percent decline from the same period last year.
Rumors abound about mortgage firms either closing or laying off staff. Meanwhile, Auction.com, known for selling troubled real estate for banks and other investors, is offering up a $600 million pool of performing multifamily mortgages.
Industry advisors familiar with MIC told Inside Mortgage Finance that the nonbank VA refi specialist was almost sold to a bank this past summer, but the deal fell through.
Even due diligence firms such as Allonhill LLC of Denver have trimmed staff because their bank clients no longer need to conduct as many forensic reviews on legacy loan files. Allonhill was recently sold to Stewart Title, which hopes to grow the firm’s presence in the jumbo and nonconforming sectors.
Mortgage banking officials tracking the issue believe that if the agency is going to lower Fannie Mae/Freddie Mac loan limits for 2014 it will need to codify those changes by mid- to late October to give lenders time to update their technology systems.
There is no mention in the SunTrust filing how much HUD/FHA might receive. A spokesman for the bank declined to provide a number to Inside Mortgage Finance.
The most important take away from this week’s loan limit reduction news: Congress warning DeMarco that he’d better defer to them on loan limits. His reply: radio silence. Meanwhile, Wells tosses Freddie overboard, sort of.