Residential Capital is taking another step in consolidating its mortgage business, laying off 800 employees and freezing 200 vacant positions. The company made the announcement in a filing with the Securities and Exchange Commission, which also said...
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While subprime lenders have absorbed most of the fallout from the contraction in mortgage markets, this week’s blockbuster deal between CitiMortgage and ABN Amro shows there is plenty of pressure in the prime market as well. Fresh off an internal reorganization to...
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The weakness in the subprime market claimed another victim this week with Houston-based Funding America posting a notice on its Web site saying it was shutting down. Neil Notkin, former president of Aegis Funding Corp., founded the two-year-old company that...
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The Sarbanes-Oxley Act will continue to be a burden for mortgage companies in 2007, despite new rules due this spring that will ease audit and reporting requirements. “Clearly, regulators have gotten the word that something needs to be done,” said Alison Utermohlen...
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The top commercial bank mortgage-backed securities servicers added about $464.92 billion of servicing rights to their portfolios in their quarter of 2006. Servicing income, though, dipped to $1.18 billion in the third quarter of 2006 from... [Includes a chart and graph]
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First Horizon was able to dig itself out of a losing third quarter and post a gain in its mortgage business for the last three months of 2006, despite an inverted yield curve and the cooler mortgage market that weighed on profits. The banking and mortgage company...
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Lenders trying to adjust to new regulatory capital standards will likely blend high-quality loans with riskier ones, warned Mark Flannery, a finance scholar at the University of Florida’s Warrington School of Business. The soc-called Basel II risk-based capital rules...
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Barclays is buying Regions Financial Corp.’s subprime unit for $225 million in cash. The British bank will combine the unit, EquiFirst, with its mortgage and capital markets divisions to create a vertically integrated mortgage franchise, the firm said. Officials...
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