FHA will allow lending on homes with PACE loans (8/25/2015)
HUD announced that PACE, an energy-improvement loan program with a controversial lien, would now be allowed for FHA loans – but with a few strings attached.
Credit unions gaining ground with buyers (8/24/2015)
A TransUnion study found that more and more buyers are turning their backs on traditional banks and opting to get a mortgage from their credit union.
Interest-only mortgages return in different form (8/21/2015)
The loans lower monthly payments but have a bad rep after their toxic role in the recession. But new rules make them safer for the right type of borrower.
FHA says its new metric should boost lending (8/18/2015)
An existing metric identifies FHA lenders that approve too many risky loans, but the new one does the opposite: It recognizes FHA lenders with good track records.
Survey: Which lenders are best for buyers? (8/17/2015)
LendingTree, which represents more than 350 lenders, asked buyers about rates, fees, closing costs, customer service and more. It then created a top 10 list.
Fewer options for home equity loans (8/17/2015)
TILA-RESPA changes coming Oct. 3 could lessen home equity loans that must also comply with new rules. BofA and Wells Fargo discontinued some already.
Economist: It’s not easier to get a mortgage (8/11/2015)
Realtor.com’s chief economist says lower downpayments make it easier to qualify if you have good credit, but riskier borrowers still can’t get OK’d for a loan.
CFPB wants quick transition to electronic closings (8/10/2015)
The U.S. watchdog agency says its pilot program found that consumers benefit from no-paper closings, and it’s pushing lenders to quickly adapt to the technology.
Banks loosen their standards for jumbo loans (8/7/2015)
Chase joins a roster of other lenders that lowered underwriting standards for mortgage loans that exceed $417K. In 2Q, jumbo originations hit an eight-year high.
Taxpayers make $50B off Fannie, Freddie bailout (8/7/2015)
The too-big-to-fail recession-era bailout of Fannie Mae and Freddie Mac, which buy mortgages in the secondary market, has resulted in a windfall for taxpayers.
FHA to watchdog: Downpayment programs not a scam (8/5/2015)
Lenders are monitoring the fallout from a fed watchdog report that claims affordable downpayment programs tied to higher mortgage rates break federal law.
Freddie Mac posts 2Q profit (8/4/2015)
The firm that buys mortgages reported a $4.2B profit. Freddie Mac has now returned about $25.5B more than the U.S. paid to bail it out during the recession.
Lenders spend too much time with at-risk borrowers? (7/30/2015)
A J.D. Power study ranked customer satisfaction with mortgage firms. It found many spend too much time on risky borrowers and too little on reliable ones.
FHA fee cut attracts more first-time buyers (7/29/2015)
In 2Q, FHA loans backed 23% of financed home purchases compared to 19% one year earlier. The savings, which average $900 per year, appeal to first-timers.
CFPB stops mortgage firms that suggest U.S. backing (7/29/2015)
Three companies that offer reverse mortgages, “pay your mortgage quicker” services and more went too far and implied federal backing, the consumer bureau alleges.
Senate would fund transportation with mortgage fees (7/27/2015)
Guarantee fees (g-fees) on mortgages offset U.S. costs to back conforming loans, but a Senate bill would use the fees to pay for large transportation projects.
CFPB regulation could mothball 30-day rate locks (7/16/2015)
Tighter closing regulations effective Oct. 3 could increase the time between contract signing and closing, at least at first, and make 30-day rate locks unworkable.
USDA mortgage program fees to increase Oct. 1 (7/7/2015)
The USDA’s Rural Housing Service will raise the cost of home-loan guarantees in some areas where borrowers don’t need a downpayment, Bloomberg reports.
Credit-risky buyers now have more options (7/7/2015)
In healthy rebounds, a few lenders will lower credit standards to attract more business, and some now consider buyers who recently went through a foreclosure.
More owners turn to HELOCs to spruce up home (7/1/2015)
BMO survey: Home equity loans or lines of credit are back. One in four owners have one, though 55% of those owners have only used it once.
New Aug. 1 disclosure rules postponed until Oct. 1 (6/18/2015)
CFPB announced the change yesterday, noting that the postponement doesn’t cancel the previously announced enforcement buffer period for “good faith” compliance.
Lenders sniffing out borrowers’ ‘white lies’ (6/15/2015)
A loan applicant who says he’ll live in a home – but has no plans to do so – commits fraud. Since those loans are riskier, lenders are digging deeper for the truth.
RealtyTrac: Average downpayment at three-year low (6/4/2015)
U.S. buyers, on average, made a 14.8% home downpayment in the first quarter, a drop from 15.2% in the previous quarter and 15.5% one year earlier.
Non-banks entities are lending more mortgage money (6/1/2015)
A Harvard study finds that non-bank lenders originated 27% of all mortgage loans in 2012 but 48% in 2014 following “unprecedented and drastic growth.”
U.S. House considers changes to rural housing loans (5/20/2015)
Congress is studying Rural Housing loans and program overlaps with other U.S. products, such as FHA. NAR says private lenders should be able to approve loans.
Study: Student loans don’t hinder mortgages (5/19/2015)
A TransUnion study contradicts earlier reports that heavy student loan debt makes it impossible for younger adults to qualify for a mortgage.
Fla. cities rank at top for new-purchase loans (5/14/2015)
RealtyTrac: U.S. home purchase mortgages (not refis) dropped 25% quarter-to-quarter, but many Fla. cities saw an increase – in one case as high as 72%.
Mortgage borrowers find it a bit easier to qualify (5/13/2015)
An index that ranks the ease of mortgage qualifying reached its highest point in four years in April – but it’s still well below a 2006 peak.
CFPB sues lender over mortgage overcharges (5/12/2015)
The nation’s consumer watchdog filed a lawsuit against a company that claims it helps homeowners pay off a mortgage faster by making biweekly payments.
Changes coming this summer to FHA loan program (4/30/2015)
Some borrowers may find it more challenging. Lenders will soon consider all student loan debt, for example, and document more donor info for downpayment gifts.
Study: What do Realtors really want from lenders? (4/23/2015)
Inman study asked why real estate pros recommend a particular lender, what types of lenders do they prefer, and what behavior puts a lender in the penalty box?
Reverse mortgage rules to get stricter (4/20/2015)
Recession-era home values fell, and reverse mortgage lenders, notably FHA, lost a lot of money. As a result, the bar for applications rises on April 27.
Will lenders take foreclosed owners back? (4/13/2015)
On paper, many foreclosed owners can again qualify for a home. However, some larger lenders hurt during the recession aren’t yet willing to take a chance.
Expect closing problems around Aug. 1 change date (4/13/2015)
For title companies and lenders, the mortgage system changes radically Aug. 1, and it will take time to adjust. Be prepared for unexpected problems this summer.
Study: Tight credit nixed about 4 million homebuyers (4/8/2015)
A lack of available credit hindered the real estate rebound, according to the Urban Institute, with its strongest impact on African Americans and Hispanics.
$1B foreclosure prevention program strategy shift (4/7/2015)
Some first-time buyers could receive up to $15K toward a downpayment under a proposed rule change covering the way Fla. doles out money from its Hardest Hit Fund.
CFPB’s 26-page ‘toolkit’ explains Aug. 1 changes (4/1/2015)
The federal consumer agency will change the mortgage process starting in Aug, and their new step-by-step guide explains how the new process will work.
Why aren’t more potential sellers selling? (3/31/2015)
Many move-up buyers still don’t have enough equity in their current home for a downpayment on a new property. In Fla., it impacts one in four homeowners.
Most millennials don’t understand closing costs (3/26/2015)
Survey: Two out of three younger adults don’t understand closing costs – and many don’t even know they even exist. Among all adults, it’s one out of three.
Freddie’s 3% downpayments start next week (3/19/2015)
It will get easier for some buyers to qualify for a mortgage starting Monday when Freddie Mac lowers its minimum to 3%, a move Fannie Mae took in Dec.
Downpayments in Fla. vary by county (3/18/2015)
RealtyTrac: In Sumter County, the average downpayment for a home in 2014 was less than 4%; in Dixie County it was 27%.
Mortgage docs locked in stone 3 days before closing (3/16/2015)
On Aug. 1, new mortgage rules kick in. One of the biggest impacting Realtors: Buyers will get docs three days before closing, and any change will cause a delay.