The hits just keep on coming. According to the latest Beracha, Hardin & Johnson “Buy vs. Rent Index” (bet you didn’t know this existed), the housing market is now trending more toward renting than buying (Rent vs. Buy). The American Dream of homeownership is shifting toward a dream to rent. What does this mean for mortgage lenders? Is America no…
Pre-Closing (or Pre-Funding) Reviews Will Now Be Required on FHA Loans In HUD’s draft “Origination Through Post-Closing/Endorsement Handbook” it is stated that a mortgagee’s required Quality Control (QC) sample must comply with the following balance of pre and post-closing reviews: Pre-Closing Reviews – 10% or less of the QC sample size Post-Closing Reviews – 90% or more of the QC…
Not according to a recent study done by the McArthur Foundation. According to their findings, many Americans believe we are still in the throes of a housing crisis (Crisis). This coupled with a recent study done by the Urban Institute indicating that homeownership rates will continue to decline into 2030 (Declines), doesn’t bode well for mortgage lenders. As my grandfather…
Freddie Mac On May 29, 2015, Freddie Mac has stated that, beginning June 1, 2015, the use of Loan Prospector will be free for all new loan submissions. Loan Prospector is Freddie Mac’s automated underwriting system which provides feedback to lenders on loan eligibility as well as minimum documentation requirements for underwriting the loan transaction. Fannie Mae Fannie Mae rolled…
Have you heard the one about how the economy continues to improve yet you still can’t find a decent job? Well this is a little like that. Fannie Mae’s recent survey revealed that many homeowners believe now is a good time to sell (Seller’s Market). At the same time, the Wall Street Journal issued an article citing some information saying…
This goes under the “Are you kidding me?” category. CFPB has filed an order for RPM Mortgage, a California lender, to pay $19 million dollars in fines; $18 million as rebates to harmed consumers and $1 million in civil money penalties. They also ordered RPM’s CEO, Erwin Robert Hirt, to personally pay an additional $1 Million civil penalty. The total…
