Fraud, misrepresentations, and loan defects are rising as refinances decline and purchase activity increases. According to The First American Financial Corporation, their Loan Application Defect Index rose 5.8% in January 2017, as compared to last year. This trend started in December of 2016. As the industry pushes to qualify more potential homebuyers in a rising rate environment, it experiences more problems…
One Person’s Loss is Another’s Profit
A major result of the 2008 housing crash was that many people lost their homes. Very sad, but very true. This resulted in two things coming about: 1. These people needed a place to live 2. The market was flooded with unoccupied homes. All that was needed was a way to bring these two components together.…
Did Trump Hit One Out of the Park?
Or, was it just a long foul ball? By most accounts, President Trump’s address to Congress was a success. He delivered a well thought out, measured speech in a professional, presidential manner. We saw a different side of the new President. Not everyone was enthralled by his words. The Democrats mostly sat silently through his presentation, rarely applauding any of his…
Are There Enough Homes?
Is it a lending crisis, an affordability crisis, or a housing crisis? Maybe it is all three. Homeownership rates have declined and everyone is clamoring for lenders to do more to help provide financing to more perspective home buyers. A basic rule of economics is supply vs. demand. What if the problem is that there just aren’t enough homes for…
Is QC Important; Ask Warren, Faye & PwC
So you think that things always go as they should, eh? Well, recently we saw Steve Harvey and Mariah Carey fall victim to embarrassing moments, but the award, or should I say the Oscar, goes to Warren Beatty and Faye Dunaway. If you watched the Oscars, you witnessed one of the most colossal blunders of all time. The Best Picture…
Is Dodd-Frank Good for Banks and Mortgage Lenders?
The current Administration is talking about making changes to modify or completely replace the Dodd-Frank Act. However, a new report out of Washington says it’s doing just fine. According to the FDIC, in the 4th quarter of 2016, banks reported profits of $45.6 billion. This is up compared to the period just after the 2008 crash of only $21.4 billion…