Loan Think

The Secured Overnight Financing Rate is a concept in search of an actual forward market, writes Whalen.

If lenders get to choose the credit-scoring model, the Big Three credit bureaus will likely set a price for VantageScore that is super low, so low that FICO cannot compete, just as Uber decimated the taxicab industry by setting prices artificially low until the taxicabs were gone, writes an attorney at the National Consumer Law Center.

If put into force, the Federal Housing Finance Agency’s plan will severely impact the working capital and profitability of IMBs, and reduce volumes in the industry, Whalen argues.

Lenders and servicers that take a business-as-usual approach to managing their flood portfolios may be exposed to undue risk.

These standalone properties make up nearly half of all rental units and the financing of them by Fannie Mae and Freddie Mac should reflected in the Federal Housing Finance Agency's affordable housing goal calculations, writes Manchester.

Mortgage companies can open doors to homeownership for more minorities by incorporating low-down-payment financing options; closing cost credits; down-payment assistance; diverse, in-market sales teams ready to provide access and support; and more, writes the chair of the Mortgage Bankers Association.

The Second Circuit decision in Naimoli v. Ocwen Loan Servicing takes away contract rights that financial institutions rely on for market stability, write litigators Chucta and Swanson.

The National Association of Realtors' vice president of demographics and behavioral insights offers a few predictions ahead of what is typically real estate's busiest season.

Congress waited too long to address the out-of-control housing market, leading to a crisis in 2008. Now, with home prices soaring and the government-sponsored enterprises' portfolios at record levels, lawmakers are in danger of repeating that mistake.

This regulatory development is both good news and bad news, depending upon where you happen to sit in the mortgage process.