National Mortgage News - November-December 2024

40-YEAR MORTGAGES: More affordability but more risks

Activist John Hope Bryant has suggested the 40-year mortgage as a solution to affordability issues for first-time buyers. While it has some support, industry players also note questions about practicality remain.

While people are talking about supply, the former National Association of Realtors exec adds more attention must also be given to home insurance affordability.

Companies announced new product rollouts and capital raises last month, but some are also facing lawsuits as the industry encounters heightened attention to the lack of consumer protections.

More "Airbnb-style" rental property loans are making their way into non-qualified mortgage securitizations and could they be acting differently from the traditional non-owner occupied loans, a Standard & Poor's report asks.

As this year's natural disasters bring heightened attention to the cost and availability of homeowners insurance, servicers often find themselves caught in the middle when customers see premium hikes.

While recent homeowners overwhelmingly support digital innovation that leads to faster, streamlined transactions, AI is "still not a trusted system for many borrowers," Cloudvirga said.

Mortgage borrowers will begin speaking with the enhanced chatbots early next year.

Consumer Financial Protection Bureau Director Rohit Chopra said opposition to the bureau's recently finalized open banking rule should be viewed as banks and other large firms attempting to quash competition and stymie consumer data protection.