Housing Wire

House Amendment Allows Dismantling of ‘Too Big to Fail’ Firms

AUSTIN KILGORE — Fri, 20 Nov 2009 20:48:31 +0000

A House Financial Services Committee amendment that passed this week would empower federal regulators to dismantle financial firms considered “too big to fail.” The amendment, authored by House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises chair Paul Kanjorski (D-PA), was included to the Financial Stability Improvement Act with a vote of 38-29. The [...]

Fed Buys Another $16Bn of Agency MBS

DIANA GOLOBAY — Fri, 20 Nov 2009 19:01:11 +0000

The Federal Reserve Bank of New York bought another $16bn of agency mortgage-backed securities (MBS) in the week ending November 18. The Fed’s gross weekly purchases totaled $17.2bn. The Fed bought $5.9bn from Freddie Mac (FRE: 1.13 -2.59%), $4.55bn from Fannie Mae (FNM: 1.01 -1.94%) and $6.77bn from Ginnie Mae. The Fed also sold $1.23bn of agency [...]

ABCP Outstandings Slip 35% in 2009

DIANA GOLOBAY — Fri, 20 Nov 2009 17:06:11 +0000

Total US asset-backed commercial paper (ABCP) outstandings were at $455bn as of November 4, a 35% decline from the beginning of 2009, according to market commentary by Fitch Ratings. The fall in ABCP outstandings comes at a time when the industry is anticipating financial accountancy changes in January and the effect of global risk management regulations [...]

FHA Condo Financing Evaporating

JON PRIOR — Fri, 20 Nov 2009 16:55:07 +0000

[Update 1: clarifies time line of the new guidelines] In a letter to lenders, the Federal Housing Agency (FHA) produced new guidelines that would constrict financing for condominiums beginning. Since then, brokers and condo owners report that FHA financing for condos is going from a flood to a trickle. In a letter released Nov. 6, the FHA [...]

PMI Group Sees Mixed Housing Activity in September

AUSTIN KILGORE — Fri, 20 Nov 2009 15:59:11 +0000

Housing activity was mixed in September, with existing sales up sharply, new sales down modestly, and starts about unchanged, PMI Group (PMI: 2.10 -1.87%) said in its monthly housing report. “We continue to project modest increases in home sales over the course of this year and next in response to high levels of affordability, investors and [...]

Combined Loan to Values Swell to 107% in July 2009: Equifax

JON PRIOR — Fri, 20 Nov 2009 15:35:09 +0000

The combined loan to values (CLTVs) on current loans are worse than many realize, according to a study by Equifax Capital Markets. Equifax provides borrower and property value information to lenders and investors. The average CLTV, a ratio used to determine the risk of default when more than one loan is used, for current Alt-A loans ballooned [...]

House Affordability Dips in Q309: NAHB

AUSTIN KILGORE — Fri, 20 Nov 2009 15:25:18 +0000

Families earning the national median income could afford 70.1% of the new and existing homes sold in Q309, according to the National Association of Home Builders (NAHB) and Wells Fargo (WFC: 27.94 -1.34%) Housing Opportunity Index (HOI). The index measures housing affordability and Q309’s index was down slightly from the affordability index of 72.3% in Q209 [...]

Prices Down 9.8% in September: First American

AUSTIN KILGORE — Fri, 20 Nov 2009 15:11:17 +0000

National home prices declined 9.8% year-over-year in September, according to First American CoreLogic’s home price index (HPI). In August, the year-over-year decline was 11.1% and on a month-over-month basis prices declined 0.4%, ending a five-month run of consecutive monthly price increases. When distressed sales are removed from the equation, year-over-year national prices declined only 6% in September. [...]

State Monitors Oversee Modifications in California Bill

JON PRIOR — Fri, 20 Nov 2009 13:35:13 +0000

The California Assembly is considering AB 1588, which would implement the Monitored Mortgage Workout (MMW) Program. MMW would provide for state-appointed monitors to guarantee homeowners a chance at working out a plan with their lender to avoid foreclosure. The bill was introduced recently by Karen Bass, the California assembly speaker, and announced by Antonio Villaraigosa, the mayor [...]

PriceMyLoan Integrates with Encompass360

AUSTIN KILGORE — Fri, 20 Nov 2009 13:27:08 +0000

Web-based underwriting and pricing software developer PriceMyLoan announced its product is integrated in Ellie Mae’s Encompass360 loan origination software (LOS). The new functionality will allow Encompass360 users to access automated underwriting and loan pricing decisions created in the PriceMyLoan engine directly through the Encompass360 platform. “PriceMyLoan and Ellie Mae are leading technology providers in the mortgage industry,” [...]