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Volume 17 | Issue 75 | Wednesday, April 18, 2018

The Lede

 

How Quicken Loans Changed Detroit--and the Mortgage World

DETROIT--If you look up the word "disruption" in the dictionary, you might find the Quicken Loans logo.

 

Residential Finance News

 
Applications Increase in MBA Weekly Survey

Mortgage applications increased 4.9 percent from one week earlier, the Mortgage Bankers Association reported this morning in its Weekly Mortgage Applications Survey for the week ending April 13.

Housing Starts, with Revisions, Looking More Solid

Housing starts, buoyed by positive revisions from earlier months and a burst of multifamily activity, posted a nearly 2 percent gain in March, HUD and the Census Bureau reported yesterday.

Residential Briefs

FinKube, Dallas, which provides AI-powered Platform-as-a-Service servicesfor a range of industries, launched a new website for its chatbot, ELSA. The arrival of the new site, which can be found at www.elsabot.com, coincides with FinKube's expanding role as an AI provider for industries beyond U.S. financial services.

Commercial/Multifamily News

 
Industrial Vacancies Reaching Record Lows

Changes in technology, supply chains and consumer habits all continue to drive leasing demand for industrial properties, propelling the sector's vacancies to their lowest levels on record, reported Ten-X Commercial, Irvine, Calif.

Dealmaker: Hall Structured Finance Lends $50M

Hall Structured Finance, Dallas, closed $50.1 million in construction loans for hotel and multifamily properties.

MBA News

 
MBA State & Local Workshop Apr. 23-24

The Mortgage Bankers Association's annual State & Local Workshop takes place Apr. 23-24 at the Capital Hilton in Washington, D.C., in conjunction with the MBA National Advocacy Conference (Apr. 24-25).

MISMO Seeks Blockchain Working Group Members

MISMO launched a new group to discuss the potential for using blockchain in the industry and invited interested parties to participate.

MBA Education Credit Scores in Loan Origination Apr. 24, May 3

MBA Education offers a two-part webinar series, Credit Scores in Loan Origination, on Tuesday, Apr. 24 (Part I) and Thursday, May 3 (Part II) from 2:00-3:30 p.m. ET.

Top National News

 
Show Me Less Money? MBA Reports Mortgage Profits Nearly Slashed in Half

HousingWire, Apr. 17, 2018--Jacob Gaffney
According to the Mortgage Bankers Association's Annual Mortgage Bankers Performance Report, independent mortgage banks and mortgage subsidiaries of chartered banks made an average profit of $711 on each loan they originated in 2017, down from $1,346 per loan in 2016.

Gilbert: 'We're Not Really in the Mortgage Business'

Crain's Detroit Business, Apr. 18, 2018--Chad Livengood
Quicken Loans Chairman Dan Gilbert and Vice Chairman Bill Emerson spoke at a Mortgage Bankers Association conference in Detroit. Gilbert said Quicken Loans is more of a "data acquisition business" than a mortgage company.

MBA Tech: What's Next for the Mortgage Industry?

HousingWire, Apr. 17, 2018--Sarah Wheeler
The disruption of the mortgage industry has begun, but it is far from over. A panel of blockbuster leaders assembled at the MBA Technology Solutions Conference in Detroit on Tuesday discussed the current state of the industry and what they're forecasting for the next five years.

Quicken Claims Top Spot Again for Mortgages Directly to Consumers

Detroit Free Press, Apr. 17, 2018--John Gallahger
Quicken Loans founder and chair Dan Gilbert and top aide Bill Emerson said Tuesday that Quicken ranked as the nation's largest retail mortgage lender for the second quarter in a row in early 2018. Gilbert and Emerson spoke Tuesday morning at a Mortgage Bankers Association technology expo at the Detroit Marriott Renaissance Center.

Private Startups Could Be Targets for Public Mortgage Tech Firms

National Mortgage News, Apr. 17, 2018--Bonnie Sinnock (subscription)
"Over time public players [become] material competitors or acquire them," Chris Gamaitoni, managing director at Compass Point Research and Trading, said during the Mortgage Bankers Association's technology conference in Detroit.

From Motor City to Mortgage City: How Detroit Became a Fintech Hub

National Mortgage News, Apr. 17, 2018--Bonnie Sinnock (subsription)
While the West Coast still reigns as the epicenter of technology development, the Detroit area has quietly emerged as a proving ground for digital mortgage innovations.

Serious Mortgage Delinquency Down from Year Ago

Mortgage Daily, Apr. 17, 2018
While there was no month-over-month change in serious mortgage delinquency, there was a year-over-year improvement. Miami saw a significant increase.

Rental Pay History Should Be Used to Assess Creditworthiness of Mortgage Borrowers

Urban Institute, Apr. 17, 2018--Laurie Goodman, June Zhu
The authors say access to mortgage credit remains overly tight in part because we are not measuring the credit risk of renters appropriately. For many renters, the most significant financial commitment is paying monthly rent, yet traditional credit scoring does not account for borrowers who meet their commitment month after month.

The Mortgage Business Is No Fun Anymore

Bloomberg, Apr. 17, 2018--Matt Levine
Regulators and prosecutors made it incredibly tedious for Bank of America to be in [the mortgage] business, and now Bank of America...just...isn't.

FHA Business Sinks to 3-Year Low

Mortgage Daily, Apr. 17, 2018
Residential production at the Federal Housing Administration was the lowest it's been in three years. An improvement was reported for single-family delinquency.

A Bubble in Commercial Real Estate May Be About to Pop

Business Insider, Apr. 17, 2018--Wolf Richter
Banks are ramping up the extension of commercial real estate loans. CRE prices peaked in 2016 and are now flat-lining, which is partially due to the downturn of malls and traditional retail. Office and lodging buildings have been hit hard too.

About MBA Newslink

President and CEO: Robert Broeksmit, CMB

Publisher: Marcia Davies, Chief Operating Officer

Vice President of Public Affairs: John Mechem jmechem@mba.org

Editor: Mike Sorohan 202/557-2855 msorohan@mba.org 

Editorial Director: Michael Tucker 202/557-2851 mtucker@mba.org 

Senior Editorial/Advertising Specialist: Lesley Hall 202/557-2856 lhall@mba.org

Advertising Opportunities: Bill Farmakis 203/834-8832 bill@jlfarmakis.com

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