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Volume 17 | Issue 120 | Thursday, June 21, 2018

The Lede


MBA Urges Clarity to CFPB LO Comp Rule, QM Requirements

The Mortgage Bankers Association, in a letter to the Consumer Financial Protection Bureau, urged the Bureau to make changes to its Loan Officer Compensation Rule for clarity and simplicity and to make adjustments so that more creditworthy borrowers can be eligible for Qualified Mortgage loans.


Top National News

U.S. Mortgage Applications Rise Most Since January: MBA

Reuters, June 20, 2018--Richard Leong
U.S. mortgage applications increased the most last week in more than five months, as some 30-year home loan borrowing costs held steady or fell from the prior week, the Mortgage Bankers Association said on Wednesday.

MBA, NMHC, Others Call on CFPB to Change Multifamily HMDA Rules

HousingWire, June 20, 2018--Ben Lane
The groups tell the CFPB that the multifamily housing industry experiences "unwarranted regulatory burdens and privacy issues" due to the "unnecessary application" of HMDA reporting requirements on multifamily lending.

HUD Taking a Closer Look at 'Disparate Impact' Rule

National Mortgage News, June 20, 2018--Hannah Long (subscription)
HUD launched a process to amend its use of the "disparate impact" standard in fair lending rules. The legal standard, which can be used to punish lenders for discriminatory effects even if none were intended, has long been unpopular with banks.

It's Easier to Get a Mortgage in 2018, According to a New Study

Washington Post, June 20, 2018--Michele Lerner
Looser mortgage qualifying guidelines by Fannie Mae and Freddie Mac over the past few years are beginning to have an impact on mortgage loan applications this year, said CoreLogic.

First Mortgage Default Rate Down

National Mortgage Professional, June 20, 2018--Phil Hal
The first mortgage default rate declined by two basis points from 0.68 percent in April to 0.66 percent in May, according to the latest data from S&P/Experian Consumer Credit Default Indices.

U.S. Homes Prices Least Affordable in Almost a Decade

Bloomberg, June 21, 2018--Alexandre Tanzi (subscription)
The American dream continues to fade for many people. Housing affordability dropped this quarter to the lowest since late 2008, according to data released this month by the National Association of Realtors.

Bank Account Data Could Help Lenders Avoid IRS Transcript Delays

National Mortgage News, June 20, 2018--Bonnie Sinnock (subscription)
The jury's still out on whether bank account data is a viable alternative to the tedious process of contacting employers to verify a mortgage applicant's job status. But there's already hope that the same data could replace the even more nettlesome task of Internal Revenue Service income verifications.

New Low for Refi Share as Lending Tightens

Mortgage Daily, June 20, 2018
As the share of conventional business has grown at the expense of government-insured business over the past year, lending risk tightened and refinance share fell to a new low, said Ellie Mae.

Massive GSE MSR Portfolio For Sale

Mortgage Daily, June 20, 2018
Mortgage servicing rights are being offered on 39,253 Fannie Mae and Freddie Mac single-family loans with a collective unpaid principal balance of $10.349 billion as of May 31.

Bank Investors Await U.S. Stress Test Results for Capital Returns

Reuters, June 21, 2018--Sinead Carew
U.S. investors expect banks and other financial institutions to announce large returns of capital to shareholders after the Federal Reserve publishes the first set of results from its annual "stress test" late Thursday.

Pension Funds Hunt for Higher Yields in CRE

National Real Estate Investor, June 20, 2018--Beth Mattson-Teig
Pension funds still have a healthy appetite for commercial real estate, with firms raising allocations even as industry returns decline.

Residential Finance News

Harvard Joint Center: Improvement in Housing Market, But Much Has Worsened

In its 30th annual edition, the Harvard Joint Center for Housing Studies State of the Nation's Housing Report said while the U.S. housing market appears to be on "sound footing," opportunities for low-income and medium-income households have worsened, with the gap between white and black homeownership widening further.

May Existing Home Sales Fall Back

Existing home sales fell for the second straight months, the National Association of Realtors reported yesterday, with only the Northeast reporting an uptick in activity.

Commercial/Multifamily News

Seattle, Atlanta, Austin Lead Metros for CRE Investment

Seattle, Atlanta and Austin, Texas are excellent metros for commercial real estate investment from a relative value vs. price perspective, while New York and Los Angeles rank among the worst, reported Situs RERC, Houston.

Dealmaker: Berkadia Secures $49M for Multifamily

Berkadia, New York, secured $48.6 million in Fannie Mae and Freddie Mac financing for multifamily properties in Florida and Arizona.

MBA News

MBA CREF Market Intelligence Symposium July 11-12

The Mortgage Bankers Association's Commercial Real Estate Finance Market Intelligence Symposium returns to New York City July 11-12.

MBA Education School of Mortgage Servicing July 16-26

MBA Education offers its popular School of Mortgage Servicing instructor-guided online course July 16-26.

MBA 2018 Human Resources Symposium Sept. 11-12

The Mortgage Bankers Association's annual 2018 Human Resources Symposium takes place Sept. 11-12 in Arlington, Va.

About MBA Newslink

President and CEO: Robert Broeksmit, CMB

Publisher: Marcia Davies, Chief Operating Officer

Vice President of Public Affairs: John Mechem

Editor: Mike Sorohan 202/557-2855 

Editorial Director: Michael Tucker 202/557-2851 

Senior Editorial/Advertising Specialist: Lesley Hall 202/557-2856

Advertising Opportunities: Bill Farmakis 203/834-8832

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