|
|
|
|
|
Mortgage Headlines
|
powered by
|
 |
|
Last Updated Friday, February 04, 2005 11:11 AM CST
|
|
Mortgage Jobs Down
Mortgage jobs totaled 486,400 in December, fewer than the prior month, the Bureau of Labor Statistics reported. The Bureau, a division of the U.S. Department of Labor, reports mortgage employment about 30 days following the end of each month.
2004 RMBS Performance Outstanding
In its announced study of global structured finance ratings transitions over time and by asset class, Moody's Investors Service found that there were roughly an equal number of upgrades and downgrades last year. In the U.S. RMBS sector, the upgrade rate ascended last year to 7.9% -- the highest level since 1996.
Jobs Reports Drives Down 10-year Treasury Yield
Early Friday, the 10-year Treasury-bond was trading at 101.28, with the yield tumbling 8 BPS from yesterday to 4.08%. The Treasury activity was driven by a weaker-than-expected employment report.
OCC Issues Predatory Guidelines
The Office of the Comptroller of the Currency issued residential real estate lending guidelines as an additional step to protect against national banks and their subsidiaries from becoming involved in predatory, abusive, unfair, or deceptive residential mortgage lending practices, according to a press release. The guidelines take effect 60 days after their publication in the Federal Register.
Fired BoA Originator Robs Bank
A Oregon mortgage originator allegedly robbed a Bank of America branch on the day he was fired from the company. In an affidavit filed in U.S. District Court in Portland, an FBI Agent said he received several phone calls after he distributed a flyer with the robber's picture snapped by the bank's surveillance cameras. Several people, including a coworker, called the FBI to identify him.
Mortgage Debt Disappears
A rogue company operating a scheme that uses legal technicalities to eliminate mortgages can help borrowers fall into foreclosure, according to a press release from the Better Business Bureau. The program is similar to other schemes of this nature -- claiming the U.S. banking system is flawed to persuade homeowners that mortgage elimination is legal and ethical.
3000 FTC Complaints of ID Theft Used for Mortgages in '04
In an annual report, the FTC reported its complaint database received 635,173 consumer fraud complaints in 2004, up from the prior year's total. Approximately 3,000 alleged identity theft was misused for real estate loans.
Fed Funds Rate Bumped 1/4%
The Federal Reserve decided to raise the federal funds target rate by a quarter percent, according to an announcement Wednesday. The move brings the fed funds target to 2.5%.
Fraud Funded Lavish Lifestyle
Money allegedly scammed from investors went to pay lavish "personal expenses" for the operator of a New Jersey securities scheme. Ill-gotten expenses included more than $8.8 million in jewels, expensive clothes and a Florida condo, according to a lawsuit filed by New Jersey's attorney general.
Mortgage Lead Frenzy
Bankrate Inc. announced that it signed one-year contracts with two mortgage loan lead providers under which the two companies will be the only mortgage lead aggregators running ads on its site. Another deal has two lead companies strengthening an existing alliance. Under that agreement, the two companies intend to leverage their collective strengths to provide comprehensive lead generating systems technologies to a greater number of mortgage brokers and their potential clients.
Fitch's Five Factors
In the first of a series of articles, Fitch Ratings said that in addition to loan-to-value and credit scores, the most common components in underwriting guidelines for evaluating borrower risk and determining grades are: pay history, pay history of nonmortgage debt, foreclosure and bankruptcy experience, charge-offs and debt-to income ratios.
High-Cost Lending Investors Scarce
In a study announced Tuesday, Standard & Poor's said anti-abusive lending laws are hindering financing for high cost loans through capital markets. The analysis of the impact anti-predatory lending statutes have had on capital markets' fundings for high-cost loans indicated that only 0.01% of the residential loans S&P rated last year were high cost.
$135 Billion Cashouts Last Year
In its fourth quarter Refinance Review, Freddie Mac found that 56% of its loans that were refinanced included cashout. Estimated total home equity cashed out in 2004 was about $135 billion, according to Freddie.
Calif. Wholesaler Touts Growing Jumbo Production
No Red Tape Mortgage announced it funded nearly $2 billion in jumbo loans during 2004. The California-based company says it is the nation's leading jumbo-only wholesale lender of Alt-A and A-paper jumbo/super jumbo loans.
Name Blame
A mortgage company located in the Kansas City area has agreed to change its name to settle a trademark infringement lawsuit filed by a large mutual fund company that has a similar name. In the federal lawsuit, the plaintiff accused the mortgage company of trying to intentionally profit from using a similar name.
COFI Continues Climb
The cost of funds index, or COFI as it is widely known, ended the year at 2.118%, up from November, according to the Federal Home Loan Bank of San Francisco. The average total funds in December used to calculate the COFI were reportedly $477.5 billion.
Florida Company Looking to Buy Mortgage Brokerages
Paragon Financial Corp. announced it recently closed on the deal to acquire a Charleston, S.C., mortgage company. The transaction marks the first of a number of similarly planned acquisitions that will help fulfill part of the Florida firm's plan to build a network of mortgage brokerages.
Mortgage Employee Beaten to Death
The body of a mortgage company worker was found Jan. 23 in her Chevrolet Sport Utility Vehicle. The SUV was parked in a shopping mall and was discovered by one of her friends. She reportedly was at a bar with friends Friday night into early Saturday morning.
Broker Blasts Other Brokers
A broker-turned-blogger, who says on her Web site that she is a loan advisor and licensed broker, outlined the top 5 traps and pitfalls consumers face when shopping for mortgages in the report. She started the site, which aims to provide mortgage advice to consumers, after being "fed up with the tricks and underhanded methods brokers use to get business," according to a press release.
Mortgage Industry Outlook
A panel of five industry economists from member companies of the Homeownership Alliance provided predictions for 2005 earlier this month. Strong economic growth is anticipated throughout the year in the presence of low inflation with above trend growth in GDP, resulting in continued strength in employment and higher wages. The group expects short-term interest rates will see more of a rise than long-term rates.
|
|
This mortgage news summary reprinted with permission of
|
|
|
For the entire text of any of these stories please visit
|
|
Copyright © 2004 MortgageDaily.com
|
|
|
