Posts Tagged ‘ginnie mae’

Native Americans Rack up $1.7 Billion in Mortgages as of Aug. 11

August 22nd, 2016 Comments off

mortgage app   texaslendingtoday credit postedDailyBusinessNewsMHProNewsAccording to indiancountrytodaymedianetwork, the 2015 Home Mortgage Disclosure Act reveals Quicken Loans of Michigan has replaced Wells Fargo Bank as the top lender to Native Americans with $283 million in lending. San Francisco-based Wells slipped to second place with $276 million in lending, while Mid America Mortgage of Addison, Texas at $152 million came in third. In 2014, Wells was first, followed by Quicken, then Mid America.

For 2015, Mid America approved 68 percent of applications, 826 out of 1,209, while Quicken granted 1,514 out of 2,308 applications. Wells approved 41 percent of applications, 1,350 out of 3,216.

As of Aug. 11, 44 percent of the 19,000 Native American applications had been approved, while 31 percent had been rejected, 11 percent withdrawn, six percent purchased and six percent incomplete. Similarly, in 2014, 46 percent of the applications were approved while five percent were purchased.

Over half of the 8,388 originated mortgages as of Aug. 11 were non-governmental, while FHA and the Department of Veterans Affairs accounted for 45 percent.

The mortgage investor market purchased 80 percent of the Native American mortgages, while the other 20 percent were kept in lender portfolios. For 2015, Ginnie Mae was the biggest investor of mortgages made to American Indians with 34 percent, followed by Fannie Mae with 20 percent, and Freddie Mac accounted for 12 percent.

With dollar volume reaching $1.7 billion through Aug. 11, first mortgages accounted for over 99 percent of the volume with an average of $209,000, while second mortgages averaged $34,000.

MHProNews understands two percent of mortgage dollars through Aug. 11 was for manufactured homes, with the rest primarily going for single-family homes. ##

(Image credit:texaslendingtoday)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J Silver to Daily Business News-MHProNews.

Sunday Morning Recap-Manufactured Housing Industry News Nov. 8-Nov. 15, 2015

November 15th, 2015 Comments off

mhpronews_sunday_morningWhat’s New in Manufactured Housing Industry Professional News

$25k can apply to MH in Ala. and Long Island. Insider trading: Cavco, UMH, Sun, Drew. MH securitizer beats Zacks consensus. Ordinance allows newer homes only. Log cabin builder honored. Former Ginnie Mae head says mortgage reform unlikely. One Fed Head says no to rate hike. Champion, MHVillage link marketing. Modular at US Open, rising in Australia. Lawsuit against MHC owner to proceed. Luxury MHC next to organic farm? And much, much more in news and views to peruse.

Saturday, Nov.14

UMH Chairman Adds to His Company Stock

Friday, Nov. 13

Modular Structures will Grace US Open

Sun Community Principal Sells 5,000 Shares of Stock

Skyline, Patrick and Universal Forest Products Gain; Dow, Nasdaq, S&P Fall

Ordinance Requires Manufactured Homes to be Under Seven Years

U. S. Home Prices Rise as Affordability Recedes

$25k Grant Available for First Time Home Buyers on Long Island

Thursday, Nov. 12

Rotary Club Partners with School to Build Modular Homes, Do Rehab

MH-related Stocks all drop or Remain even–No Gainers

Chicago Fed Head Seeks to Put Brakes on Rate Hike

$25k CDBG Funds to Replace Manufactured Homes in Alabama

Insider Trading at Cavco following Stock Spike

Wednesday, Nov. 11

Former Head of Ginnie Mae does not Envision GSE Reform Soon

MH-Related Stocks Mostly Quiet, but Skyline Gains 3.57%

Upscale Log Cabin Builder Honored at Building Systems Showcase

Framing Lumber Prices have Fallen

Modular Building Gaining Momentum in Australia

Organic Farm may share Space with Luxury Manufactured Homes

Tuesday, Nov. 10

Champion Homes and MHVillage Link up to Market Homes

Insider Trading at Drew, as Revenues Increase 17%

Deer Valley Spikes 20% plus, while Nobility plunges -10.51%

Multifamily Originations Rise in Third Quarter

Clayton Reports Income Increase for Q3

Housing Market Confidence Index for 55+ Homes Rises

Monday, Nov. 9

Manufactured Home Loan Securitizer Beats Zacks EPS

Only one Tracked Stock Gained in Today’s Trading

Sun Closes Public Offering

City Council Seeking MHC Closure Ordinance

Kentucky Judge Refuses to Dismiss Lawsuit against Land Lease Community Owner

Sunday, Nov 1

Nettlesome November 2015 Issue Goes Live Tuesday Night

Sunday Morning Recap-Manufactured Housing Industry News Nov. 1-Nov. 8, 2015 ##

(Photo credit: MHProNews)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Before you Dismantle Fannie Mae, Freddie Mac and Ginnie Mae………

May 27th, 2015 Comments off

joseph_murin__yahoo_creditWhile he supports free enterprise in the mortgage market, former Ginnie Mae President Joseph Murin, in a blog on housingwire, says without the federal guarantee offered by the Federal Housing Administration, the Department of Agriculture and Veterans Administration mortgages, the U. S. economy may have fallen farther than it did. Ginnie Mae grew during the Great Recession as Freddie Mac, Fannie Mae (the government-sponsored enterprises, or GSEs) and private markets tightened their lending standards.

Less than a year ago nearly 80 percent of new mortgages were backed by a government guarantee. To suddenly remove the GSEs and Ginnie Mae would be disastrous; to remove it slowly over time does not guarantee that private markets would necessarily pick up the slack. Murin says, “Without the government guarantee, our housing industry would be left to the whims of a private market. We’ve already seen what private markets tend to do in times of economic crisis or hardship: they hunker down and mitigate risk.

If the backstops did not exist, and the relatively uniform underwriting and origination standards the GSEs bring to the table disappeared, investors would become much more skittish on the secondary market. As MHProNews understands, the number of lenders (especially for smaller loans) would decline and fewer consumers would be buying homes because the cost of mortgages would inflate.

Murin realizes the GSEs need some changes, and taxpayers need to be protected from mortgage industry collapse and bailouts. But, he says, Unless we, as a nation, have turned our back on the American Dream and the ideal that most (if not all) Americans should have access to affordable homes, we need to maintain, in large part, the role of the GSEs and Ginnie in that dream. ##

(Photo credit: yahoo–Joseph Murin)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Housing Finance Reform Bill Balances Public vs Private

March 23rd, 2015 Comments off

mortgage app  housingwire creditIn a measure to preserve housing affordability while shielding taxpayers from another bailout, nationalmortgageprofessional tells MHProNews three Democratic representatives on the House Financial Services Committee have reintroduced housing finance reform legislation.

Reps. John Carney (D-DE), John K. Delaney (D-MD) and Jim Himes (D-CT) first introduced the Partnership to Strengthen Homeownership Act last summer. The bill pares down the government-sponsored enterprises (GSE) for sale into the private market

The measure also offers insurance through Ginnie Mae, supporting all single-and-multi-family mortgage backed securities (MBS) with five percent private sector capital, which is in a first loss position. The 95 percent remaining risk will be divided between Ginnie and a private re-insurer, and fees paid to Ginnie will go toward affordable housing programs.

Noting this approach veers toward middle ground between private and public sector housing reform, Rep Carney says, If we to want to preserve the dream of homeownership and make sure taxpayers aren’t on the hook for another bailout—the status quo has to change. Our bill is the right policy, and it’s also an approach that appeals to both sides of the aisle.

Mortgage industry leaders have responded positively to this bill. Mortgage Bankers Association President and CEO David H. Stevens said, We particularly appreciate the bill’s approach regarding the appropriate level of private ‘first-loss’ capital required, its mechanisms for the pricing of a federal guarantee, and its recognition of the unique attributes and importance of the multifamily finance market.

Said John Dalton, president of the Financial Services Roundtable’s Housing Policy Council: This bill shows there are thoughtful members on both sides of the aisle who recognize the need for change. ##

(Image credit: housingwire)

matthew-silver-daily-business-news-mhpronews-com   Article submitted by Matthew J. Silver to Daily Business News-MHProNews.

MH Industry Pros Respond to CFPB Report

October 8th, 2014 Comments off

richard_cordray_c-span2__creditWhile the Consumer Financial Protection Bureau’s recent report on financing the purchase of manufactured homes (MH) notes buyers of MH are often poor, elderly, rural and vulnerable to high-cost “chattel” (“home only,” personal property) loans, the bureau wants to ensure consumers have access to “responsible credit.” Their report, comments and the resulting controversies are the subject of a new Industry in Focus report, linked here.

Consumer Affairs reporter Truman Lewis says mortgage lenders generally disregard MH lending because the demand is not great, which leaves the door open to five national MH personal property lenders.

However, smaller regional and local MH lenders exist, but CFPB regulations restrict sales people from referring consumers to them for fear of violating CFPB rules.
Dan Rinzema, president of MHVillage and DataComp says the government regulation is misguided and does not help the market for the resale of manufactured homes, which would help make MH a competitive housing choice. Doug Ryan, Director of Affordable Housing Initiatives at the Corporation for Enterprise Development (CFED), a non-profit that supports affordable MH, echoes CFPB’s claim that borrowers are vulnerable to expensive loan products.

Some Washington insiders say the report stems from the stiff grilling CFPB Director Richard Cordray received Jan. 28, 2014 at the hands of the House Financial Services Committee’s Subcommittee, and point to a video of that hearing.

The 55-page report alleges that 68 percent of all MH purchase loans in 2012 were chattel loans compared to three percent of site-built home loans, and included that two-thirds of MH loans were eligible for traditional mortgages but chose personal property loans instead. Chattel loans are quicker to obtain, says the report, but have lower origination costs. Industry finance expert Dick Ernst, a principal at FinMarkUSA, says while the report notes the absence of a secondary mortgage market for MH, the cost to originate personal property loans is the similar regardless of the amount of the loan.

Meanwhile, the Government Accountability Office (GAO) report, in response to a request from the chairman of the House Financial Services Committee for an analysis of HUD’s implementation of the MHIA of 2000, says HUD has fallen short of encouraging Ginnie Mae to securitize manufactured home loans, which in turn reduces the availability of affordable MH.

The law firm of Bradley Arant Boult Cummings LLC said in a statement the CFPB report indicates the agency is showing interest in the MH industry which may lead to adjustments that could reduce burdens on the lenders and lower costs of credit to borrowers. Robert Williamson, of Hart King Law, says the paper may be a public recognition of the importance of MH to the consumer housing market, and may in turn stimulate a more robust MH market.

The Manufactured Housing Association for Regulatory Reform (MHARR) notes the report may be establishing a jumping off point for future CFPB activity, while the Manufactured Housing Institute (MHI) remarks the CFPB acknowledges the negative impact the Dodd-Frank Act, implemented in Jan. 2014, is having on the manufactured housing market.

Tim Williams of 21st Mortgage Corporation says the statement that 60 percent of chattel customers own their land and are therefore eligible for a conventional mortgage is incorrect, noting it is irresponsible of the CFPB to make such false statement. He says 26 percent of 21st’s borrowers say they own their land, but he is pleased the CFPB admits their regulations restrict credit to manufactured home owners.

When consumers are considering buying a site-built or a manufactured home, the two pieces of crucial information are the down payment and the monthly payment. MH sales people are restricted in what they can offer in response to such a question, while some believe it’s not a violation if a Realtor ® gives such information.

A chart from Fannie Mae demonstrates that even when the interest rate is higher for an MH, monthly payments often make the purchase of a manufactured home the lower cost option. The restrictions on MH salespeople helping consumers find financing can turn people away from even being interested in a manufactured home, further damaging the industry’s chances of offering affordable options, as Jason Boehlert, Senior VP of Government Affairs at MHI notes.

Major MH lenders have told MHProNews they have added staff to deal with the increase of applications being “shot-gunned” to multiple lenders, since the CFPB regulations took effect in Jan. 2014. This is increasing costs, all because MH retailers do not want to be accused of steering customers, which could result in heavy fines.

In addition, the lack of a secondary market for MH loans also limits mortgage lenders from making MH loans, which higher costs of funds makes the loan cost more to the borrower. The CFPB regulations result in lenders not accepting loans for under $25,000 because the cost to originate and service that sized loan makes them unprofitable.

While CFPB Director Cordray says, “Manufactured housing is a critical source of affordable housing for some consumers,” the regulations of the agency work is in the opposite direction—preventing potentially millions of Americans from buying durable, affordable, energy efficient homes that could stimulate the housing market and the jobs that would accompany the stimulus. ##

For the complete commentary, please click here.

(Photo credit: C-SPAN 2)

Residential Mortgages Set High Mark for Q1 2012

May 15th, 2012 Comments off

NationalMortgageNews tells $462 billion in residential mortgages were funded in Q1 2012, the highest volume since the fourth quarter of 2010. The numbers are based on secondary market loan purchases reported by Fannie Mae, Freddie Mac, and Ginnie Mae. For 2010 the industry funded $1.67 trillion in home loans, $22 trillion more than the $1.45 trillion in 2011. At the current rate the industry could expect to see $1.8 trillion this year, though most analysts and economists expect loans to decrease towards the year’s end.

(Image credit: MoneyControl)