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Posts Tagged ‘mortgage brokers’

Sobama, What Now?

November 8th, 2012 2 comments

While President Obama’s re-election will likely thwart hopes of altering Dodd-Frank or the CFPB (Consumer Financial Protection Bureau), a more immediate concern is the possibility that the U.S. Treasury Dept. may have to bailout the Federal Housing Administration’s Mutual Mortgage Insurance Fund, according to nationalmortgagenews. A Romney administration would likely have tightened FHA’s credit standards and increased down payments for borrowers with low credit scores. Fannie Mae and Freddie Mac will probably not change much in the next four years; but the expected chairman of the House Financial Services Committee, Jeb Snarling, (R-TX), wants to move Fannie and Freddie out of conservatorship and privatize them in five years. Mortgage bankers are hoping the administration will replace Edward DeMarco, the acting director of the Federal Housing Finance Agency (FHFA), with a permanent director who will write down the principal on underwater mortgages, thereby helping thousands of borrowers restructure their notes. MHProNews has learned, meanwhile, newly-elected Sen. Elizabeth Warren, the engineer of the CFPB and critic of mortgage brokers, will likely seek a seat on the Senate Finance Committee where she will block any legislation that might reduce the whammy of the CFPB.

(Photo credit: Wikipedia–U.S. Capitol Floor)

New MBA Chair: Repair Lenders Image

October 23rd, 2012 Comments off

NationalMortgageNews says the new Mortgage Bankers Association (MBA) Chairwoman Debra Still says the mortgage industry has to repair its image from top to bottom toward rebuilding the housing and residential finance sectors. Noting lenders have to be committed to do a better job, she says, “Nowhere do we have more control than in how we choose to operate our own companies.” Mortgage brokers need to rise above the profit motive alone, and make sure their employees are properly trained and have a “genuine duty of care” for their borrowers, which includes insuring the lending process is transparent. “As the stewards of our industry we must lead,” Ms. Still said. “Together we have the responsibility and the opportunity to leave a positive legacy.” As MHProNews has learned, with over 30 years of experience in the mortgage industry, Still is CEO and president of Pulte Mortgage, and will serve a one year term as MBA Chair. CEO and president David Stevens manages daily operations of the organization.

(Photo credit: MortgageBankers–Debra Still)

Regulation would Standardize Loan Originator Training

July 24th, 2012 Comments off

According to OriginationNews, the Consumer Financial Protection Bureau (CFPB) wants to standardize training so all loan originators meet the same requirements for fitness, character, and financial responsibility. The new standards would erase some of the differences between bank loan originators and state-licensed LOs created by Congress’ passage of the SAFE Act (Secure and Fair Enforcement for Mortgage Licensing Act) in 2008, now under the jurisdiction of the CFPB. (As MHProNews knows, the SAFE Act prevents those involved in the manufactured housing industry who are not licensed mortgage brokers from discussing financing of MH with a customer.) Banks typically have their own training program for LOs, which are often more stringent than state licensing and testing. Standardizing the training would allow bank mortgage lenders to easily move over to a state-licensed mortgage broker. Agency officials want to finalize the new professional standards by the end of January 2013.

(Image credit: Foreclosure Listings)