|
Industry continues to review impact of Supreme Court decision
Posted Date: Monday, July 1, 2024
In the wake of the Supreme Court’s decision to overturn Chevron, a case providing for the deference to agency interpretation in situations where the legislature’s intent is considered ambiguous, experts in the real estate and title industries continued to discuss the potential impact this will have on regulatory enforcement.
In a blow to the power held by the executive branch, the U.S. Supreme Court delivered its opinion on Friday, holding the Administrative Procedures Act requires the judiciary to exercise independent judgment and cannot defer to an agency interpretation “simply because” a statute is ambiguous.
Read on for more details.
|
|
|
Xactus names new CFO
Posted Date: Wednesday, July 31, 2024
Xactus named Joseph Peterson as chief financial officer to manage accounting and finance functions, to develop procedures and financial controls, and to secure funds and minimize risk.
|
|
|
Servicer’s motion for judgment defeats RESPA class action
Posted Date: Monday, July 29, 2024
The servicer defendant in a case out of Massachusetts succeeded in its motion for judgment on the pleadings in a class action case related to its handling of qualified written requests.
The named plaintiffs had requested telephone recordings or transcripts related to their mortgage, which the servicer refused to provide because “it [was] privileged or proprietary.”
Read on for more details.
|
|
|
Borrower argues he was never in default in TILA, FDCPA case
Posted Date: Monday, July 29, 2024
An Alabama borrower alleged he had never missed a payment and his servicer knew he was contesting the matter when it brought a foreclosure action against his home.
The home was sold at foreclosure, and the new owners attempted to eject the borrower – in response, he filed charges against the servicer and owner of his mortgage loan asserting violations of the Truth in Lending Act and the Fair Debt Collection Practices Act.
Read on for more details.
|
|
|
Flagstar mortgage servicing, operations to be acquired for $1.4B
Posted Date: Monday, July 29, 2024
Plans to acquire Flagstar Bank’s mortgage operations, including its servicing business, were announced as part of a transaction expected to add 1.3 million customers and $356 billion in unpaid loan balances to the buying company’s portfolio.
“This was not a decision we took lightly and I want to thank our teammates in mortgage servicing and third-party mortgage originations,” Flagstar Bank Chair, President, and CEO Joseph Otting said about the sale.
Read on for more details.
|
|
|
A tale of tangled title: Fannie Mae director highlights title challenges
Posted Date: Monday, July 29, 2024
Fannie Mae Senior Director, Community Impact Tim Carpenter shared results of a study conducted with the help of the Housing Assistance Council to better understand the prevalence of residential heirs’ property. The analysis was conducted after Fannie Mae noticed issues homeowners had in accessing emergency relief programs because of “tangled” titles on their home.
“Whether it’s the result of a homeowner lacking an estate plan to name a clear heir for the property or a homeowner leaving it to multiple heirs in their estate, tangled title can hinder homeowners from accessing critical resources for maintaining their homes or even force the sale of a property, perhaps at below-market value,” Carpenter stated.
Read on for more details.
|
|
|
Ohio woman charged with theft from Realtor association
Posted Date: Monday, July 29, 2024
Ohio Attorney General Dave Yost announced a former executive officer of a Realtor association has been indicted on two felony counts related to alleged crimes against the organization.
According to the court filing, the former executive allegedly committed her crimes sometime between January 2016 and November 2023.
Read on for more details.
|
|
|
Last chance to educate CFPB on closing costs
Posted Date: Monday, July 29, 2024
The due date for responses to the Consumer Financial Protection Bureau’s request for information related to mortgage closing costs is this week – don’t forget to comment.
Read on for more details.
|
|
|
Experts offer a deeper dive into today’s RESPA issues
Posted Date: Thursday, July 25, 2024
Experts from Saul Ewing, LP and Foley & Lardner, LLP shared insights into the latest actions invoking RESPA in this deep dive session at the National Settlement Services Summit (NS3).
The two covered the Consumer Financial Protection Bureau’s renewed focus on RESPA, what’s being asked by state regulators who enforce the act, and what to take away from recent consent orders and advisory opinions.
Read on for more details.
|
|
|
Loan officer moves to acquit ‘guilty’ verdict in mortgage fraud case
Posted Date: Thursday, July 25, 2024
A loan officer was convicted on all counts in a case involving the mortgage on his own home after he submitted false documents to obtain home financing insured by the Federal Housing Administration.
The U.S. District Court for the Southern District of West Virginia considered his motions for new trial and judgment of acquittal.
Read on for more details.
|
|
|
New analysis looks at whether shopping, negotiating mortgage rates benefits borrowers
Posted Date: Thursday, July 25, 2024
As the cost of obtaining a mortgage continues to be a hot topic on the Hill, a team from the Urban Institute released a new analysis on the dispersion rates for mortgages taken by Fannie Mae and Freddie Mac borrowers to determine whether shopping and negotiating for mortgage rates saves borrowers money.
Analysts looked at rates over the past decade, paying attention to the range of interest rates borrowers with similar characteristics received on any given day.
Read on for more details.
|
|
|
New housing investments announced to boost ‘green’ renovations
Posted Date: Thursday, July 25, 2024
The U.S. Department of Housing and Urban Development announced grants and loan awards for properties in 18 states as part of the Biden-Harris administration’s plan to ensure affordable, resilient, and energy-efficient homes.
Read on for more details.
|
|
|
Existing home sales decrease in June, home prices set new record
Posted Date: Thursday, July 25, 2024
Existing home sales saw another decrease in June, marking the third consecutive month of decline, while the median existing-home sales price hit another record high, the second in as many months, according to the National Association of Realtors’ data.
The organization’s senior economist said this could be a sign the market is shifting from a seller’s market to a buyer’s one.
Read on for more details.
|
|
|
Stern & Eisenberg appoints new COO
Posted Date: Wednesday, July 24, 2024
Stern & Eisenberg, based in Warrington, Pa., announced the appointment of Patrick O’Brien to chief operating officer, bringing over 27 years of industry experience.
|
|
|
Consumer Law Center, housing orgs support title waiver program
Posted Date: Monday, July 22, 2024
The National Consumer Law Center, the Consumer Federation of America, and several other organizations devoted to consumer protection and housing access wrote to Federal Housing Finance Agency Director Sandra Thompson in support of the agency’s title acceptance pilot program.
“As housing costs have remained high in recent years and continue to drive inflation, finding ways to broaden access to homeownership and preserve stable existing homeownership is extremely important,” the groups wrote. “Mortgage closing costs have been identified by some researchers as an important piece of the puzzle.”
Read on for more details.
|
|
|
Bill requires private equity, corporate investors to report homebuying activities
Posted Date: Monday, July 22, 2024
The chairman for the Senate Banking, Housing, and Urban Affairs Committee introduced a bill requiring corporations and private equity firms buying up large numbers of houses and apartments to report these transactions to antitrust enforcers.
The proposed legislation is called the Housing Acquisitions Review and Transparency Act and is meant to increase competition in the housing market.
Read on for more details.
|
|
|
Report shows impact of expanded borrower eligibility, loan requirements in addressing housing costs
Posted Date: Monday, July 22, 2024
Up-front costs, credit invisibility, and limited supply of affordable housing have created hurdles for borrowers looking to become homeowners, or to sustain homeownership.
Fannie Mae’s 2023 Corporate Responsibility and Impact report provided insight into how the government sponsored enterprise is fulfilling its duty to support the housing market.
Read on for details from the report.
|
|
|
Freddie Mac expands DPA tool, starts developer academy
Posted Date: Monday, July 22, 2024
Freddie Mac Senior Vice President, Mission and Community Engagement, Single-Family Danny Gardner shared how Freddie Mac is working to increase affordable housing opportunities and support families’ homeownership goals.
One example Gardner provided was the expansion of the down payment assistance tool, DPA One. Additionally, Home Possible, its flagship 3 percent down payment program, enabled more than 96,000 low- to moderate-income borrowers to achieve homeownership last year.
Read on for more details.
|
|
|
Monthly housing payment drops from all-time high
Posted Date: Monday, July 22, 2024
The typical monthly housing payment dropped $115 since the all-time high recorded in April, according to a Redfin report.
This, combined with an increase in housing supply year-over-year, provided some relief for homebuyers looking to move soon.
Read on for more details.
|
|
|
Federal agencies release guidance on reconsideration of value
Posted Date: Monday, July 22, 2024
The Consumer Financial Protection Bureau, Federal Deposit Insurance Corp., Federal Reserve Board, National Credit Union Administration and the Office of the Comptroller of the Currency released guidance on reconsideration of value for residential real estate valuations in concert with a new final rule meant to ensure the credibility and integrity of automated valuation models.
Read on for more details.
|
|
|
NAR defends ‘consumer choice’ amidst criticism
Posted Date: Thursday, July 18, 2024
The National Association of Realtors (NAR) called consumer choice “paramount” in determining the nature and cost of professional representation in a real estate transaction.
The comment came after the Consumer Federation of America published two papers criticizing drafts of proposed buyer and buyer-broker agreements that incorporate the terms of NAR’s settlement with homesellers in Sitzer-Burnett.
Read on for more details.
|
|
|
Appraisal company, Rocket Mortgage charged with race discrimination
Posted Date: Thursday, July 18, 2024
The U.S. Department of Housing and Urban Development charged an appraiser, an appraisal management company, and the lender, Rocket Mortgage, with violating the Fair Housing Act when a discriminatory appraisal was used as part of a Black homeowner’s application for refinance.
The appraisal was used despite the homeowner raising objections and several red flags, according to the charge.
Read on for more details.
|
|
|
NCRC calls for more investment in FHLBanks’ affordable housing, community development efforts
Posted Date: Thursday, July 18, 2024
The National Community Reinvestment Coalition (NCRC) provided its perspective to the Federal Housing Finance Agency in its response to a request for input on the mission of the Federal Home Loan bank (FHLBank) system.
NCRC President and CEO Jesse Van Tol focused on how the FHLBank’s mission statement can be improved to better support affordable housing and community development.
Read on for more details.
|
|
|
Talent management, cost-cutting top list of mortgage lender priorities
Posted Date: Thursday, July 18, 2024
Mortgage lenders who responded to Fannie Mae’s mortgage lender sentiment survey said talent management and leadership as well as cost-cutting are their most important business priorities for this year, Fannie Mae’s Senior Vice President and Chief Economist Douglas Duncan revealed.
Cost-cutting was also cited as a top priority last year, and according to the latest survey, nearly two-thirds of lenders reported downsizing their workforce in 2023.
Read on for more details.
|
|
|
|
NAHREP announces top Latinx real estate agents
Posted Date: Wednesday, July 17, 2024
The National Association of Hispanic Real Estate Professionals released its 13th annual Top 250 Latino Agents Report with support from Freddie Mac.
|
|
|
Seventh Circuit overturns Townstone case referencing agency deference
Posted Date: Monday, July 15, 2024
In one of the most prominent cases referencing Chevron deference and dealing with how the Consumer Financial Protection Bureau interpreted the Equal Credit Opportunity Act to include actions directed toward prospective applicants, the Seventh Circuit Court of Appeals overturned the lower court’s decision to dismiss CFPB v. Townstone Financial, Inc., et al.
Both parties made supplemental arguments on how the Supreme Court’s June decision overturning Chevron supported their positions. The three-judge panel determined the statute read “as a whole” did not support Townstone’s argument.
For more details from the opinion and reaction from the legal teams, read on.
|
|
|
What are stakeholders saying about CFPB RFI on mortgage closing costs?
Posted Date: Monday, July 15, 2024
With comments related to the Consumer Financial Protection Bureau’s (CFPB) request for information (RFI) on mortgage closing costs due in less than a month, 42 comments have been submitted to the Federal Register’s portal.
While many of them were submitted anonymously, RESPA News took a look at them to see what concerns are arising and what stakeholders are saying about mortgage closing costs.
Read on for more details.
|
|
|
Housing discrimination complaints on the rise
Posted Date: Monday, July 15, 2024
The National Fair Housing Alliance (NFHA) report on the number of fair housing complaints filed in 2023 revealed the number of complaints has increased year-over-year, specifically those related to harassment based on color or race.
“The continued increase in reports of housing discrimination means lawmakers are simply not doing enough to provide adequate resources for the organizations serving on the frontlines educating the public about fair housing laws and helping individuals and families when crucial civil rights laws are broken,” NFHA President and CEO Lisa Rice said.
Read on for more details.
|
|
|
Lack of inventory, affordability challenges pummel 2023 existing-home sales
Posted Date: Monday, July 15, 2024
Sales volume for existing-homes hit the lowest level in almost 30 years in 2023, the National Association of Realtors member profile for this year revealed.
Realtors pointed to a lack of inventory and housing affordability as the most impactful factors.
Read on for more details.
|
|
|
Bill supporting homeownership for veterans passes Senate
Posted Date: Monday, July 15, 2024
Sens. Sherrod Brown (D-Ohio) and Mike Braun (R-Ind.) announced a bill introduced in October to help veteran homebuyers has passed the Senate and is on its way to the House of Representatives for consideration.
Read on for more details.
|
|
|
FHFA announces advisory committee appointments
Posted Date: Monday, July 15, 2024
The Federal Housing Finance Agency announced the members of its Advisory Committee on Affordable, Equitable and Sustainable Housing, including the National Fair Housing Alliance’s Executive Vice President Nikitra Bailey.
|
|
|
CFPB issues first proposed rule after Chevron, Supreme Court’s administrative law opinions
Posted Date: Thursday, July 11, 2024
The Consumer Financial Protection Bureau issued its first proposed rule since the Supreme Court handed down rulings curtailing the power of the executive branch.
According to the bureau, the proposal streamlines existing loss mitigation requirements, revises early intervention requirements, and provides borrowers access to mortgage servicing communication in languages other than English.
Read on for more details.
|
|
|
Lender attempts to skirt TILA liability by having borrowers incorporate
Posted Date: Thursday, July 11, 2024
A wild set of facts gave rise to claims under the Truth in Lending Act (TILA), the Home Ownership and Equity Protection Act, and myriad state banking and usury laws.
The lender attempted to avoid disclosure requirements under TILA by having borrowers create a corporation to purchase and hold the property securing the loan.
Read on for more details.
|
|
|
Louisiana town settles discrimination suit related to affordable housing
Posted Date: Thursday, July 11, 2024
A zoning rejection for a 40-unit residential development resulted in a Louisiana town entering into a consent decree after the Justice Department filed a complaint alleging the denial was done so on the basis of race in violation of the Fair Housing Act.
The zoning request involved a special exception to allow parcels designated as light commercial to be used for housing construction.
Read on for more details.
|
|
|
CFPB annual report reveals increase in mortgage data reporting violations
Posted Date: Thursday, July 11, 2024
The Consumer Financial Protection Bureau released its annual fair lending report to Congress, detailing the agency’s efforts to combat discrimination and promote fair credit access for all consumers.
The report provided examples of how the bureau used its enforcement, supervision, guidance, and rulemaking to uphold fair lending laws in 2023.
Read on for more details.
|
|
|
HUD requests input on servicing defect taxonomy changes
Posted Date: Thursday, July 11, 2024
The U.S. Department of Housing and Urban Development issued a proposal to revise the Federal Housing Administration’s Defect Taxonomy for servicing loan reviews to provide clearer guidance to mortgage servicers about the agency’s review process, assessment of the severity of errors or noncompliance with its mortgage servicing polices, and the actions it may take in instances of servicer error or noncompliance.
Read on for more details.
|
|
|
Realtor association postpones release of forms after DOJ opens inquiry
Posted Date: Monday, July 8, 2024
At the end of June, the California Association of Realtors (CAR) released 48 of its 67 new and revised forms for its members’ review, along with a statement that the remaining 19 were related to changes in business practices required by the National Association of Realtors’ settlement in Sitzer-Burnett.
In a message to its members, CAR announced it received a formal inquiry about the forms from the Department of Justice, requiring the organization to further postpone the release of these forms.
Read on for more details.
|
|
|
Bank’s motion to stay granted in RESPA case
Posted Date: Monday, July 8, 2024
A U.S. magistrate judge granted Webster Bank’s motion to stay discovery pending the resolution of its motion to dismiss a case wherein the plaintiffs brought a RESPA claim related to their escrow account.
Plaintiffs requested actual and punitive damages amounting to $125 million in relation to the RESPA claim.
Read on for more details.
|
|
|
Most forbearance recipients ‘very’ satisfied with process, report shows
Posted Date: Monday, July 8, 2024
In a report issued by the Consumer Financial Protection Bureau’s Office of Research, researchers analyzed data from the 2020 American Survey of Mortgage Borrowers to gain a better understanding of distressed borrowers’ experiences with their servicers during the COVID-19 pandemic.
Of note, the most common challenge in accessing forbearance programs was the fact almost half of distressed borrowers did not believe they qualified for any program.
Read on for more details.
|
|
|
Consumer sentiment on homebuying sees improvement
Posted Date: Monday, July 8, 2024
Fannie Mae’s Home Purchase Sentiment Index increased in June, rebounding from the record set by consumers stating it was a “bad time to buy” a home the month before.
While the measurement of consumer sentiment indicated some renewed optimism in homebuying and homeselling conditions, respondents continued to be critical of any affordability relief over the next 12 months.
Read on for more details.
|
|
|
Fannie Mae welcomes back CFPB fair lending official
Posted Date: Monday, July 8, 2024
The founding director of the Consumer Financial Protection Bureau’s Office of Fair Lending & Equal Opportunity is rejoining Fannie Mae.
Prior to joining the bureau in 2011, she served as the enterprise’s associate general counsel for almost 12 years.
Read on for more details.
|
|
|
Representatives react to curtailing of agency power
Posted Date: Monday, July 8, 2024
In the wake of the U.S. Supreme Court decisions in cases challenging how agencies enforce their regulations and implementing statutes, leaders of the House Financial Services Committee offered their perspectives on what this means for agencies going forward.
Read on for more details.
|
|
|
States propose legislation related to NAR settlement terms
Posted Date: Monday, July 1, 2024
As real estate agents and the industry process the changes required by the settlements entered into by the National Association of Realtors and national brokers in an antitrust class action, states have been working on legislation to reflect some of these new requirements.
Most recently, Ohio and Texas has joined the ranks.
Read on for more detail.
|
|
|
Industry changes will lead to different kind of ‘refi wave’
Posted Date: Monday, July 1, 2024
A senior partner from STRATMOR Group shared his thoughts as to why the next refinance wave might not be the boon some lenders believe it will be.
“I’ve talked with many lenders who believe at the core of their beings that as soon as the next wave of refinances hits the business, all of their problems will go away,” he said. “But that isn’t guaranteed.”
Read on for more details.
|
|
|
Freddie Mac second mortgage pilot receives conditional approval
Posted Date: Monday, July 1, 2024
The Federal Housing Finance Agency (FHFA) conditionally approved Freddie Mac’s pilot plan to purchase single-family closed-end mortgages, a new product meant to provide borrowers a lower cost alternative to a cash-out refinance in higher interest rate environments.
The approval was given in accordance with a new rule requiring Fannie Mae and Freddie Mac to provide advance notice to the FHFA director before offering a new activity to the market, as well as obtain prior approval from the director before offering the product.
Read on for more details.
|
|
|
Pending home sales continue decline in May
Posted Date: Monday, July 1, 2024
May’s pending home sales saw another slip in May, with month-over-month gains and losses split across the four regions.
The National Association of Realtors’ chief economist stated this information reveals the market is at an “interesting point” while demand decreases, and inventory continues to grow.
Read on for more details.
|
|
|
HUD announces fiscal year 2023 awards
Posted Date: Monday, July 1, 2024
The U.S. Department of Housing and Urban Development announced 21 awards totaling nearly $85 million under the Pathways to Removing Obstacles to Housing Fiscal Year 2023 Notice of Funding Opportunity.
|
|