With the new year a few weeks away, industry experts are forecasting increased volume and profitability for mortgage lenders in 2025. Last month, Fitch Ratings published an outlook for non-bank mortgage companies. The ratings agency noted that consolidation in this market has strengthened the largest companies in this sector.
Fannie Mae announced the latest version of its Desktop Underwriter (DU) software last week, but the enterprise isn’t treating this like the usual release. For starters, Fannie has announced version 12.0 nearly two months before it’s released. The enterprise is also using multiple channels to promote the new version, including a promotional video, a white paper, and a Perspectives Blog, in addition to the software release notes.
The housing and mortgage industries have seen a surge in demand for rural homes since the COVID pandemic, according to Fannie Mae research. The main factor helping increase rural housing demand was the opportunity many were given to work remotely. Demand for space and low mortgage rates also contributed, though those trends bolstered home buying in all areas in the immediate aftermath of the pandemic.
A Fannie Mae survey of mortgage executives shows wide support for standardizing and simplifying the language around closing costs and fees. The survey of senior mortgage executives, conducted in July, found that 60 percent of respondents said closing costs are easy to estimate, and 50 percent said they are easy to explain.
More data released so far this month has reinforced the trend that mortgage processors and underwriters have been keeping busy lately with home refinance loans. Optimal Blue, a mortgage analytics provider, reported a surge in refinance volume in its September Mortgage Data Report.
On March 29, 2016 Fannie Mae issued an updated regarding DU 10.0 and Multiple Financed Properties. Previously, we lenders had to manually calculate the reserve requirements because DU did not provide that information. Well, that will all change the weekend of June 25, 2016. DU will now calculate the number of financed properties the borrower has and calculate the reserves for both the subject property and the “Other financed properties.” But before we get into the calculations for the total number of financed properties and reserves, let’s talk about the multiple finance property rule and when it applies.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Recently Fannie Mae has issued communication regarding some upcoming changes with Desktop Underwriter (DU), the Single Family Selling Guide, and Collateral Underwriter (CU).
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Fannie Mae has announced the launch of their Home Ready Program which is the replacement product of the Community Home Buyer Program.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Recently I wrote an article inquiring and asking if Hurricane Sandy Victims were going to be victims again. The information is somewhat favorable for more than 38,000 mortgagors who reside in areas impacted by Hurricane Sandy. Previously it was pointed out that more than 38,000 mortgagors received six month forbearance agreements from their mortgage servicers for mortgages owned by Federal National Mortgage Association (Fannie Mae) and by Federal Home Loan Mortgage Corporation (Freddie Mac).
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Anyone who is familiar with my article writing over the past several years probably knows I am a huge advocate for training and education in our industry whether it be for those coming in to the lending environment fresh with no prior experience or for the most seasoned veteran such as myself who have been working in the lending environment for well over 20 years or more.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
We’re all familiar with many of the components of LQI because most of them have been effective for quite some time now. We’ve become accustomed to checking interested parties against various exclusionary lists, validating each borrower’s social security number, assuring we’re including unit numbers in property addresses for condominium units, rounding the LTV calculations properly, following policies to detect and uncover undisclosed debts etc.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
I usually tend to lean toward writing articles on government loans but this week I thought I’d step over the conventional side of things because there are several items of interest that have been announced by Fannie Mae recently and also earlier this year.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Review of the Fannie Mae HomePath Financing Program. I’ve seen a lot of press and advertising on the latest Fannie Mae home loan program so, I thought I would do some research to see what I could learn about the program. What I found very odd was that I was able to find very little product information on the HomePath program even with a major effort digging to find information.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Written By: Bonnie Wildt
I have said it before and I will say it again and that is, do not believe everything you hear or read for that matter. In this particular instance I am referring to AUS Findings. I have had countless conversations with processors and loan officer who want to know why I am asking for documentation that the AUS findings have clearly stated wasn’t needed or worse, they can’t believe I am turning a loan down that has an Approve/Eligible. So here it is again and pay particular attention to the details because just because you have an Approve/Eligible or Accept doesn’t necessarily mean you have a done deal.