FHFA has released detailed responses to lender questions concerning its recent directive expanding the use of VantageScore alongside FICO for mortgage underwriting. These clarifications are meant to smooth integration, maintain data consistency, and address concerns about compliance and operational challenges.
June’s Consumer Price Index (CPI) report likely closed the door on the possibility of a Federal Reserve rate cut in July, as inflation remains more persistent than many had anticipated. The data suggest that monetary policy will stay tighter for longer, leaving borrowers, homebuyers, and markets adjusting their expectations for relief.
U.S. home prices are showing signs of slowing down, with more than half of the top 100 housing markets now reporting price levels below their spring peaks. This shift suggests the housing market may be entering a more balanced phase as affordability concerns temper the pace of price growth.
The Federal Housing Administration (FHA) has rescinded more than a dozen sub-regulatory mortgage policies in an aggressive effort to streamline operations, cut costs, and reduce regulatory burdens on lenders and borrowers. The move is part of a broader strategy aimed at making FHA-backed loans more accessible and affordable.
Across the United States, homes are taking noticeably longer to sell, signaling a shift in the housing market that is affecting the behavior of buyers, sellers, and agents alike. The typical time on market has climbed to about 60 days, up significantly from roughly 38 days this time last year.
Since the mortgage melt down the big push has been the Qualifying Mortgage (QM). Loans that fit the QM were most government mortgage programs (FHA, VA, and USDA) and most agency loans provided by Fannie Mae and by 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.
Are you a QM lender? Will you do non – QM loans? One of the most important regulatory changes facing everyone is what the characteristics are of and how to define a “Qualified Mortgage.” This decision will have an enormous impact on the mortgage markets, and will ultimately determine the types of mortgages generally available in the United States, and the minimum qualifications for those seeking to obtain a home loan.
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.
The long-awaited "qualified mortgage" rules were released last week by the Consumer Financial Protection Bureau. The new QM rules have set forth guidelines to protect borrowers from predatory lending while shielding lenders who follow the rules from litigation. Many types of high-risk loans that were implicated in the collapse of the housing bubble, such as interest-only mortgages, stated income loans, mortgages with balloon payments, negative amortization loans, etc., are now effectively banned. I have outlined below some of the significant changes that we should be aware of.
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.