Freddie Says Low Rates Continue to Boost Mortgage Market

Freddie Says Low Rates Continue to Boost Mortgage Market

Written By: Joel Palmer, Op-Ed Writer

Low mortgage rates since the end of May have boosted the housing market and Freddie Mac economists expect that trend to continue for the remainder of the year. In its July 2019 Economic and Housing Research Forecast, Freddie Mac revised down its quarterly forecasts for the 30-year fixed-rate mortgage for this year and next year, predicted a recovery in housing starts, and forecasted an increase in originations.


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.

Timeline for Ending GSE Conservatorship Still Uncertain

Timeline for Ending GSE Conservatorship Still Uncertain

Written By: Joel Palmer, Op-Ed Writer

What was once a top priority for the Donald Trump administration when he took office may not happen until the end of the President’s potential second term. Last week, Federal Housing Finance Agency Director (FHFA) Mark Calabria told Reuters that it was his “hope” that Fannie Mae and Freddie Mac would be out of conservatorship by 2024. That is the year Calabria’s term as FHFA director ends.


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.

Research Suggests Liquidity Influences Defaults More than Equity

Research Suggests Liquidity Influences Defaults More than Equity

Written By: Joel Palmer, Op-Ed Writer

Mortgage lenders should evaluate how much cash a potential borrower has to make payments more than the size of their down payment, according to research released last week. A JPMorgan Chase Institute report showed that borrowers with at least three months available to pay their mortgages were far less likely to default than other borrowers.


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.

New Freddie Mac Loan Helps with Renovation Financing

New Freddie Mac Loan Helps with Renovation Financing

Written By: Joel Palmer, Op-Ed Writer

Freddie Mac has launched a mortgage product that enables buyers to finance a home and renovations with a single-close transaction. The CHOICERenovation loan is available for purchases and no cash-out refinancing to eligible lenders nationwide.


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.

Multiple Reports Indicate Plans are Underway to end GSE Conservatorship

Multiple Reports Indicate Plans are Underway to end GSE Conservatorship

Written By: Joel Palmer, Op-Ed Writer

Multiple reports in the last week indicate that the Trump administration is close to releasing a plan to end conservatorship of Fannie Mae and Freddie Mac. Fox Business reported that Wall Street bankers and Trump administration officials have started outlining a stock deal to finance Fannie and Freddie’s recapitalization plan.


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.

Capital is Key as FHFA Works Toward Ending GSE Conservatorship

Capital is Key as FHFA Works Toward Ending GSE Conservatorship

Written By: Joel Palmer, Op-Ed Writer

Federal Housing Finance Agency (FHFA) Director Mark Calabria told attendees of the Mortgage Bankers Association’s annual National Secondary Market conference that a privatization plan for Fannie Mae and Freddie Mac is in the works. In addition, the agency plans to finalize a housing reform plan that would begin to raise capital for Fannie and Freddie in the beginning of next 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.

Economic Indicators Point to Strong Home-buying Season

Economic Indicators Point to Strong Home-buying Season

Written By: Joel Palmer, Op-Ed Writer

Housing experts continue to forecast a busy rest of the year for mortgage processors and underwriters. Fannie Mae, Freddie Mac and the National Association of Realtors (NAR) released forecasts last week indicating that a strong economy, healthy labor market and low mortgage rates will keep the housing market steady for the remainder of 2019.


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.

FHA Announces Measures to Better Manage Risk

FHA Announces Measures to Better Manage Risk

Written By: Joel Palmer, Op-Ed Writer

Last month, the Federal Housing Administration (FHA) announced changes to underwriting requirements to mitigate high-risk mortgage applications. The agency has updated its Technology Open to Approved Lenders (TOTAL) mortgage scorecard “to manage the decrease in average borrower credit scores and the excessive risk layering that results when multiple risk factors are present.”


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.

Senate Confirms Calabria as FHFA Director

Senate Confirms Calabria as FHFA Director

Written By: Joel Palmer, Op-Ed Writer

Last month, the U.S. Senate confirmed the appointment of Mark A. Calabria as director of the Federal Housing Finance Agency (FHFA). Calabria, who was nominated by President Donald Trump in December, was confirmed on a 52-44 vote. The vote went along party lines, with the 52 affirming votes coming from all Republicans and all 44 no votes coming from Democrats.


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 and Freddie Offer Refinance Programs Underwater Homeowners

Fannie and Freddie Offer Refinance Programs Underwater Homeowners

Written By: Joel Palmer, Op-Ed Writer

Both Freddie Mac and Fannie Mae have programs that provide refinance options for borrowers whose loan-to-value ration on a new mortgage would exceed the maximum allowed for standard limited no cash-out refinances. The programs were announced last year in conjunction with the end of the the Federal Housing Finance Agency’s Home Affordable Refinance Program (HARP).


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.