Here’s why the FHFA is not a fan of principal reduction

Before you judge Dodd-Frank...

Urban Institute: "Can we really calculate the cost?"

Goldman Sachs: When will our kids move out?

Nearly half of California millennials still with parents
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News

Monday Morning Cup of Coffee: Goldman's $1B FHFA settlement?

America’s lost decade; FHA fees drag; Mortgage lending, RMBS slow to a crawl
July 28, 2014
Goldman is looking at a $1 billion settlement with the FHFA, Americans' household wealth has plunged 36% from 2003, and FHA fees may be a big drag on the housing economy.
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Goldman hired for Radian Asset selloff

Pending private mortgage insurance rules speed up process
July 25, 2014
Radian hired Goldman Sachs to evaluate interest in its financial guaranty business Radian Asset, according to Radian. The company has been in the runoff since 2008.
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Bank of America Merrill Lynch concludes Dodd-Frank killed housing

Not coming back to life soon, either
July 25, 2014
“In testimony to Congress on QRM, Mr. Frank noted changing the US residential mortgage market was foremost among the very purpose of the statute,” said analysts Flanagan and Katz. And change that market it did — by sucking the life out of it.
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Mortgage insurer ratings safe despite potential FHFA rule changes

S&P: Transition period provides sufficient time
July 25, 2014
Despite the FHFA's decision to revise its private mortgage insurance requirements, Standard & Poor’s Rating Services forecasts that insurers will maintain strong ratings in the immediate term.
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Fed releases SunTrust order over $160M mortgage penalty

Settlements continue to dent lender's profits
July 25, 2014
SunTrust's earnings continue to be dragged down by various mortgage settlements, resolving past foreclosure and mortgage issues. Most recently, the Federal Reserve finalized the $160 million penalty related to faulty mortgages announced back in October.
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Here’s why the FHFA is not a fan of principal reduction

Who's going to pay for that?
July 25, 2014
We have another woe-is-me homeowner paraded out for emotion exploitation from pro-reduction policy wonks and "if it bleeds it leads" journalists. Where is the opinion of the mortgage servicer? Or the mortgage lender?
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Vacancies drop in Invitation Homes rental securitization

Reverses previous month’s surge
July 25, 2014
"With initial lease expirations peaking in May and June 2014 (23.3% of all properties in the pool had leases expiring through May 2014 and 34.3% through June 2014), Morningstar expects the month-end vacancy rate to stabilize and to potentially decline," Morningstar said in its update.
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Before you judge Dodd-Frank...

Urban Institute: "Can we really calculate the cost?"
July 25, 2014
Now four years old, Dodd-Frank is struggling to measure up to its original design. But according to the Urban Institute, before disregarding Ddd-Frank as a fail, understand that it is complex and difficult law.
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Are the jumbo RMBS floodgates finally re-opening?

Credit Suisse brings third jumbo RMBS to market this year
July 25, 2014
The offering comes nearly three months after Credit Suisse launched its most recent jumbo RMBS and becomes the sixth offered by the bank since the housing recovery began. It also marks a trend of increasing jumbo RMBS offerings over the last few months.
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S&P receives wells notice over CMBS ratings

Tied to loans from 2011
July 25, 2014
Commercial-mortgage backed securities Standard & Poor graded in 2011 are under question after McGraw Hill Financial said it received a notice from the U.S. Securities and Exchange Commission that the regulator may seek an enforcement action.
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