The founder and president of a defunct Massachusetts mortgage company will spend nearly three years in prison after admitting to defrauding Ginnie Mae out of approximately $2.5 million. Court documents show that starting in 2011, Mortgage Security founder Robert Pena began diverting money borrowers sent to MSI into private bank accounts, which he then used to pay for personal and business expenses.

General Electric is moving closer to putting its failed attempt to capitalize on the subprime lending boom into its rearview mirror. Earlier this month, GE agreed to pay a fine of $1.5 billion as part of a settlement with the Department of Justice over the pre-crisis lending activities of the company's shuttered subprime lending unit, WMC Mortgage. And this week, WMC Mortgage filed for Chapter 11 bankruptcy.

Last week, HUD announced it was issuing new rules for down payment assistance on FHA mortgages. According to HUD and the FHA, the new rules were meant to provide clarity around what documentation would be required for borrowers who are using funds from another source to cover part of the their down payment. But, according to one group, those rules do much more than that. And now, the group is suing HUD to get the rule change overturned.

The Treasury Department released a second round of rules clarifying requirements for Opportunity Zones recently in a move designed to encourage more development in low-income areas. The new rules are intended to make it easier for developers looking to take advantage of the tax breaks promised by investing in Opportunity Zones, and clear up some of the confusion that was holding investors back.

Earlier this year, a report from CBRE showed that there were more apartments built last year than in almost any other year since the 1980s. The report also showed where those apartments are being built, with the majority of the development coming from the top 20 markets. But are builders building where renters actually want to live? Do they really have their collective finger on the pulse of the renter? Yes and no, as it turns out.

Ditech is in the midst of a bankruptcy, and some are worried that the rights of its borrowers will be trampled in the process. A recent filing with the U.S. Trustee asked that a consumer creditor committee be formed to protect the rights of those who have claims with Ditech, including the victims of a reverse mortgage scam who have open claims with Ditech subsidiary Reverse Mortgage Solutions.

Kathy Kraninger may be charting a different path as director of the CFPB than that of her immediate predecessor, Mick Mulvaney, but one area where it appears Kraninger’s CFPB will be similar to Mulvaney’s is in the bureau’s friendlier attitude toward the companies it regulates.

At a time when some lenders are downsizing or exiting mortgages altogether, PrimeLending is strengthening its position and confirming its commitment to remain a recognized leader in the industry. PrimeLending CIO Tim Elkins and President Steve Thompson explain how changing their LOS fit into their overall strategy of streamlining and simplifying workflows and improving efficiency at virtually every phase of the loan origination process.