The latest economic and policy trends facing mortgage servicers

Join this webinar for an in-depth roundtable discussion on economic and policy trends impacting servicers as well as a look ahead at strategies servicers should employ in the next year.

2021 RealTrends Brokerage Compensation Report

For the study, RealTrends surveyed all the firms on the 2021 RealTrends 500 and Nation’s Best rankings, asking for annual compensation data for the 2020 calendar year.

A real estate professor weighs in on the future of MLSs

According to research done by Sonia Gilbukh, a real estate professor at Baruch College, there are some reasons to be concerned about the current number of real estate agents and the future of MLSs.

Lenders, it’s time to consider offering non-QM products

The non-QM market is making a comeback following a pause in 2020. As lenders rush to implement, Angel Oak is helping them adopt these new lending products.

Mortgage

Here’s how much the National Flood Insurance Program costs homeowners

Program needs more money to survive

The Congressional Budget Office, a nonpartisan analysis for the U.S. Congress, crunched the numbers on the National Flood Insurance Program again, calculating the average cost to families this time around.

According to the first report from the CBO, the program has an expected one-year shortfall of $1.4 billion.

This new report took it a step further and included the median premium for a policy on a primary single-family home.

The program is designed to help reduce the impact of flooding on private and public structures. “It does so by providing affordable insurance to property owners and by encouraging communities to adopt and enforce floodplain management regulations,” FEMA’s website states.

The CBO calculated the data in response to a request from Rep. Maxine Waters, D-Calif., ranking member of the House's Committee on Financial Services.

The analysis compared actual premiums for 2.5 million policies covering primary single-family homes with the median income of single-family households in the census tracts in which the insured homes were located.

For most policies in the analysis, the CBO found that the actual premium was between 0.45% and 1.70% of the median household income for single-family households within the same census tract. The median sat at 0.75%.  

Broken up further, roughly 8% of premiums were below 0.35% of the relevant median household income, 14% of premiums were above 2% of that income, and 6% of premiums were above 3% of that income.

The updated numbers on premium costs to homeowners comes at a point where the NFIP might not even be able to fulfill its financial obligations to flood victims.

Looking at this year specifically, the NFIP is already drained from the growing costs from Hurricane Harvey, Irma and Maria.

In a recent letter to the presidentOffice of Management and Budget Director Mick Mulvaney stated, “The recent hurricanes have inflicted projected losses of $16 billion. As a result, by the latter part of this month, the NFIP will have fully exhausted its financial resources (including its $30.4 billion in borrowing authority) and will be unable to pay claims.”

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Existing home sales pop the 2021 housing bubble boys

So far this year, every existing home sales print has been higher in 2021 than the closing level of sales in 2020, which was 5,640,000. Even with the unhealthy home price gains that we have seen in the last two years, more Americans have bought homes with mortgages in 2020 and 2021 than any single year from 2008-2019, and this looks perfectly normal with our current demographics. HW+ Premium Content

Sep 22, 2021 By
3d rendering of a row of luxury townhouses along a street

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