Servicing

NYDFS hits PHH with six-figure fine for failing to maintain single zombie home

Investigation found PHH failed to maintain New Lebanon home for over 6 months
Back in 2016, the state of New York enacted “sweeping” new laws aimed at reforming the state’s foreclosure process and addressing the state’s issues with zombie homes. And Thursday, the New York Department of Financial Services showed that the threat of a fine for improperly maintaining a zombie home is not an empty one.
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Fannie, Freddie expand neighborhood stabilization efforts to 10 new markets

Partnership with National Community Stabilization Trust grows to new cities
Three years ago, Federal Housing Finance Agency Director Mel Watt announced the “Neighborhood Stabilization Initiative,” an effort to assist homeowners in communities that were disproportionally affected by foreclosures. Now, the Neighborhood Stabilization Initiative is being expanded to 10 new markets.
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Movement Mortgage to pay $1.1 million for California mortgage servicing violations

Accused of operating in state without a license, plus per diem violations
Movement Mortgage overcharged more than 1,000 mortgage borrowers and operated in the state of California without a license, the California Department of Business Oversight said on Monday. The CDBO announced Monday that it reached a $1.1 million settlement with Movement Mortgage to resolve the allegations.
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Fannie, Freddie suspend evictions for the holidays

But administration proceedings may continue
As the holiday season grows closer, the GSEs made it just a little less stressful for families close to losing their home, by announcing families would be able to stay in their homes through the holidays. Although legal and administrative proceedings for evictions can continue, families will still be allowed to remain in the home.
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S&P: Impact of CFPB shakeup, deregulation will be limited for mortgage servicers

Trump administration’s changes will not undo years of heavy regulation
Given the Trump administration’s stated mission of decreasing regulations, it’s a fairly safe bet that whoever Trump picks as CFPB director will have a vastly different view of regulation than former director Richard Cordray did. But what will the impact of that looming deregulation have on mortgage servicers? Not very much, according to a recent report from S&P Global Ratings.
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