Investments

Redfin: San Francisco’s IPO wealth likely to drive home price growth

With Lyft’s IPO wealth, employees could purchase every single home for sale with cash
Although home price appreciation has slowed across the country, new data from Redfin suggests San Francisco’s housing market is likely to reverse course. According to the company’s analysis, this rebound will be driven primarily by anticipated growth in the city’s IPO wealth.
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GE to pay $1.5 billion fine over WMC Mortgage subprime loans

Reaches settlement with DOJ
General Electric will pay a fine of $1.5 billion as part of a settlement with the Department of Justice over the pre-crisis lending activities of GE’s shuttered subprime lending unit, WMC Mortgage. The lender allegedly misrepresented the quality of the “majority” of its loans, which were sold to investors as part of residential mortgage-backed securities between 2005 and 2007.
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Opportunity Zones have investors excited. So why aren't more buying in?

As the Treasury works on a second round of guidelines to ease investor concerns, HUD asks interested parties to weigh in
When it comes to Opportunity Zones, investors are excited about the potential for tremendous tax savings, but many are not buying in just yet. What's the problem? Lingering questions about how, exactly, Opportunity Zones work. While HUD estimates the program could spur as much as $100 billion a year in investments, evidence suggests this potential is far from being realized. As interested parties await clarification from the Treasury, HUD is seeking public input as to how it can leverage its authority to encourage uptake and maximize the impact for distressed communities.
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Wells Fargo earnings top expectations weeks after CEO departs

Biggest bank lender says mortgage pipeline swelled as rates dropped
Wells Fargo, the biggest U.S. bank originator of mortgages, had its best first quarter in five years without much help from its home-loan business. Look for that to change next quarter, based on the mortgage pipeline Wells Fargo reported. The San Francisco bank said it had $32 billion of unclosed first-lien mortgages that will go on its books in the current quarter, compared with $24 billion it reported for the same period a year earlier.
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PIMCO hits secondary market with first non-QM mortgage bond offering

$382.45 million deal contains loans originated by Capital One
PIMCO, once a major player in the secondary mortgage market, is making a new mortgage play, as the bond giant is about to enter the secondary market for loans that don’t fit into the Qualified Mortgage box with a $382.45 million mortgage bond offering backed by loans originated by Capital One.
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The fully digital mortgage has truly arrived as use of eNotes skyrockets by nearly 5,000%

eNotes registered on MERS system increases substantially in first quarter
For the last few years, there’s been a revolution underway in the mortgage business, as the industry moved closer to a fully digital mortgage, but new data suggests that the digital mortgage is becoming an industry-wide reality. A new report shows that the use of eNotes exploded in the first quarter of 2019, rising nearly 5,000% over last year.
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Fed minutes show "patience" may wear thin by end of year

Views "could shift" in either direction
While members of the Federal Open Market Committee voice a unanimous call for "patience" at the end of their March 20 meeting, details about the meeting released Wednesday showed some dissenting opinions. "Several participants noted that their views of the appropriate target range for the federal funds rate could shift in either direction," the minutes said.
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There haven't been this many house flippers since before the housing bubble burst

The number of flips is approaching pre-crisis levels. Should we be worried?
House flipping is making a comeback, with the number of homes built on spec approaching its 2006 high. The overzealous speculation of house flippers in the months leading up to the crisis is often cited as a contributing factor to the housing bubble. So should we be worried now that houses built on spec appear to be making a comeback?
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These are the top issuers of reverse mortgage-backed securities

New View Advisors names biggest players, details low Q1 volume
As reverse mortgage loan production steadily declines, so too has the issuance of the securities backed by this product on the secondary market. Issuers of HECM-backed securities, or HMBS, brought just under $1.7 billion to market in the first quarter of 2019, according to the latest report from New View Advisors. This is a 44% decline from last year and the lowest total in five years.
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Ellevest CEO: Women are not a niche market

Women are half of the population, how come they don't invest like it?
Women are half of the world's population, but you wouldn't know that by looking at how they invest their money. In a fireside chat at the Lendit Fintech Conference in San Francisco, Ellevest CEO and Co-Founder Sallie Krawcheck detailed what it takes to get women more involved with investing their money and wealth.
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