It’s been a rough few years for bond insurer MBIA, but after settling legacy mortgage-backed securities litigation with Bank of America and Société Générale, the bond insurer assured investors this week in a securities filing that all major doubts about the firm’s future are over.
(Update 1: expands discussion of subprime-linked lawsuits)
A federal court in the Southern District of California, San Diego dismissed a motion from Countrywide Financial to throw out a class action lawsuit brought against the nation's largest mortgage lender.
Ahead of bank stress test results, slated for release Friday, a mortgage lending race is on for the two major U.S. lenders, Wells Fargo & Co. [stock WFC][/stock] and Bank of America Corp. [stock BAC][/stock], which are locked in a competition for mortgage business.
For anyone actively working in the mortgage industry, it’s no secret that reverse mortgages have taken a brutal hit in the last two years. The U.S. Department of Housing and Urban Development issued major program changes at the end of 2017 that effectively limited the amount of proceeds and the number of people who could qualify for the loan. The result had lenders across the space enduring sizable volume drops and subsequent gashes to their bottom lines.