Groups Reject RESPA Reform
Opposition to proposed Real Estate Settlement Procedures Act reforms is almost universal. Among concerns outlined by mortgage, banking and real estate groups are the lack of calibration between RESPA and the Truth in Lending Act, perceived bias against mortgage brokers and the implementation of a lengthy closing script.
Mortgage Firms Accused of Fraud in 3 Lawsuits
New Jersey has filed three lawsuits accusing 15 corporations and 21 individuals of conspiring to defraud borrowers and mortgage lenders out of more than $5 million. Each case involves at least one mortgage broker that played a key role.
Mass. Originators, Brokers Exit Industry
Massachusetts has seen a significant decline in the number of mortgage brokers and originators. One trade group executive speculates that rising regulations and evaporating originations are to blame.
Broker Employment Inches Higher
More people continued to exit the mortgage industry, though the number mortgage broker employees increased slightly, according to a new government report. Overall U.S. unemployment surged, but the health care industry maintained growth.
Mortgage Bankers Highlight Broker Role
Mortgage bankers issued a new 33-page report suggesting that borrowers who use mortgage brokers do less research and comparison shopping, even though brokers don't necessarily look out for the customer's best interest. The paper recommended better yield-spread disclosures, more rigorous regulation and stronger oversight for brokers -- who have much less at stake in loan transactions.
First Step in Commercial Mortgage Origination
An important part of the commercial mortgage brokering process is the fee agreement.
N.Y. Assembly Approves 1-Year Moratorium
One of New York's state legislative bodies has declared a public emergency and passed a bill that would give judges the power to delay subprime foreclosures for up to one year. Another bill that passed requires mortgage brokers to have an agency relationship with loan prospects.
Brokers, Appraisers and Securitizers Blamed for Meltdown
The former owner of a failed wholesale lender has authored a book that discusses his take on the causes of the mortgage meltdown. Among the culprits: mortgage brokers, appraisers, investment bankers and ratings agencies. Wholesalers, he wrote, were caught in the middle -- though they deserve a share of the blame.
Brokers, Wholesalers Go Digital
One recent offering enables wholesale lenders to determine the level of risk of its mortgage brokers, while two other offerings enable brokers to determine the best available wholesale programs. Other mortgage technology activity includes improvements to credit reporting, digital loan delivery and appraising.
