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Wednesday, March 30, 2016

CFPB Complaints From Military Community Up 13 Percent


The Consumer Financial Protection Bureau's (CFPB) fourth annual report on military service members indicates there were 19,200 complaints from members of the military last year, up 13 percent from 2014. Of the total number of complaints by service members, 46 percent involved debt collection, with 44 percent of those complaints involving debts they believed they did not owe and 17 percent involving the ways debt collectors tried to contact them, such as by contacting a commanding officer. About 2,200 complaints involved credit reporting, with 72 percent of those complaints involving claims of incorrect information on credit reports. Mortgages also were among the most complained about issues, with common complaints involving the inability to make payments, including problems with loan modifications, collections, and foreclosures. "The mission of the CFPB's Office of Servicemember Affairs is to work on consumer financial challenges affecting military personnel, veterans, and their families. Those who serve, or have served, our country should not have to worry about falling victim to unfair, deceptive, or abusive financial practices," said Hollister Petraeus, the report's author.

From "CFPB Complaints From Military Community Up 13 Percent"
HousingWire (03/28/16) Ramírez, Kelsey

Monday, March 28, 2016


Chase Survey Explores Opinions of ‘DIY Homebuyers

While technology is reshaping the way Americans search for homes, most homebuyers still want to consult with mortgage and real estate professionals before buying, according to a survey released Friday by JPMorgan Chase. Sixty-eight percent of potential buyers start searching on their own -- and 53 percent primarily use digital devices to conduct that search. But about three-quarters prefer to meet with a mortgage professional to explore financing options and a similar share still believe a real estate agent is essential to the process.

Buying a home tops the list of purchases Americans are saving for, and eight in 10 believe that people should start saving for a home in their twenties. And while the top-listed reason for owning a home is having a place to raise a family, the second-ranked reason was for investment purposes. Two-thirds of respondents said they believed the value of their home would rise over the next five years. View the survey results


--ABA Daily Newsbytes

Friday, March 25, 2016

St Casimirs wishes you a safe and pleasant Easter weekend. 


Delinquent GSE Mortgages Continue to Decline

The number of home loans backed by Fannie Mae and Freddie Mac that are 60 days or more past due or are in the foreclosure process fell 3  percent in the fourth quarter of 2015, as the economy improved and home prices continued to rise, according to the Federal Housing Finance Agency’s foreclosure prevention report released yesterday.

Seriously delinquent loans -- those that are 90 days or more past due -- dropped to 1.5 percent of Fannie and Freddie’s mortgage portfolio after the fourth quarter. By comparison, 5.4 percent of Federal Housing Administration loans were seriously delinquent, and 3.4 percent of all loans were.

The report also documented the GSEs’ efforts to prevent foreclosures, with 47,769 modifications or other actions in the fourth quarter and more than 3.6 million since the GSEs have been under U.S. conservatorship.


Mortgage Rates Tick Down

The rate for a 30-year fixed-rate mortgage dipped to 3.71 percent this week, down from 3.73 percent the week prior and turning downward after three straight weeks of increases, Freddie Mac said yesterday. At this time last year, the 30-year FRM averaged 3.69 percent.


This week’s 15-year FRM averaged 2.96 percent, slightly down from last week’s average of 2.99 percent. A year ago, the 15-year FRM averaged 2.97 percent.

Thursday, March 24, 2016

At St Casimirs, we take the protection of older clients very seriously....



CFPB Recommends Steps for Banks to Protect Older Americans 

The Consumer Financial Protection Bureau yesterday released an advisory and report highlighting voluntary best practices for banks to protect seniors from financial exploitation.

The bureau stressed the importance of employee education, of proper and timely reporting of suspicious activity and of building strong, collaborative relationships with local law enforcement and Adult Protective Services in order to deter elder fraud and educate consumers. It also encouraged banks to continue offering age-friendly services to older customers, and to incorporate technologies like predictive analytics into their fraud monitoring programs.

ABA has long been committed to leading the charge against the financial exploitation of older Americans. Nearly 600 banks have registered to participate in the ABA Foundation’s new Safe Banking for Seniors program to help banks across the country educate seniors and their caregivers on the risks of financial fraud.

The program provides free materials and resources to help bankers lead sessions on various topics, including identity theft prevention and financial caregiving. The Foundation is joined by more than 35 state bankers associations that have pledged to promote these resources to bankers in their states in an effort to combat the estimated $2.9 billion in losses suffered by seniors each year.


--ABA Daily Newsbytes

Tuesday, March 22, 2016

Mortgage Lenders Cautious of High-Risk Borrowers


The Lenders One Mortgage Barometer reveals that of the 200 mortgage lenders polled, 64 percent originate non-qualifying mortgages, but only 18 percent do so often. Of the lenders that do not originate non-qualifying mortgages, 51 percent said they are extremely or very likely to originate these loans this year. Meanwhile, Lenders One found that 77 percent of mortgage lenders believe better customer service is the key to being competitive this year, while 71 percent believe improving the time from origination to closing will make them competitive. "Mortgage lenders are looking at 2016 as a year in which they will move toward a more growth-focused business strategy," said Lenders One Interim CEO Daniel T. Goldman. "However, some external factors such as rising interest rates and a complex regulatory environment will continue to temper the pace at which mortgage lenders seek to expand." In terms of regulatory compliance, mortgage lenders said they are mainly focused on TILA-RESPA Integrated Disclosure (41 percent), the Home Mortgage Disclosure Act (24 percent), and Consumer Financial Protection Bureau audits (14 percent).

From "Mortgage Lenders Cautious of High-Risk Borrowers"
DSNews (03/21/2016) West, Xhevrije

Monday, March 21, 2016

Average US Rate on 30-Year Mortgage Rises to 3.73 Percent


Average long-term U.S. mortgage rates rose for the third consecutive week. Freddie Mac said on March 17 that the average rate on a 30-year fixed-rate mortgage rose to 3.73 percent from 3.68 percent the prior week. Meanwhile, the average rate on 15-year fixed-rate mortgages increased from 2.96 percent to 2.99 percent over the same period.

From "Average US Rate on 30-Year Mortgage Rises to 3.73 Percent"
Associated Press (03/17/16)

Friday, March 18, 2016

Friday Rate Update

Mortgage Rates Continue to Climb 

The rate for a 30-year fixed-rate mortgage rose to 3.73 percent this week, up from 3.68 percent the week prior and marking three straight weeks of increases, Freddie Mac said yesterday. At this time last year, the 30-year FRM averaged 3.78 percent.

This week’s 15-year FRM averaged 2.99 percent, up from last week’s average of 2.96 percent. A year ago, the 15-year FRM averaged 3.06 percent.


--ABA Daily Newsbytes

Thursday, March 17, 2016

MBA: Purchase Apps Rise as Refi Apps Fade


The Mortgage Bankers Association says mortgage applications dropped 3.3 percent for the week ending March 11 from the previous week, marking the third consecutive weekly decline. The 0.3 percent increase in the seasonally adjusted purchase index to its highest level since January 2016 was not enough to offset the 6 percent decline in the refinance index. Refinances fell from 56.7 percent of total applications to 55 percent, marking the lowest level since August 2015. The report also shows that the share of total applications decreased from 12 percent to 11.7 percent for Federal Housing Administration (FHA) loans and from 12.6 percent to 12.3 percent for Veteran Affairs loans, while the share of U.S. Department of Agriculture loans held steady at 0.8 percent of applications. Furthermore, the average contract interest rate rose from 3.89 percent to 3.94 percent for 30-year fixed-rate mortgages with conforming loan balances, from 3.81 percent to 3.86 percent for 30-year fixed-rate mortgages with jumbo loan balances, from 3.71 percent to 3.77 percent for FHA-backed mortgages, from 3.14 percent to 3.22 percent for 15-year fixed-rate mortgages, and from 3.2 percent to 3.23 percent for 5/1 adjustable-rate mortgages.

From "MBA: Purchase Apps Rise as Refi Apps Fade"
HousingWire (03/16/16) Swanson, Brena

Friday, March 11, 2016

Friday Rate Update

Mortgage Rates Up 

The rate for a 30-year fixed-rate mortgage rose to 3.68 percent this week, up from 3.64 percent the week prior, Freddie Mac said yesterday. At this time last year, the 30-year FRM averaged 3.68 percent.

This week’s 15-year FRM averaged 2.96 percent, up from last week’s average of 2.94 percent. A year ago, the 15-year FRM averaged 3.1 percent--


ABA Daily Newsbytes

Tuesday, March 8, 2016

Borrowers Who Qualify for Refinance Increased by 30 Percent Since January


The number of mortgage borrowers who qualify for refinancing rose during the first two months of 2016, as interest rates fell 30 basis points. The number of borrowers who could qualify and benefit from refinancing surged 30 percent, or 1.5 million, according to the Mortgage Monitor Report from Black Knight Financial Services. The increase brings the total number of borrowers who could save about $3,000 per year due to declining interest rates to 6.7 million, with a potential for $20 billion in total savings. Black Knight reports that 3.3 million borrowers could save at least $200 per month by refinancing, and nearly 1 million borrowers could save at least $400 per month. If the 30-year mortgage rate dropped to 3.5 percent, Black Rock says the number of refinanceable borrowers would rise to 8.8 million, marking the highest level since 2012-2013.

From "Borrowers Who Qualify for Refinance Increased by 30 Percent Since January"
HousingWire (03/07/16) Thompson, Kelsey

Monday, March 7, 2016

Mortgage Rates Creep Higher, Still Well Under 4 Percent
According to Freddie Mac, the benchmark 30-year fixed-rate mortgage averaged 3.64 percent for the week ending March 3, up from 3.62 percent. Mortgage rates have now averaged under 4 percent every week this year. Freddie Mac adds that the 15-year fixed-rate mortgage averaged 2.94 percent for the week versus 2.93 percent a week earlier, while the five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.84 percent compared to 2.79 percent the previous week. Freddie Mac chief economist Sean Becketti says, "The market turbulence that kicked off the year subsided at the end of February, providing at least a temporary break in the flight to quality."

From "Mortgage Rates Creep Higher, Still Well Under 4 Percent"
MarketWatch (03/03/16) Goldstein, Steve
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MBA: Mortgage Credit Availability Remained Unchanged in February

The Mortgage Credit Availability Index (MCAI) remained unchanged in February, according to an analysis of Ellie Mae's AllRegs market clarity business information tool by the Mortgage Bankers Association (MBA). The MCAI held steady at 123.8 last month, with a decline in the MCAI indicating tightening lending standards and an increase indicating loosening credit. During the month, the Conforming MCAI increased 1 percent, and the Government MCAI increased 0.6 percent. Meanwhile, the Jumbo MCAI decreased 0.6 percent, and the Conventional MCAI declined 0.8 percent. "Credit availability was flat over the month," said Lynn Fisher, MBA vice president of research and economics. "Slight declines in conventional programs aimed at low-to-moderate income borrowers were offset by increasing availability of government-backed programs. More than half of the investors in our credit availability data set are now offering some form of a conventional low down payment loan program which is targeted at lower-income borrowers and first-time home buyers and generally allows a down payment as low as 3 percent."

From "MBA: Mortgage Credit Availability Remained Unchanged in February"
HousingWire (03/03/16) Thompson, Kelsey

Friday, March 4, 2016

Friday Rate Update

Mortgage Rates Tick Up

The rate for a 30-year fixed-rate mortgage rose to 3.64 percent this week, up from 3.62 percent the week prior, Freddie Mac said yesterday. At this time last year, the 30-year FRM averaged 3.75 percent.

This week’s 15-year FRM averaged 2.94 percent, up slightly from last week’s average of 2.93 percent. A year ago, the 15-year FRM averaged 3.03 percent.

--ABA Daily Newsbytes


Wednesday, March 2, 2016

ABA Reveals Survey Results


Survey: Since TRID, Longer Processing, Fewer Product Offerings 

More than three-quarters of bankers surveyed say that they have experienced delays in loan closings as a result of the TILA-RESPA integrated disclosures that took effect last fall, according to an ABA survey released yesterday. On average, bankers reported a delay of 8 days, and more than 90 percent noted an increase in front-boarding and loan processing times.

The survey also found that TRID has limited banks’ ability to offer a broad range of products -- one in four respondents said they have eliminated certain mortgage products, such as construction loans, adjustable rate mortgages or home equity loans as a result of the rule. In addition, 50 percent reported that they have either hired additional staff to comply with the rule, or plan to do so in the future.

“It’s clear from this survey and our discussions with bankers that TRID compliance remains a significant concern,” said ABA EVP Bob Davis. “Consumers are seeing the greatest impact due to increased loan costs, fewer choices and delayed closings -- and that’s not what this rule was intended to do.”

ABA had called for a “hold-harmless” compliance period after TRID took effect, warning that the technological platforms bankers use to process mortgages would not be ready by the deadline -- a prediction borne out in the survey, which found that nearly half of bankers have had to make more than 10 upgrades to their loan origination software since October. More than 70 percent said they are still waiting on updates from their vendor, and 83 percent are using manual workarounds due to software problems, resulting in slower service for customers. 


Link to full survey results.




Tuesday, March 1, 2016


Pending Home Sales Decline 

Pending home sales declined 2.5 percent in January, following the highest average year for the index in nearly a decade, the National Association of Realtors said yesterday. The January figure is 1.4 percent higher than the year prior. The index -- which reflects contracts but not closings on existing homes -- has seen year-on-year gains for 17 consecutive months.

--ABA Daily Newsbytes