Mortgage Banking

Founded in 1939, Mortgage Banking Magazine is a professional trade magazine published by Mortgage Bankers Association of America. Its headquarters are located in Washington, D.C. The magazine is published monthly and serves the banking, real estate and financial markets. Janet Hewitt is the editor-in-chief.

Articles from Vol. 67, No. 1, October

Achieving Growth through Responsible Lending
Tremendous growth has occurred in our industry since American Home Mortgage first became an originator in 1988. Today, American Home Mortgage has evolved into a national lender and has prospered by assisting clients in achieving homeownership and by...
A Mature Market for Offshore Mortgage Processing?
In the years since the first brave mortgage banks initially ventured offshore, business process outsourcing (BPO), and particularly offshore BPO, has generated a significant amount of attention within the mortgage industry. As greater numbers of mortgage...
Apartment Builder Confidence Climbs, Condo Outlook Dives
Multifamily builder confidence in the rental-apartment market climbed to a new high in the second quarter of 2006, while builder expectations for the rest of the year were even higher amid rising occupancy rates, rising rents and increased traffic...
Apartment Builder Confidence Climbs, Condo Outlook Dives
Multifamily builder confidence in the rental-apartment market climbed to a new high in the second quarter of 2006, while builder expectations for the rest of the year were even higher amid rising occupancy rates, rising rents and increased traffic at...
Apartment Market Continues to Strengthen
Apartment markets continued their upward trajectory during the second quarter of 2006, according to the National Multi Housing Council (NMHC), Washington, D.C. NMHC's July 2006 Quarterly Survey of Apartment Market Conditions noted that 75 percent...
Apartment Market Continues to Strengthen
Apartment markets continued their upward trajectory during the second quarter of 2006, according to the National Multi Housing Council (NMHC), Washington, D.C.NMHC's July 2006 Quarterly Survey of Apartment Market Conditions noted that 75 percent of apartment...
Big Jump in Firms Seeking Terrorism Insurance in 2005
Nearly 60 percent of large and midsized businesses in the United States obtained insurance to cover property terrorism risks during 2005, a dramatic increase from the 2003 average of 27 percent and up from 50 percent in 2004, according to a report...
Big Jump in Firms Seeking Terrorism Insurance in 2005
Nearly 60 percent of large and midsized businesses in the United States obtained insurance to cover property terrorism risks during 2005, a dramatic increase from the 2003 average of 27 percent and up from 50 percent in 2004, according to a report by...
Business Process Outsourcing: Is It Right for You?
Business process outsourcing (BPO) holds great promise for the mortgage servicing sector. Whether working with onshore or offshore companies, a wide variety of third-party service providers are leveraging economies of scale and narrowly scoped domain...
Calendar of Events
October 2006 Oct. 3-5 International Council of Shopping Centers (ICSC) Western Division Conference, Palm Springs, California [www.www.icsc.org] Oct. 3-5 2006 New Jersey Association of Mortgage Brokers...
Countrywide Appoints Sambol as New President and COO
Countrywide Financial Corporation, Calabasas, California, has appointed David Sambol as president and chief operating officer (COO), replacing Stanford L. Kurland, who will leave the company. A 21-year veteran of Countrywide, Sambol most recently...
Countrywide Appoints Sambol as New President and COO
Countrywide Financial Corporation, Calabasas, California, has appointed David Sambol as president and chief operating officer (COO), replacing Stanford L. Kurland, who will leave the company.A 21-year veteran of Countrywide, Sambol most recently served...
Democratic Control of House Would Impact Housing, Frank Says
Don't expect Congress to do a whole lot more legislating in the time left in the session--either before or after the November elections. But the future looks a little brighter next year for some key pieces of housing legislation. Rep. Barney Frank...
Democratic Control of House Would Impact Housing, Frank Says
Don't expect Congress to do a whole lot more legislating in the time left in the session-either before or after the November elections. But the future looks a little brighter next year for some key pieces of housing legislation.Rep. Barney Frank (D-Massachusetts),...
DOL Issues Favorable Opinion to MBA on Overtime Issue
On Sept. 8, 2006, the Department of Labor's (DOL's) administrator of the Wage and Hour Division issued an extremely favorable opinion letter to the Mortgage Bankers Association (MBA) explaining how mortgage loan officers can be classified as exempt...
Dynatek, DocuTech Enter into Partnership Agreement
Livonia, Michigan-based Dynatek Inc. and Idaho Falls, Idaho-based DocuTech Corporation announced they have entered into a new partnership agreement. The agreement identifies DocuTech as a preferred integrated document provider, and will give Dynatek's...
Dynatek, DocuTech Enter into Partnership Agreement
Livonia, Michigan-based Dynatek Inc. and Idaho Falls, Idaho-based DocuTech Corporation announced they have entered into a new partnership agreement.The agreement identifies DocuTech as a preferred integrated document provider, and will give Dynatek's...
FHA MEANS BUSINESS-And Opportunity
None other than financial-services giant Bank of America is growing its government lending infrastructure. The megabank is bullish on the FHA mortgage program.At a time when most inthe industry moved away from government lending (after noting Federal...
FHA Means Business-And Opportunity: None Other Than Financial-Services Giant Bank of America Is Growing Its Government Lending Infrastructure. the Megabank Is Bullish on the FHA Mortgage Program
At a time when most in the industry moved away from government lending (after noting Federal Housing Administration's [FHA's] diving market share along with other problems that plagued the organization), Charlotte, North Carolina-based Bank of America...
FIS Empower Releases Comprehensive .Net Loan Origination Platform
Jacksonville, Florida-based Fidelity National Information Services Inc. (FIS) announced that its Empower division has completed beta testing of Empower for .Net, its next-generation loan origination system, and has officially released the .Net platform...
FIS Empower Releases Comprehensive .Net Loan Origination Platform
Jacksonville, Florida-based Fidelity National Information Services Inc. (FIS) announced that its Empower division has completed beta testing of Empower for .Net, its next-generation loan origination system, and has officially released the .Net platform...
Following the Letter of the Law
Servicers need to carefully monitor what is in a bankruptcy plan before it's confirmed, if they want to ensure full repayment under Chapter 13.Congress and federal bankruptcy courts have sent a message to the mortgage industry: Apply payments as provided...
Following the Letter of the Law: Servicers Need to Carefully Monitor What Is in a Bankruptcy Plan before It's Confirmed, If They Want to Ensure Full Repayment under Chapter 13
Congress and federal bankruptcy courts have sent a message to the mortgage industry: Apply payments as provided in the confirmed bankruptcy plan or pay the price. This message, developed by the bankruptcy courts, has received congressional mandate....
Forecasters Expect Lower Growth, Higher Inflation in near Term
Expect to see lower economic growth and higher inflation in the short term, following a downward revision in growth rate of the nation's gross domestic product (GDP), according to a survey of 31 forecasters surveyed by the Federal Reserve Bank of Philadelphia....
Forecasters Expect Lower Growth, Higher Inflation in near Term
Expect to see lower economic growth and higher inflation in the short term, following a downward revision in growth rate of the nation's gross domestic product (GDP), according to a survey of 31 forecasters surveyed by the Federal Reserve Bank of Philadelphia.The...
HMDA Data Show More High-Priced Loans in 2005
The overall incidence of higher-priced lending was significantly higher in 2005 than in 2004, while the differences in the incidence of higher-priced lending between racial and ethnic groups also increased during the same period, according to a government...
HMDA Data Show More High-Priced Loans in 2005
The overall incidence of higher-priced lending was significantly higher in 2005 than in 2004, while the differences in the incidence of higher-priced lending between racial and ethnic groups also increased during the same period, according to a government...
Housing Activity: Residential Structures (Thousands of Units, SAAR)
BY TYPE OF UNIT HOUSING STARTS BUILDING PERMITS Single- Multi- Single- Multi- Total Family Family Total Family Family AUG-05 2,075 1,756 319 2,205 1,793 412 SEP-05...
HUD: Expect RESPA Scrutiny to Continue
Settlement-service providers should expect keener scrutiny and stricter enforcement of the Real Estate Settlement Procedures Act (RESPA) following a record year in 2005 for settlements, and as the various levels of government become more practiced...
HUD: Expect RESPA Scrutiny to Continue
Settlement-service providers should expect keener scrutiny and stricter enforcement of the Real Estate Settlement Procedures Act (RESPA) following a record year in 2005 for settlements, and as the various levels of government become more practiced at...
HUD Secretary Alphonso Jackson
As secretary of the U.S. Department of Housing and Urban Development (HUD), Alphonso Jackson oversees a $32 billion federal government agency whose mission is to provide affordable housing and promote community development. Jackson first joined...
Is It LEGAL?
Here is a step-by-step plan for evaluating the legal risks of your business plan, from the perspective of a veteran industry lawyer."How do they get away with it?," my client asks accusingly. The vice president of the mortgage company knows that his...
Is It Legal? Here Is a Step-by-Step Plan for Evaluating the Legal Risks of Your Business Plan, from the Perspective of a Veteran Industry Lawyer
"How do they get away with it?," my client asks accusingly. The vice president of the mortgage company knows that his job is on the line to increase revenue in a down market. He sees his competitors taking more legal risks and winning customers that...
Key Economic Indicators and Interest Rates
CONSUMER PRICES, YEAR-OVER-YEAR MBA CHANGE (%) MORTGAGE INTEREST CHANGE IN ALL ITEMS RATES (%) ...
Locked Out?
Affordability has hit crisis proportions in many parts of the country. Who's being locked out, and is there a fix?A rising tide does not float all houseboats. Today's homeownership rate is near its historical high (see Figure i), but that figure masks...
Locked out? Affordability Has Hit Crisis Proportions in Many Parts of the Country. Who's Being Locked out, and Is There a Fix?
Arising tide does not float all houseboats. Today's homeowner-ship rate is near its historical high (see Figure 1), but that figure masks the fact that not all Americans today can participate equally in the American dream. The gap between minority...
Love It and Don't Leave It
One of the things I do for a living is speak at conferences about the availability-or more accurately, the lack of-affordable housing. My talks usually begin with an explanation of my perception of the problem (which tends to dwell on negatives as I...
Love It and Don't Leave It: One Industry Expert Says There Is Too Much Talk and Not Enough Action When It Comes to Solving California's Affordable-Housing Crisis
One of the things I do for a living is speak at conferences about the availability--or more accurately, the lack of--affordable housing. My talks usually begin with an explanation of my perception of the problem (which tends to dwell on negatives as...
Merger Mania
Major deals for mortgage companies are being announced every month. Consolidation is the name of the game, and it's happening at breakneck speed.Has the shopping season arrived early in the mortgage business? It seems so, given the number of deals announced...
Merger Mania: Major Deals for Mortgage Companies Are Being Announced Every Month. Consolidation Is the Name of the Game, and It's Happening at Breakneck Speed
Has the shopping season arrived early in the mortgage business? It seems so, given the number of deals announced recently. Each week seems to bring news of another mortgage company acquisition or one more company being offered for sale. [??] Two trends...
Mortgage Applications Indexes: Mortgage Bankers Association (MBA)
MARKET COMPOSITES (Unadjusted) Market Purchase Refinance FRM ARM Index Index Index Index Index AUG-05 769.9 517.0 2,240.9 575.8 4,832.5 SEP-05 721.0 470.1 2,180.7 539.6 4,518.5 OCT-05...
Mortgage Performance
SOURCE: LoanPerformance--a subsidiary of First American Real Estate Solutions, San Francisco. Prime and subprime data are sourced from the LoanPerformance cooperative servicing databases, representing 85 percent of outstanding mortgages nationwide....
Mortgage REITs Face Challenging Times
Residential mortgage real estate investment trusts (REITs) have been a hot topic in the mortgage banking industry in recent times. After enjoying several years of solid performance, mortgage REIT stocks have faced a difficult operating environment...
NAHB, NAACP Recommend Fixes to Bolster Minority Homeownership
Despite recent gains in minority homeownership rates, the homeownership rate for African Americans is 20 percent below the national average, with half of all African Americans living in unaffordable, inadequate or crowded housing, according to a report...
NAHB, NAACP Recommend Fixes to Bolster Minority Homeownership
Despite recent gains in minority homeownership rates, the homeownership rate for African Americans is 20 percent below the national average, with half of all African Americans living in unaffordable, inadequate or crowded housing, according to a report...
National Residential Lenders-Top 25
First-Half 2006 / Sort Order: Total Loan Amount PURCHASE Share Number of of $ Rank...
One ALL-PURPOSE SYSTEM
Are we headed toward a world where all types of servicing will be done on one platform? One company believes we are.After spending a considerable amount of time interacting with consultants and executives in the lending industry, Thomas Gorman, president...
One All-Purpose System: Are We Headed toward a World Where All Types of Servicing Will Be Done on One Platform? One Company Believes We Are
After spending a considerable amount of time interacting with consultants and executives in the lending industry, Thomas Gorman, president of MortgageServ[R] at Fiserv Lending Solutions in South Bend, Indiana, understands the drivers and challenges...
Out of Reach
Homeownership is still the goal for most Americans. And many are working to make it not just a goal, but a reality. But with every jump in average home prices, the goal gets harder to attain. And there have been massive leaps in home prices in recent...
People
David Sambol has been appointed president and chief operating officer for Countrywide Financial Corporation in Calabasas, California.James R. Giertz has been named chief financial officer, and Kenneth Fishbach has been named managing director, investor...
Politics and Money
Since 1944, when the Congress of Industrial Organizations set up the first political action committee (PAC) to help reelect President Franklin D. Roosevelt, PACs have raised billions of dollars for thousands of candidates and causes. Today the Federal...
Q2 Commercial/multifamily Originations Up 17.3 Percent
Commercial and multifamily mortgage loan originations increased 17.3 percent during the second quarter of 2006 compared with the same quarter the previous year, according to the Mortgage Bankers Association (MBA). The year-over-year increase during...
Q2 Commercial/multifamily Originations Up 17.3 Percent
Commercial and multifamily mortgage loan originations increased 17.3 percent during the second quarter of 2006 compared with the same quarter the previous year, according to the Mortgage Bankers Association (MBA).The year-over-year increase during the...
Q2 Home Prices Rise, but Rate of Increase Falls Sharply
The average price of a home in the United States during the second quarter of 2006 continued to rise, but the rate of increase fell sharply, according to the Office of Federal Housing Enterprise Oversight (OFHEO). OFHEO's quarterly Home Price Index...
Q2 Home Prices Rise, but Rate of Increase Falls Sharply
The average price of a home in the United States during the second quarter of 2006 continued to rise, but the rate of increase fell sharply, according to the Office of Federal Housing Enterprise Oversight (OFHEO).OFHEO's quarterly Home Price Index (HPI)...
Q2 Mortgage Delinquencies Up from Year-Earlier Level
The share of homeowners paying their mortgages late dropped somewhat, and the percentage of mortgages in the foreclosure process rose during the second quarter of 2006 from the same period a year ago. Meanwhile, expect modest increases in delinquency...
Q2 Mortgage Delinquencies Up from Year-Earlier Level
The share of homeowners paying their mortgages late dropped somewhat, and the percentage of mortgages in the foreclosure process rose during the second quarter of 2006 from the same period a year ago. Meanwhile, expect modest increases in delinquency...
RBC Capital Markets Launches CMBS Platform
RBC Capital Markets, New York, announced the launch of its Real Estate Mortgage Capital business in the United States with a special focus on commercial mortgage-backed securities (CMBS). RBC's Real Estate Mortgage Capital Division initially will...
RBC Capital Markets Launches CMBS Platform
RBC Capital Markets, New York, announced the launch of its Real Estate Mortgage Capital business in the United States with a special focus on commercial mortgage-backed securities (CMBS).RBC's Real Estate Mortgage Capital Division initially will focus...
ROBBINS' Family Reunion
John Robbins was a leader in the mortgage business long before he took the chairman's post for the Mortgage Bankers Association. His successful career has been noted for many things, but the loyalty of his senior management team is perhaps the most telling.They...
Robbins' Family Reunion: John Robbins Was a Leader in the Mortgage Business Long before He Took the Chairman's Post for the Mortgage Bankers Association. His Successful Career Has Been Noted for Many Things, but the Loyalty of His Senior Management Team Is Perhaps the Most Telling
They call him "Dad" when he's out of the room. But they aren't his kids. They aren't even that much younger. And it's as much out of playful affection as anything. He has a kind of old-school, hard-core belief in ethics and honesty, and won't put up...
The Hidden Patterns of FRAUD
Technology trained to recognize patterns is helping mortgage lenders detect fraud. Three million loans were studied to find evidence of the precise loan traits and origination factors most commonly linked to mortgage fraud.Mortgage fraud against lenders...
The Hidden Patterns of Fraud: Technology Trained to Recognize Patterns Is Helping Mortgage Lenders Detect Fraud. Three Million Loans Were Studied to Find Evidence of the Precise Loan Traits and Origination Factors Most Commonly Linked to Mortgage Fraud
Mortgage fraud against lenders is 10 times more pervasive than credit-card fraud today, with one in every 200 mortgage loans containing material misrepresentations that result in financial loss. With fraud losses exceeding $3 billion per year, lenders...
The Rise of Private Label
Innovative mortgage products, enthusiastic investor support and consumer demand for new affordable loans have all come together to give extraordinary new power to the private mortgage-backed securities market. This has left the private sector setting...
The Rise of Private Label: Innovative Mortgage Products, Enthusiastic Investor Support and Consumer Demand for New Affordable Loans Have All Come Together to Give Extraordinary New Power to the Private Mortgage-Backed Securities Market. This Has Left the Private Sector Setting the Rules Once Largely Dictated by Fannie Mae, Freddie Mac and FHA
The mortgage industry--today more than ever--has become dynamic, fast-changing and unpredictable. Like New York City, it has become the market that never sleeps. Industry structure and arrangements that seem permanent one year, can be washed away by...
The Sales Trap
Relying on a sales culture to bring in ever-larger volumes of new loans is causing problems ranging from loan quality to fraud as the business cycle downshifts. Some examples are even humorous--as long as your company didn't buy the tainted loans....
The Ticker
Ticker Price Close Price Close 52-Week 52-Week Company Symbol 8/31/06 7/31/06 High Low Indymac Bancorp NDE 39.10 42.25 50.50 34.40 Inc. Countrywide CFC 33.80...
The Wal*Mart Model
Mortgage lenders could learn a lot from the king of retail efficiency-Wal-Mart."We view Wal-Mart as the best supply-chain operator of all time. Efficiency is a key factor in maintaining Wal-Mart's low-price leadership among retailers. Their margins can...
The Wal-Mart Model: Mortgage Lenders Could Learn a Lot from the King of Retail Efficiency-Wal-Mart
"We view Wal-Mart as the best supply-chain operator of all time. Efficiency is a key factor in maintaining Wal-Mart's low-price leadership among retailers. Their margins can be far lower than other retailers' because they have such an efficient supply...
Tomorrow's New Orleans
The current state of New Orleans' commercial and multifamily property markets is the focus of a recent survey by the Real Estate Research Corporation (RERC). The findings reflect a sense of qualified optimism about the potential for a more vibrant rebuilt...
Tomorrow's New Orleans: The Current State of New Orleans' Commercial and Multifamily Property Markets Is the Focus of a Recent Survey by the Real Estate Research Corporation (RERC). the Findings Reflect a Sense of Qualified Optimism about the Potential for a More Vibrant Rebuilt City and Regional Real Estate Market
As we pass the one-year anniversary of the hurricanes that devastated the Gulf Coast, the totality of the human and financial toll is just beginning to be put into perspective. One year later, there are some neighborhoods that have been cleaned up,...
Top 25 Counties-Government Lending Markets
First-Half 2006, Nationwide / Sort Order: Number of Loans Market Avg. Rank County Count Dollar Amount Share Amount 1 LOS ANGELES, CA 5,893 $1,907,763,743 2.48%...
Top 25 Counties-High-Priced Markets
First-Half 2006, Nationwide / Sort Order: Highest Average Loan Amount Market Avg. Rank County Count Dollar Amount Share Amount 1 PITKIN, CO 831 ...
What Were They Thinking?
Recent polling data of small groups of industry players reveal surprising trends in technology, competition, consolidation and regulatory burdens.Ever wonder what the consensus view of the mortgage industry is on any one topic that might be critical...
What Were They Thinking? Recent Polling Data of Small Groups of Industry Players Reveal Surprising Trends in Technology, Competition, Consolidation and Regulatory Burdens
Ever wonder what the consensus view of the mortgage industry is on any one topic that might be critical to setting corporate strategy? Innovative new polling technology is allowing the mortgage industry to get virtually real-time snapshots of their...