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August 31, 2007

Multi-family Lenders Q1 07

Posted by S. Germain at 09:25 AM | Comments (0)

First American LoanPerformance Mortgage Securities Database Surpasses $2 Trillion Milestone

First American LoanPerformance announced that its industry-leading mortgage securities database now contains loan-level information on more than $2 trillion worth of active nonagency securitized mortgages representing 85 percent of all nonagency mortgage securities.

The First American LoanPerformance mortgage securities database is the
mortgage industry's largest repository of nonagency mortgage-backed
securities (MBS) and asset-backed securities (ABS) data. Mortgage profesionals rely on this critical performance information to monitor and analyze credit risk and make securities valuation and pricing decisions.

Posted by S. Germain at 09:22 AM | Comments (0)

LandAmerica Announces 1,100 Job Cuts

LandAmerica Financial Group Inc. announced a 13-percent staff reduction in its residential and lender services sector this week. By year's end, the company expects to eliminate 1,100 positions.

The decision to implement staff reductions is part of LandAmerica's initiative to improve operating efficiencies in a marketplace where mortgage loan originations are on the decline.

Posted by S. Germain at 09:21 AM | Comments (0)

Fidelity National Financial, Inc. Provides Information for Midwest Flood Insurance Customers

Fidelity National Financial, Inc. a leading provider of title insurance, specialty insurance and claims management services through a portfolio of companies, has provided information for its flood insurance customers affected by recent flooding in the Midwest portion of the United States.

Posted by S. Germain at 09:17 AM | Comments (0)

Stewart settles with California insurance agency

Stewart Title Guaranty Co. will pay $1 million to the California Department of Insurance to settle a claim against the company. The Houston insurance company originally was sued by the CDOI for $46.7 million which claimed that Stewart purchased reinsurance from alleged captive reinsurance companies.

In June 2007, the CDOI amended its pleadings to dismiss its claims that Stewart did business with a non-admitted insurer and that the company violated the federal Real Estate Settlement Procedures Act.

Posted by S. Germain at 09:15 AM | Comments (0)

Stewart signs on for homeownership study

Stewart Title Guaranty Co. is sponsoring a study to improve homeownership among American Indians.

The Tribal Land Title and Recordation Office Study is a research partnership between First Nations Development Institute and the National Congress of American Indians' Policy Research Center.

Posted by S. Germain at 09:14 AM | Comments (0)

Kroll Factual Data's Mortgage Credit Services Now Available through eMagic's Platform

Kroll Factual Data and eMagic announced today the availability of Kroll Factual Data's mortgage credit reporting services through eMagic's online platform. eMagic is a service-ordering platform that enables originators, lenders and vendors to conduct business together on one system, all in one convenient place.

Posted by S. Germain at 09:11 AM | Comments (0)

FICS Adds Mortgage Insurance Interface to Loan Producer(R)

Financial Industry Computer Systems, Inc. (FICS®), a mortgage technology specialist that provides in-house residential origination and servicing technology and commercial servicing technology to the mortgage industry, announced that it has added a new Mortgage Insurance interface to its residential mortgage loan origination system, Loan Producer®.

Posted by S. Germain at 09:09 AM | Comments (0)

US Technology Expands Mortgage BPO Contract with a Global Financial Services Provider

US Technology announced today that a global leader in credit and information management has added additional services to the three-year agreement they signed earlier this year with US Technology's mortgage BPO division. The client, a major provider of settlement services to the mortgage lending industry, selected US Technology to support their appraisal (valuation) business based on the overall US Technology mortgage banking and financial services background and the extensive experience of its on-site and offshore teams.

Posted by S. Germain at 09:08 AM | Comments (0)

Bilzin Sumberg Forms Distressed Property Group

The Miami, Florida-based real estate law firm of Bilzin Sumberg Baena Price & Axelrod LLP has formed a distressed property group that will focus on troubled areas in the marketplace by providing services that help distressed owners, investors, lenders and financing sources focus on handling problems and forging productive solutions in the marketplace. The new group will include attorneys who specialize in areas such as real estate, corporate and securities, litigation, and restructuring and insolvency.

Posted by S. Germain at 08:57 AM | Comments (0)

AllRegs Launches Lending Patterns

AllRegs launched a Web-based HMDA data mining and exploration tool, called Lending Patterns™, on Thursday to help lenders analyze millions of records.

The data, which is pooled because of initiatives like the Home Mortgage Disclosure Act and the Loan Application Register, includes 37,000,000 records from 8,800 lenders.

Posted by S. Germain at 08:55 AM | Comments (0)

Carteret Uses Tech to Enhance Loan Quality

Carteret Mortgage will deploy credit analysis technology to all its 300 branches to raise the bar on doing quality originations. Specifically, Carteret will use Market Kinetix's patent-pending credit analysis software solution Deal Maker Score. The application provides step-by-step directions to raise a borrower's credit score. A mortgage originator downloads the borrower's credit findings to the product, and the program produces a customized set of recommendations, which show a borrower how to raise their credit score by the target number of points designated by the loan officer.

Posted by S. Germain at 08:54 AM | Comments (0)

Kroll Expands Risk Assessment Services

Kroll Factual Data has announced an expansion of its risk assessment services with the introduction of FullFacts. The service assesses the risk of misrepresentation by brokers, appraisers, loan officers, closing agents, and other participants in the mortgage loan process. "FullFacts comprehensively identifies loan party collusion, conflict of interest, and non-arm's-length transactions for every participant involved in a mortgage loan" and determines whether any participant is included on exclusionary and compliance lists, said Jeff Gentry, vice president of Kroll Factual Data.

Posted by S. Germain at 08:52 AM | Comments (0)

Florida Resales Decline 24%

Sales of existing single-family homes in Florida totaled 11,674 in July, a decrease of 24% from the level recorded a year earlier, according to the Florida Association of Realtors. The median sales price of homes sold in July declined to $237,500, down 5% from $250,400 in July 2006, FAR reported. Among the state's larger markets, resales decreased 35% in the Orlando metropolitan statistical area and 25% in the Miami MSA, while median resale prices fell to $258,000 in Orlando, down 3% from $266,800 a year earlier, and to $377,400 in Miami, down 1% from $382,200 a year earlier.

Posted by S. Germain at 08:51 AM | Comments (0)

Wachovia Tops Commercial Servicer List

Wachovia Securities was the largest commercial and multifamily mortgage servicer as of midyear, at $356.6 billion in primary and master servicing volume, according to the Mortgage Bankers Association. According to the Washington-based trade association's midyear update, the other large commercial mortgage servicers are: Capmark Finance ($252.3 billion), Midland Loan Services ($245.5 billion), Wells Fargo ($153.2 billion), and KeyBank Real Estate Capital ($133.2 billion).

Posted by S. Germain at 08:50 AM | Comments (0)

30-Year Mortgages Fall to Lowest Rate in 3 Months, 6.45 Percent

Borrowing costs on home loans dipped to a three-month low this week, providing much-needed relief to home buyers who are facing a tight lending climate. Freddie Mac reported a drop in the 30-year fixed rate to 6.45 percent from 6.52 percent a week earlier, while interest on 15-year fixed loans slipped to 6.12 percent from 6.18 percent. Adjustable-rate mortgages, however, moved in the opposite direction. The five-year ARM settled at 6.35 percent for the week, up a notch from 6.34 percent a week ago; and interest on one-year ARMs averaged 5.84 percent compared to 5.6 percent.

Posted by S. Germain at 08:34 AM | Comments (0)

Investors Default on Outsize Share of Home Loans

Investors—having accounted for a substantial number of home sales in such markets as Arizona, California, Nevada and Florida during the recent boom—now make up a large amount of defaulted prime mortgages because the weak market has made it nearly impossible for them to quickly sell their units at a profit. Of the prime mortgages in default in these states at the end of June, the Mortgage Bankers Association says 32 percent in Nevada, 25 percent in both Florida and Arizona and 20 percent in California were tied to non-owner-occupied units; nationally, such properties accounted for 16 percent of prime mortgage defaults.

Posted by S. Germain at 08:33 AM | Comments (0)

Bush to Propose Aid to Mortgage Holders

President Bush wants to address the problems in the mortgage industry by enabling the Federal Housing Administration to insure loans for borrowers who are delinquent on their payments and by raising the agency's ceiling for insuring loans to $417,000 from $362,790. In addition to the FHA-related proposals, which would help troubled borrowers refinance and allow more high-risk buyers to take advantage of better terms, Bush plans to temporarily suspend the tax on mortgage debt forgiven by a lender to help borrowers work out lower loan balances and payments to avoid foreclosure.

Posted by S. Germain at 08:33 AM | Comments (0)

H&R Block Reopens Option One Talks, Posts Big Loss

After agreeing earlier this spring to sell its Option One subprime lending unit to Cerberus Capital Management for about $1 billion, H&R Block is now renegotiating the deal after several closing conditions were not satisfied. The new talks center around divesting or winding down Option One's mortgage lending operation, and additional costs may be incurred as a result.

Posted by S. Germain at 08:31 AM | Comments (0)

Bernanke Opposes Lift of Fannie, Freddie Caps

Federal Reserve Chairman Ben Bernanke favors allowing the Federal Housing Administration to do more to help borrowers facing foreclosure, rather than enabling Fannie Mae and Freddie Mac to buy more mortgages and mortgage-backed securities or provide refinancing assistance to homeowners.

Posted by S. Germain at 08:30 AM | Comments (0)

CIT Will End Home Mortgage Operation

Increased subprime defaults, declining home values and a drop in investor demand for subprime mortgages have prompted CIT Group Inc. to shutter its home-loan division and lay off 550 workers nationwide. The closure of its mortgage operation—which was tied to just 10 percent of the commercial lender's earnings—will trigger a $35 million charge for the third quarter.

Posted by S. Germain at 08:29 AM | Comments (0)

IndyMac to Shift Focus to Prime Loans

IndyMac Bancorp Inc., a top 10 U.S. mortgage lender, estimates that 90 percent of its loans will now be the conventional kind that Fannie Mae and Freddie Mac purchase and that the remaining 10 percent of its volume will consist of prime home-equity loans and prime jumbo loans. The Pasadena, Calif.-based savings and loan also says it will be more of a player in the retail market and will have at least 134 retail lending offices with about 1,466 full-time employees, compared to its current nine offices and 126 employees, when its pending retail asset deals with American Home Mortgage Investment Co. and Barrington Capital are completed.

Posted by S. Germain at 08:28 AM | Comments (0)

August 24, 2007

Alt A Servicers Q1 07

Posted by S. Germain at 08:24 AM | Comments (0)

First American CoreLogic Debuts Multi-Closing Alert Program

According to First American CoreLogic, cooperation between lenders and technological links “is key to minimizing damage from criminals gaming the system.” The company said the term “shotgunning” is being used more frequently. The term refers to a situation in which a perpetrator applies for home equity loans from multiple lenders using a single piece of collateral. By the time the con leaves the scene, the “borrower” has extracted several loan payouts.

In response to the problem, the company introduced its Multi-Closing Alert Program early this year. First American CoreLogic said the newly emerging fraud scheme identifies perpetrators applying simultaneously for loans. Participating lenders send daily batch files containing loan closing activity. The program analyzes the files, rapidly identifies multi-closing scenarios and returns daily results to lenders. The program alerted lenders to more than $3.5 million of potential loss within its first few months.

Posted by S. Germain at 08:17 AM | Comments (0)

Insurance commissioner subpoenas Fidelity National Title

Florida Insurance Commissioner Kevin McCarty issued subpoenas to nine title insurance companies concerning the companies' business practices and premiums.

Fidelity National Title, Chicago Title Insurance Co. and Ticor Title Insurance Co. of Florida were subpoenaed by the Florida Office of Insurance Regulation.

McCarty wants representatives from the title insurers to testify about eight issues, including auditing procedures, actual premium charged, affiliated business arrangements, costs of producing title insurance and the operation of the title plant.

Posted by S. Germain at 08:13 AM | Comments (0)

LandAmerica Announces the Opening of LandAmerica Commonwealth Title Republica Dominicana

LandAmerica Financial Group, Inc. announces the opening of LandAmerica Commonwealth Title Republica Dominicana, a joint venture of its Commonwealth Land Title Insurance Company subsidiary.

Posted by S. Germain at 08:11 AM | Comments (0)

FICS Adds Customizable Work List Feature to Loan Producer

Financial Industry Computer Systems, Inc. (FICS) announced that it has added a new feature, My Work List, to its residential mortgage loan origination system, Loan Producer®.

The My Work List feature empowers users involved with the originating, processing, tracking, underwriting, closing, funding and secondary marketing functions, to query loans in Loan Producer based on individually-selected criteria, open the resulting loans to perform a task, and then refresh the list to return only those loans that still meet the criteria.

Posted by S. Germain at 08:07 AM | Comments (0)

Calyx Software Maintains Dominant Market Leadership Position

Calyx Software® reported a market share of 67.9 percent from the recently completed Wholesale Access 2006 Mortgage Broker Study. Calyx Software has maintained a consistent market-leading share of 67.9 percent for the last two Wholesale Access studies.

Posted by S. Germain at 08:06 AM | Comments (0)

Credit Systems Design Expands CreditXpert Partnership

CreditXpert Inc. and Credit Systems Design announced that UltraAMPS users may now access the complete, upgraded versions of Credit Assure, CreditXpert Essentials and the CreditXpert What-If Simulator -- software solutions designed to maximize consumer credit scores.

Using the CreditXpert Solution Suite brokers and lenders have found that:

-- 13% of consumers with middle scores in the 620-639 range could increase their middle score to 640 or above
-- More than 25% of consumers can improve their middle scores to 620 or above
-- One-third of consumers who normally would be declined a loan can now be salvaged
-- More than 75% of consumers can potentially increase their middle score
-- One in four consumers can qualify for a better loan

Posted by S. Germain at 08:04 AM | Comments (0)

Brokers/Agents Can Now Route Sales Leads via iPhones(TM) With a la mode

a la mode announced the release of lead routing tools built for the Apple® iPhone(TM). iPhone lead routing and management functionality is part of a la mode's broader "real estate now" mobile technology initiative.

Posted by S. Germain at 08:01 AM | Comments (0)

Lehman Brothers Closes BNC Mortgage

Lehman Brothers has made plans to shut down its BNC Mortgage LLC subsidiary in a move that affects about 1,200 employees in 23 U.S. locations. The Wall Street firm cited "market conditions have necessitated a substantial reduction in its resources and capacity in the subprime space" as the reason for the shutdown. Lehman will continue to originate mortgages in the U.S. through its Aurora Loan Services LLC platform.

Posted by S. Germain at 07:49 AM | Comments (0)

New Products Manage Prepayment Data

DocuTech Corp. recently launched ConformX 3.10, which aims to help both lenders and consumers manage prepayment penalty information in the loan origination process. ConformX 3.10, an upgrade to DocuTech’s mortgage document and compliance products and services, manages more than 500 prepayment penalty configurations through its direct interface with loan origination systems.

Posted by S. Germain at 07:45 AM | Comments (0)

BofA Throws Countrywide $2-Billion Lifeline

Countrywide Financial Corp. received a $2 billion bailout from Bank of America on Wednesday in a deal that puts the Charlotte, N.C., bank in a good position to acquire the nation's largest mortgage lender. Calabasas, Calif.-based Countrywide is giving BofA preferred stock that pays a 7.5-percent dividend that can be converted into its common stock at $18 a share, which would give the bank 16 percent of the mortgage company.

Posted by S. Germain at 07:44 AM | Comments (0)

Four Major Banks Tap Federal Reserve for Financing

Citigroup, Bank of America, JPMorgan and Wachovia have each borrowed $500 million from the Federal Reserve at the urging of central bank officials. The borrowing is largely symbolic, considering the four biggest banks in the United States have cheaper options for obtaining funds and have significant liquidity, but the Fed said it hoped to show lenders that tapping the so-called discount window is not a sign of weakness.

Posted by S. Germain at 07:44 AM | Comments (0)

MGIC Sues Radian for Information

MGIC Investment Corp. has filed a lawsuit with the U.S. District Court in Milwaukee to gain immediate access to information from the bond insurer that would aid the takeover decision-making process. Though Radian claims it has complied with the demands, MGIC says the company was "uncooperative and essentially unresponsive" when asked to provide information. MGIC has expressed concerns about the proposed $5 billion acquisition, considering that the value of the companies' $1.03 billion subprime mortgage venture, C-BASS, has been called into question due to rising defaults and margin calls.

Posted by S. Germain at 07:42 AM | Comments (0)

Troubled Loans Increase 49 Percent at Federally Regulated Thrifts

The nation's 836 federally regulated savings-and-loan associations, which are responsible for 25 percent of mortgages originated, were saddled with more distressed loans in the second quarter than they have seen since 1993. According to statistics from the Office of Thrift Supervision, the volume of loans at least 90 days delinquent jumped 49 percent at these companies to $14.2 billion from $9.5 billion a year ago.

Posted by S. Germain at 07:41 AM | Comments (0)

Capital One Will Close Loan Unit

Capital One Financial said on Tuesday that it will shutter all 31 offices of its GreenPoint Mortgage subsidiary due to weakness in the mortgage market, with the accompanying 1,900 layoffs added to the 2,000 it announced a few months ago.

Posted by S. Germain at 07:39 AM | Comments (0)

Steady Growth Forecast in India’s KPO Market

India’s knowledge process offshoring (KPO) market is steadily accelerating and could yield annual levels of spending of $10 billion-$12 billion by 2010. KPO’s specialized nature offers quality resources and capacity apart from cost savings, according to a new report from Houston-based TPI.

KPO distinctly differs from business process offshoring (BPO) and information technology offshoring (ITO) in that it involves analysis and insight based on skills, experience and judgment. KPO processes are performed based on domain knowledge and intellectual capacity rather than driven by a set of rules. Interpretation, analytical skills and reasoning set KPO apart from BPO and ITO. Most often, for KPO, higher education and a specialized and differentiated set of knowledge and skills are required, said Indy Banerjee, project director at TPI.

Posted by S. Germain at 07:38 AM | Comments (0)

Fed's Surprise Cut of Discount Rate Cheers Up Investors

In an effort to ease fears of investors worried about the impact of problems in the subprime mortgage market, the Federal Reserve on Friday unexpectedly lowered to 5.75 percent the discount rate imposed on banks when they borrow emergency funds. The decline by half of a percentage point will not affect the economy or the credit markets, but it helped bolster the stock market and revealed the central bank's concerns about slower economic growth in the coming months.

Posted by S. Germain at 07:35 AM | Comments (0)

August 17, 2007

Pershing Square Cap Now Backs $36/Share Ceridian Buyout

Pershing Square Capital Management L.P. shifted its stance and said it will support the proposed buyout offer of Ceridian Corp. (CEN) by Thomas H. Lee Partners L.P. and Fidelity National Financial Inc. (FNF).

Pershing, a hedge fund, had opposed the pending $36-a-share merger, and has mounted a proxy contest with Minneapolis-based Ceridian. But Pershing said Tuesday it now believes the offer is the highest all-cash price reasonably attainable for Ceridian in light of current market conditions.

Pershing added, however, that it will continue its proxy contest with Ceridian, citing its concerns regarding credit and broader markets, as well as the buyout group's walk-away right if it chooses to pay a $165 million break-up fee.

Posted by S. Germain at 09:43 AM | Comments (0)

Fidelity National Financial, Inc. Announces Closing of the Acquisition of ATM Holdings, Inc.

Fidelity National Financial, Inc. , a leading provider of title insurance, specialty insurance and claims management services through a portfolio of companies, today announced the closing of the previously announced acquisition of ATM Holdings, Inc. ("ATM"), a provider of nationwide mortgage vendor management services to the loan origination industry.

ATM's primary subsidiary is a licensed title insurance agency which provides centralized title and closing services and a full suite of valuation and appraisal services to national residential mortgage originators, banks and institutional mortgage lenders throughout the United States. It has relationships with eight of the top fifty mortgage originators in the country and is licensed in forty-two states, as well as the District of Columbia. ATM also owns and operates Vision Global Solutions, a proprietary software system that is used to manage the fulfillment of third-party settlement services by more than eleven major lenders.

Posted by S. Germain at 09:41 AM | Comments (0)

FICS Servicing Customers Can Now Import Directly into Fannie Mae's MBS Reporting System

Financial Industry Computer Systems, Inc. announced that it has successfully completed testing with Fannie Mae for import into the MBS Reporting System. FICS users will now have the ability to import Fannie Mae MBS pools through the MBS Reporting system with FICS' residential mortgage loan servicing system, Mortgage Servicer(TM).

Posted by S. Germain at 08:52 AM | Comments (0)

Zaio Accelerates its National Appraisal Knowledge Warehouse(TM)

Zaio Corporation's USA subsidiary Zaio Inc. announced today its plans to accelerate its national Appraisal Knowledge Warehouse(TM) and valuation solutions due to increased demand from the Mortgage Backed Securities (MBS) and Asset Backed Securities (ABS) markets which hold more than $20 trillion in loans secured with real estate.

Posted by S. Germain at 08:50 AM | Comments (0)

Colorado House Finders Launches “One-Stop” Real Estate Online

Colorado House Finders, LLC today announced the launch of www.coloradohousefinders.com, a cutting edge online suite of resources that offers consumers a cost-effective solution for buying and selling real estate in Colorado. Designed to optimize the home buying experience, Colorado House Finders merges the successes of Visionary Lending Corporation (VLC) and ACE Appraisers; founded in 2001, providing opportunities to access and leverage Colorado’s most successful Realtors, mortgage professionals and property valuation specialists.

Posted by S. Germain at 08:45 AM | Comments (0)

Wolters Kluwer Financial Services and Baker Hill Strengthen Alliance

Wolters Kluwer Financial Services and Baker Hill, an Experian company, announced the two companies are creating an interface between Wolters Kluwer Financial Services' ComplianceOne® solution and Baker Hill's Bank2Business® credit origination solution and OnePoint® relationship management platform.

Posted by S. Germain at 08:44 AM | Comments (0)

Calyx Software Releases Point and Point Data Server Version 6.0

Calyx Software® announced the release of Point® and Point Data Server® versions 6.0. The latest version of the Point application includes a new enhancement that allows the integration of mortgage broker and mortgage banker functionalities. New marketing tools and a powerful report generator are also included. Both Point and Point Data Server Versions 6.0 are now being shipped to current customers at no additional cost.

Posted by S. Germain at 08:42 AM | Comments (0)

Zenta Expands its Default Service Solutions

Zenta, a global outsourcing firm, is expanding its Default Service Solutions to the residential mortgage industry—a move that's expected to benefit mortgage loan servicers and law firms specializing in default.

Posted by S. Germain at 08:37 AM | Comments (0)

SF Housing Starts Fall 7.3%

Single-family housing starts fell 7.3% in July as builders are becoming more cautious in the face of tough credit conditions, slowing consumer demand and offering little hope of any improvement for the rest of the year. The U.S. Census Bureau reported that single-family housing starts declined from a seasonally adjusted annual rate of 1.15 million in June to 1.07 million in July. Single-family starts are off by 25% since July 2006, and National Association of Home Builders economists are forecasting starts will be off by a 32% annual rate by the end of the third quarter.

Posted by S. Germain at 08:35 AM | Comments (0)

National City Terminating Home Equity Unit

National City Corp. is closing its home equity division, and most of the unit's 450 employees are likely to lose their jobs. The announcement comes a week after the Cleveland bank temporarily suspended second-mortgage applications through National Home Equity; and Terry McEvoy, a banking analyst with Oppenheimer & Co. in Portland, Maine, says the move was "the next logical step." Investor demand for the unit's packaged home equity loans and lines of credit had cooled because the loans were considered to be too much of a risk.

Posted by S. Germain at 08:33 AM | Comments (0)

Big Changes and Big Loan for Countrywide

Unable to generate cash by issuing commercial paper, Countrywide Financial Corp. obtained an $11.5 billion loan on Wednesday from more than three dozen leading banks--a move that drove its stock price down 11 percent and prompted a ratings downgrade by Moody's Investors Service, Standard & Poor's and Fitch Ratings. Analysts are expressing concerns that the subprime fallout could result in bankruptcy filings by even those lenders with the best reputations. However, Countrywide officials announced plans to scale back originations of jumbo mortgages, increase down payment requirements and stop lending to borrowers with poor credit ratings. The number of loans originated by Countrywide that are eligible for purchase by Fannie Mae and Freddie Mac is expected to reach 90 percent, marking a gain from 50 percent in June.

Posted by S. Germain at 08:32 AM | Comments (0)

Pipeline: Sideways Mortgage

As Bank of America Corp., Countrywide Financial Corp. and other large lenders enter the reverse mortgage arena, Oliver Wyman Group managing director Michael Poulos believes more innovation is necessary. He notes that not every senior homeowner wants to tap into his or her equity to help finance retirement, and products that allow them to simply reduce their monthly mortgage payments should be developed.

Posted by S. Germain at 08:30 AM | Comments (0)

Fed Could Cut Rates If Markets Worsen

In a move designed to prevent the snowballing credit crunch from slamming the economy, the Federal Reserve on Wednesday flooded the banking system with an additional $7 billion, bringing the total amount that it has pumped into the system this month to $71 billion. The goal of these cash injections is to keep the federal funds rate from climbing above its current benchmark of 5.25 percent, but analysts say the central bank may be forced to lower that key rate--possibly as early as September. The economy is already being roiled by higher subprime mortgage defaults, but more reports of serious credit issues at major banks or hedge funds could escalate into a full-out credit crisis that will require Fed action on interest rates.

Posted by S. Germain at 08:29 AM | Comments (0)

Countrywide Reports Rising Defaults

Countrywide Financial Corp.'s stock dipped 8 percent following news of an increase in foreclosures and delinquencies in the company's servicing portfolio to a more than five-year high and possible layoffs. The nation's biggest mortgage lender said its foreclosure rate climbed to 0.79 percent in July, versus 0.48 percent in July 2006 and 0.74 percent in June 2007. Meanwhile, delinquencies rose to 5.1 percent from 4.98 percent the prior month and 4.11 percent year-over-year. Countrywide also reported a 46-percent drop in subprime originations to $1.18 billion from $3.35 billion a year ago, with an overall month-to-month decrease in new loans of 14 percent.

Posted by S. Germain at 08:28 AM | Comments (0)

Subprime Lender Seeks Protection From Creditors

Aegis Mortgage Corp., which was among the 12 biggest subprime home lenders a year ago, this week filed for Chapter 11 bankruptcy protection. The Houston-based company owes more than $100 million to creditors, including several of the investment banks that until recently financed many loans to subprime borrowers. Among its biggest creditors are units of Countrywide Financial Corp. and Morgan Stanley, to which it owes $14.3 million and $16 million, respectively. Aegis is majority-owned by a Cerberus Capital Management affiliate.

Posted by S. Germain at 08:26 AM | Comments (0)

Homeowners Are Still 'Cashing Out' Billions in Equity Through Refinancings

Freddie Mac's "Cash-Out Refi" report for the second quarter indicates that $76.7 billion in equity was extracted by refinancing from April through June. About 83 percent of refinancings during this period involved cash outs that boosted the new mortgage balance by 5 percent or more, down from a record high of 88 percent last year. Additionally, the median increase in interest rates was one-eighth of a percentage point above the original rate. Freddie Mac deputy chief economist Amy Crews Cutts predicts a 33 percent decrease in cash-out refinancings over the remainder of the year, though she insists that homeowners have plenty of equity to extract--if they so choose--during this extended period of reasonable mortgage rates.

Posted by S. Germain at 08:24 AM | Comments (0)

August 10, 2007

Q1 07 Subprime Originators

Posted by S. Germain at 09:10 AM | Comments (0)

First American eAppraiseIT Announces Two Executive Appointments

First American eAppraiseIT announced that Diane Swanson has been named vice president, national sales manager, and Barbara Girolami has been promoted to vice president, valuation consulting for First American eAppraiseIT’s Valuation Consulting group.

In this newly created position of national sales manager, Swanson will oversee all aspects of the First American eAppraiseIT Valuation Consulting group, including the establishment of sales territories and the recruiting, hiring and training of valuation consultants. She will also act as the liaison between the Valuation Consulting group and various product companies and departments within The First American Family of Companies.

As vice president, valuation consulting for First American eAppraiseIT’s Valuation Consulting group, Girolami will manage client consulting and sales of traditional appraisal services. In addition to the work she does for First American eAppraiseIT, Girolami will also work closely with members of the First American sales force, by providing technical (appraisal) expertise to assist with new business opportunities.

Posted by S. Germain at 09:06 AM | Comments (0)

Peru's Largest Bank Selects Fidelity National Information Services' TouchPoint(R) Delivery Channel Suite

Fidelity National Information Services, Inc. announced today that Banco de Credito del Peru (BCP) has signed an agreement to install the FIS TouchPoint® channel product suite to support BCP's network of branch banking operations.

Posted by S. Germain at 09:05 AM | Comments (0)

Fidelity National Financial, Inc. Announces Purchase of a One Million Share Block of Common Stock

Fidelity National Financial, Inc. announced that it has purchased a one million share block of its common stock directly from its Chairman of the Board of Directors, William P. Foley, II. Mr. Foley intends to use the proceeds from the sale to make an investment in the wine industry.

Posted by S. Germain at 09:04 AM | Comments (0)

LandAmerica Lender Services Introduces eZLoss Mitigation for Mortgage Lenders and Servicers

LandAmerica Financial Group, Inc. announces the release of eZLoss Mitigation, a new solution for mortgage lenders and servicers to better manage problem loan portfolios and improve overall profitability. LandAmerica Lender Services supplies the industry with default management services assisting its clients in curing delinquencies and reducing overall loss severity.

Posted by S. Germain at 09:03 AM | Comments (0)

LandAmerica AgentXtra(SM) Program Celebrates Its Third Anniversary

LandAmerica Financial Group, Inc. this month celebrates the third anniversary of LandAmerica AgentXtra(SM) Program, a first-of-its-kind program that helps the company's Agent Partners grow their businesses.

The Program features a menu of 28 customized solutions spanning Executive, Support, Technology, and Transaction Services. Executive Services help agents achieve business expansion or get their businesses back on track. Support Services help them boost the efficiency of their daily operations. Technology Services put agents on the leading edge of technological innovation -- then keeps them there. And Transaction Services enable agents to save time and money while serving their customers better.

Posted by S. Germain at 09:02 AM | Comments (0)

Fed acts to stem credit turmoil

The Federal Reserve, trying to calm financial turmoil on Wall Street, announced that it will provide liquidity to help bolster U.S. financial markets.

The Fed, in a short statement, said it will provide "reserves as necessary" to help the markets safely make their way. The central bank did not provide details but said it would do all it can to "facilitate the orderly functioning of financial markets."

The Fed's action comes one day after a financial panic about a credit crunch swept through Europe. That prompted the Europeans to pump $130 billion into their financial system. The Fed moved Thursday to add an extra $24 billion in temporary reserves to the U.S. banking system.

The Fed chose not to cut a key interest rate, called the federal funds rate, to address the problem. That interest rate still stands at 5.25 percent. The funds rate is interest banks charge each other on overnight loans.

Instead, the Fed is seeking to provide reassurance to investors that the central bank will pump extra money into the U.S. financial system to make sure the credit crunch doesn't worsen.

Posted by S. Germain at 08:59 AM | Comments (0)

DSI upgrades LoanMagic software

Document Systems, Inc. has released version 4.0 of its popular LoanMagic software. The new application combines tools for lead management, contact management, mortgage loan calculators, side-by-side loan comparison and marketing into a single tool.

Posted by S. Germain at 08:52 AM | Comments (0)

Reverse Mortgage Leader Vertical Lend to be Acquired by KBC Financial Products

Vertical Lend announced that it has signed a definitive agreement to be acquired by KBC Financial Products, a wholly-owned subsidiary of Belgian-based KBC Bank NV. The acquisition is expected to accelerate Vertical Lend's objective to increase market share and brand recognition in the reverse mortgage lending market through its highly recognized Senior Lending Network.

Posted by S. Germain at 08:51 AM | Comments (0)

WESTCAP CORP Chooses Ocwen's REALSynergy Commercial Loan Servicing Platform

Ocwen Financial Corporation announced today that WESTCAP CORP has chosen REALSynergy(r), Ocwen's commercial and multi-family loan servicing platform, to support its growing commercial loan portfolio.

Posted by S. Germain at 08:49 AM | Comments (0)

Remend Inc. Launches Updated Default Management Tool

Remend Inc. has launched Remend OnDemand (TM) Summer 2007, which is a new version of the company's Remend OnDemand suite that's expected to provide default servicers with a new tool that can streamline the complex process of managing properties in default, while also cutting expenses.

Remend OnDemand Summer 2007 is the latest solution linked to the Remend OnDemand suite, which was launched to serve as a solution for lenders and investors who are dealing with the default management process.

Posted by S. Germain at 08:43 AM | Comments (0)

BasePoint Analytics and Bohan Group Probe for Fraud Risk in Loans

BasePoint Analytics is now providing the Bohan Group LLC with additional predictive analytic fraud and risk management solutions by combining its Enhanced Fraud Review process with BasePoint's due diligence process.

The key factor in the merger of the two company's solutions is BasePoint's FraudMark solution, which calculates a fraud score overnight to determine the amount of risk within each loan that appears in an investment bank's portfolio.

Posted by S. Germain at 08:42 AM | Comments (0)

Visionet Systems Launches VisiDataBridge

Visionet Systems has launched VisiDataBridge—a product designed to streamline and improve the process of transferring data and images among investors, lenders, and servicers.

Visionet says one of the other benefits is the product's Web-based system, which allows due diligence contractors to access data wherever they go, while also permitting third parties to perform due diligence tasks at a nominal cost.

Posted by S. Germain at 08:40 AM | Comments (0)

CSC Expands Loss Mitigation Technology

El Segundo, California-based Computer Sciences Corporation (CSC), a provider of global information technology, has added new loss mitigation capabilities to its Early Resolution mortgage default software to help servicers improve the development of workout solutions for borrowers and investors.

The improved technology allows servicers to process data on loan modifications, short sales, and deed-in-lieu-of-foreclosure solutions.

Posted by S. Germain at 08:39 AM | Comments (0)

Bush Rules Out B&C Bailout

President Bush, at a news conference Wednesday afternoon, ruled out any type of taxpayer bailout for lenders threatened by the subprime crisis. According to news reports on the president's remarks, he also dismissed proposals to grant Fannie Mae and Freddie Mac greater leeway in increasing their balance sheets. Fannie has asked its regulator for permission to increase the cap on its on-balance-sheet portfolio, a move that could increase liquidity in the secondary market.

Posted by S. Germain at 08:34 AM | Comments (0)

Countrywide Sees Trouble Ahead

Countrywide Financial Corp. and Washington Mutual Inc. this week informed investors that the weakening mortgage market likely will have a negative effect on their near-term operations. The former stated that "unprecedented disruptions" in the credit markets could have an adverse impact on earnings, while the latter conceded that turmoil in the subprime secondary mortgage market during the first six months of 2007 has spilled over into markets for higher-quality loans.

Countrywide, the nation's biggest mortgage lender, reported that payments were at least 30 days late on a fifth of the non-prime loans it serviced as of last month.

Posted by S. Germain at 08:32 AM | Comments (0)

Housing Slump Likely to Worsen

The National Association of Realtors expects tightening credit to result in a five-year low for home sales in 2007. For the eighth time this year, the trade group reduced its forecast for housing sales--this time to 6.04 million units, down 6.8 percent from last year and its lowest level since 2002.

Posted by S. Germain at 08:30 AM | Comments (0)

Mortgage Insurer's Deal in Doubt

MGIC Investment is considering scrapping its deal to acquire Radian Group a week after the two mortgage insurers disclosed problems involving subprime mortgage investor C-Bass, their $1 billion partnership. Banks have made margin calls on C-Bass' credit lines due to the spike in delinquencies and defaults on subprime mortgages, and now the value of MGIC's and Radian's investments in C-Bass may be virtually zero. MGIC has agreed to acquire Radian for $4.9 billion in stock in a deal that would create a combined company with nearly $15 billion in total assets. In light of the new developments, however, MGIC is seeking more information from Radian so that its board of directors can determine whether or not to proceed with the acquisition.

Posted by S. Germain at 08:29 AM | Comments (0)

HomeBanc Is Latest to Halt Mortgages

Without the ability to borrow money to fund new loans, HomeBanc Corp. of Atlanta has ceased underwriting operations and is in the process of allowing Countrywide Financial Corp. to acquire as many as five of its branches. Countrywide expects to hire HomeBanc's 1,100 retail loan originators and will apply its underwriting standards to applications submitted to HomeBanc prior to the acquisition. HomeBanc, meanwhile, will continue servicing mortgages.

Posted by S. Germain at 08:29 AM | Comments (0)

National City Halts Equity Loan Applications

Based on the growing crisis in the mortgage sector, National City Bank confirmed on Monday that it is no longer accepting applications for home equity loans and lines of credit.

Posted by S. Germain at 08:27 AM | Comments (0)

Reverse Loans Moving Forward

The National Reverse Mortgage Lenders Association expects volume of more than 120,000 reverse mortgages this year, which would be a 57 percent increase from 2006. Although the reverse mortgage market is still in its infancy, with only 1 percent of senior homeowners having taken out the most popular offering--the Federal Housing Administration-insured Home Equity Conversion Mortgage--industry observers say business is starting to take off. The trade association projects that the amount of equity locked up through the mortgages will mushroom from $4.3 trillion this year to $37 trillion by 2030.

Posted by S. Germain at 08:26 AM | Comments (0)

August 03, 2007

New Home Sales June 07

Posted by S. Germain at 08:58 AM | Comments (0)

The First American Corporation Reports Financial Results For The Second Quarter Of 2007

Read the entire story here.

Posted by S. Germain at 08:56 AM | Comments (0)

Fidelity National Financial buys ATM Holdings

Fidelity National Financial announced that it has signed a definitive agreement to acquire ATM Holdings, Inc. ("ATM"), a provider of nationwide mortgage vendor management services to the loan origination industry.

ATM's primary subsidiary is a licensed title insurance agency which provides centralized title and closing services and a full suite of valuation and appraisal services to national residential mortgage originators, banks and institutional mortgage lenders throughout the United States. It has relationships with eight of the top fifty mortgage originators in the country and is licensed in forty-two states, as well as the District of Columbia. ATM also owns and operates Vision Global Solutions, a proprietary software system that is used to manage the fulfillment of third-party settlement services by more than eleven major lenders.

Posted by S. Germain at 08:54 AM | Comments (0)

FIS Announces Results of Non-Strategic Business Review

Read the entire story here.

Posted by S. Germain at 08:52 AM | Comments (0)

LandAmerica Reports Second Quarter 2007 Results

Read the entire story here.

Posted by S. Germain at 08:51 AM | Comments (0)

Stewart Title Opens New Zealand Branch

Stewart Information Services Corp.'s Stewart Title Ltd. unit has opened of a branch in Auckland, New Zealand. The company has appointed Megan Fraser as business development manager for New Zealand.

Posted by S. Germain at 08:48 AM | Comments (0)

Sydion Financial selects MRG for document management

MRG Document Technologies (MRG), a provider of document preparation services for the financial industry, announced that Sydion Financial, a wholesale mortgage banker, has selected MRG for its efficient document preparation, management and delivery services associated with the closing process.

Posted by S. Germain at 08:45 AM | Comments (0)

Courthouse Retrieval System, Inc. (CRS) Integrates with Tucson Association of REALTORS(R)' MLS System

Courthouse Retrieval System, Inc. (CRS), working in conjunction with Rapattoni Corporation, has implemented a sophisticated security industry standard that transmits data between the Real Estate PowerTool by CRS and the Rapattoni MLS system. The integration went live today for more than 7,000 members of the Tucson Association of REALTORS®.

CRS is the first tax provider to integrate with an MLS system using SAML (Security Assertion Markup Language). With the SAML Single Sign-On (SSO) account-linking feature, members can log on to the Rapattoni MLS system once and access the Real Estate PowerTool seamlessly without reentering a user ID or password. This gives members the ability to search all of the CRS tax property data plus mortgages, sales, maps, comps and more through one convenient interface.

Posted by S. Germain at 08:42 AM | Comments (0)

a la mode for iPhones(TM) - Agents Process Sales Leads While Staying Mobile

a la mode, inc. announced the release of lead management tools built for the Apple® iPhone(TM). a la mode is the first company to provide agents the ability to manage website leads on an iPhone.

The company said that today's introduction of real estate lead management for the iPhone is the first of several major product releases that will enable real estate professionals on the go to more effectively manage, monitor, and respond to leads - even when agents are away from the office

Posted by S. Germain at 08:39 AM | Comments (0)

Calyx to Offer eXpertivity's End-to-End Outsourced Mortgage Loan Processing

Calyx® Software announced that they have entered into an agreement with eXpertivity Mortgage Processing Solutions (aka eXpertivity Mortgage Solutions Corp.), a leading national provider of mortgage loan processing services. eXpertivity provides end-to-end loan processing services, including full compliance and post closing services. Technology enabled outsourced loan processing should become available after the next Point I-Update in September, and will directly connect Point users with eXpertivity from the Point software interface, enabling them to enjoy the benefits of outsourcing right after the initial data is entered.

Posted by S. Germain at 08:36 AM | Comments (0)

Interthinx(R) Offers Comprehensive Criminal and Civil Background Checks for Vital Fraud Prevention and Compliance

Interthinx®, Inc. is now offering comprehensive batch processing of criminal records, civil records and bankruptcy/liens/judgment records, allowing lenders to make better informed decisions about today's business partners. The extensive coverage provides the financial services industry essential background information on brokers and appraisers when complying with investor "entity review" policies. Interthinx provides same day results in 46 states.

Posted by S. Germain at 08:35 AM | Comments (0)

FlexPoint Shutting Wholesale Division

FlexPoint Funding, a hard-money lender based in Irvine, Calif., has shut its wholesale division. The company and its officials, including senior executive Dan Rawitch, could not be reached for comment. At its peak, FlexPoint was funding between $600 million and $700 million a year.

Posted by S. Germain at 08:29 AM | Comments (0)

Wells, Countrywide to Buy From ACB JV

Wells Fargo Funding Inc. and Countrywide Institutional Mortgage Services Group have agreed to purchase mortgages from 32 community banks that are part of a joint venture put together by a for-profit subsidiary of America's Community Bankers. The trade group launched ACB Mortgage LLC in February to act as a negotiating agent with investors to get the best secondary-market execution. "We anticipate that this new venture will immediately benefit" from Countrywide's and Wells Fargo's inclusion, said Deborah Whiteside, president of ACB Mortgage. CIMSG president Doug Jones said a "coordinated execution" involving ACB Mortgage and Countrywide "is designed to offer product solutions and help community banks become more successful in today's environment of declining market shares, reduced margins, and increased competition."

Posted by S. Germain at 08:27 AM | Comments (0)

Accredited Says It May Not Survive

Accredited Home Lenders, San Diego, said Thursday that it may not continue to operate as a "going concern," sending its stock price down 25% to just over $6 a share. According to the Quarterly Data Report, Accredited is the nation's 18th-largest subprime funder. The company cited deteriorating conditions in the market, including rising delinquencies and early payment defaults.

Posted by S. Germain at 08:26 AM | Comments (0)

Mortgage Lenders Revise Policies, Raise Rates

IndyMac Bancorp is the latest in a line of home lenders to respond to the decline in mortgage-backed securities by raising interest rates and tightening underwriting standards. Many lenders no longer are offering "piggyback" second mortgages, and Wachovia is among those that have ceased underwriting Alt-A home loans. National City, meanwhile, says it will no longer write stated-income loans or purchase second mortgages from other lenders.

Posted by S. Germain at 08:23 AM | Comments (0)

RamQuest Software, Ellie Mae Link Title Companies, Brokers

RamQuest Software Inc., Plano, Texas, a business services provider for the title and escrow industry and developer of the Closing Market digital network, and Ellie Mae, Dublin, Calif., a provider of software and services for the mortgage industry, formed a partnership that integrates the ePASS Network with RamQuest Closing Market systems. The partnership enables users of each system to expand their network of customers and suppliers.

Posted by S. Germain at 08:22 AM | Comments (0)

Mortgage Firm Out of Cash

American Home Mortgage may be the next lender to file bankruptcy, having announced that UBS, Bear Stearns, J.P. Morgan Chase and other investment banks have cut off funding and ordered the company to pay back previous loans. After the struggling Alt-A lender reported its lack of cash, its stock tumbled 90 percent.

Posted by S. Germain at 08:19 AM | Comments (0)