Economy

Trend Lines Perspectives on Utah's Economy June/July http://jobs.utah.gov/opencms/wi/pubs/trendlines/julaug08/index.html

Mortgage News

Presidential candidates' housing plans at a glance
The Associated Press - Jul 5, 2008_Separately, McCain wants the Justice Department to create a task force to investigate potential criminal wrongdoing in the mortgage industry. ...
http://ap.google.com/article/ALeqM5gFwzdW1h39lz-B1WN4GN4T9jFFgAD91NMQI00

Americas Watchdog Warns All, U.S. Homeowners, U.S. Pension Funds and Shareholders of Mutual Funds to Get Ready for Grim Economic News with a Preview of 2009 http://www.prweb.com/releases/2008/7/prweb1065064.htm

Mortgage

This is a good article to give your customers.
How-to Monday: Paying off your mortgage early
http://weblogs.baltimoresun.com/business/realestate/blog/2008/06/howto_monday_paying_off_your_mortgage_early.html

FHA News

FHA's role expanded in U.S. mortgage fix
http://www.upi.com/Business_News/2008/06/29/FHAs_role_expanded_in_US_mortgage_fix/UPI-84121214745418/

Ethics Panel Seeks Fuller Disclosure of Senators' Mortgage Deals

Ethics Panel Seeks Fuller Disclosure of Senators’ Mortgage Deals
http://www.cqpolitics.com/wmspage.cfm?parm1=5&docID=cqmidday-000002904320

Nationwide Mortgage Licensing System Expands to 14 States

The Conference of State Bank Supervisors (CSBS) and the American Association of Residential Mortgage Regulators (AARMR) announce that six more states -- Connecticut, Louisiana. Mississippi, North Carolina, New Hampshire and Vermont -- will begin using the Nationwide Mortgage Licensing System (NMLS) beginning July 1st.The eight states currently using NMLS are Idaho, Iowa, Kentucky, Massachusetts, Nebraska, New York, Rhode Island and Washington.
To date, 42 state agencies representing 40 states have committed to participate.
NMLS is a web-based system that allows state-licensed mortgage lenders, mortgage brokers, and loan officers to apply for, amend, update or renew a license online for all participating state agencies using a single set of uniform applications.A total of 19, or more than one-third of the states are scheduled to be using NMLS by the end of the year.
"This unprecedented adoption rate is the result of hard work begun several years ago by state regulators as we envisioned a new regulatory framework that would begin to address some of the gaps we experienced in state and federal oversight of the mortgage industry," said Gavin Gee, Idaho's Director of Finance and chairman of State Regulatory Registry LLC, the CSBS subsidiary which developed and operates NMLS.
NMLS was immediately successful at launch and is proving to be an invaluable supervisory tool, said Neil Milner, president and CEO of CSBS.

VA Issues A New Circular

Circular 26-08-9 Interior Inspections on Abandoned Properties. PURPOSE: The purpose of this circular is to clarify VA’s position on requirements for conducting interior inspections on and abandon properties. http://www.homeloans.va.gov/circulars/26_08_9.pdf

Zillow's New Toy

From Zillow; Live Interactive Mortgage Rate Charts
http://latimesblogs.latimes.com/laland/2008/06/from-zillow-liv.html (article)

http://www.zillow.com/mortgage-rate-explorer/United-States_30-Yr-Fixed-Mortgage_High-Credit_High-Down_1Mo-Span (live Chart)

Fannie and Freddie News

Did you ever think of Fannie and Freddie as odd ducks?
Mortgagers' Dual Roles Clash
http://online.wsj.com/article/SB121322191893365863.html?mod=googlenews_wsj

VA News

VA Taking Steps To Deal With Mortgage Crisis
http://www.pntonline.com/opinion/mortgage_13929___article.html/crisis_lost.html

RMIC News

RMIC is implementing a new Streamline Refinance Policy to provide as much flexibility as possible to improve borrowers' financial positions and reduce the ultimate number of home foreclosures and mortgage insurance claims. Increasing borrowers' ability to ultimately repay their home mortgages through refinancing or modifying their existing loans will help many of these borrowers avoid losing their homes. RMIC will take aggressive action to waive or modify standard underwriting guidelines for streamline refinances of existing loans insured by RMIC. Additionally, due to the continued decline of credit performance and the deteriorating housing market, RMIC is modifying its policy regarding Construction/Permanent loans. You can view the complete bulliton attached

http://www.rmic.com/ratesguides/releasenotes/Documents/Release_6.4.08.pdf

FHA MI Changes July 14, 2008

Effective for case numbers assigned on our after July 14, 2008 mortgage insurance will change on FHA Title II Loans. Attached is the link to a PDF format of the Bill. Please notice that they eliminated the source of down payment from the original proposal as a determining factor for MI. This is good news for DPA programs and new home owners. The bill also eliminated from the original proposal the restrictions for nontraditional credit eligible for 97% LTV.

The upfront MI depending on FICO score and LTV ranges from 1.25 to 2.25 . The monthly will be .55%-50% depending on LTV. http://portal.hud.gov/pls/portal/docs/PAGE/FHA/IMAGE_LIBRARY/5171-N-02%20RBP%20FINNTC%20TO%20PUBLISH%20%205-13-08%20.PDF

MGIC annouces changes

This MGIC Bulletin announces:
• modifications to Bulletin 02-08
1. an increase to the maximum LTV/CLTV in Restricted Markets
2. a delay in the implementation of the Restricted States add-ons for lender-paid premiums
3. a modification to the definition of Restricted Markets, as defined in Bulletin 02-08
• an explanation of MGIC’s policy regarding DU 7.0
• a clarification to MGIC’s approach Agency AU systems and DTIs
• a change to MGIC’s PreQual program/commitments issued prior to property selection
Go to http://www.mgic.com/pdfs/MGIC_Bulletin_04-08_LPMI_&_Conforming_Jumbos_Final.pdf

FNMA News

Fannie Mae
Don't forget DU goes to 7.0 update this weekend so make sure you have all your loans already ran through DU as accurately as possible so you won't ran the chance of loosing your approve eligible

Agency News

Fannie makes two announcements see attached bulletins. These are all good signs that maybe things are getting better?
08-10 Announcements: National Down Payment Policy Replaces Maximum Financing in Declining Markets Policy
08-11 Announcement: Jumbo-Conforming Mortgage Loans – Expanded Eligibility and Products
https://www.efanniemae.com/sf/guides/ssg/2008annlenltr.jsp?from=hp

Mortgage News

Freddie CFO: says GSEs are gaining market share and raising prices amid shakeout

http://money.cnn.com/news/newsfeeds/articles/apwire/2f34a166a4c23f668c25f8b2b0354b4f.htm

Mortgage New May 20, 2008

Check this article out from the New York Times. NYT thinks this is a Housing legislature deal that the Bush Administration will also approve.
http://www.nytimes.com/2008/05/20/business/20housing.html?_r=1&ref=business&oref=slogin "Senate Leaders Agree on Housing Aid"

Agency News

FHA expands the FHA Secure Program. See attached Mortgagee letter and chart. Secure may help more borrowers now.


http://www.hud.gov/offices/adm/hudclips/letters/mortgagee/08-13ml.doc

Mortgage News May 9, 2008

Are you prepared for the questions your borrowers may ask you?
What to ask your next mortgage broker
http://money.cnn.com/2008/05/02/real_estate/gandel_your_next_broker.moneymag/

May 5, 2008 Agency News

You are reading key updates from Freddie Mac Today's News... In today’s special Single-Family Seller/Servicer Guide (Guide) Bulletin, we are announcing updates to our requirements for mortgages with maximum LTV, TLTV, and HTLTV ratios equal to or greater than 95 percent that are secured by properties located in areas where property values are declining. In addition, we are amending our requirements for Freddie Mac-owned no cash-out refinance mortgages and Streamlined Refinance Mortgages that are exempt from our maximum financing requirements.
We encourage you to review today’s Guide Bulletin, which details the updates described below. With this Bulletin, we are:
Announcing that for Loan Prospector® Accept purchase and no cash-out refinance mortgages with maximum LTV/TLTV/HTLTV ratios equal to or greater than 95 percent secured by properties located in a market with declining values, you are not required to reduce the maximum LTV/TLTV/HTLTV ratios below 95 percent provided that certain requirements are met. As a result of this change, for mortgages secured by properties located in a declining market that meet the criteria outlined in the Bulletin and have maximum financing of 95 percent LTV/TLTV/HTLTV, you do not need to reduce maximum financing. For mortgages with maximum financing of 97 percent LTV/TLTV/HTLTV, the maximum financing only needs to be reduced to 95 percent. This change is effective immediately.
Allowing closing costs, financing costs, and prepaids/escrows to be included in the new transaction for Freddie Mac-owned no cash-out refinance mortgages and Streamlined Refinance Mortgages that meet the requirements to be exempt from our declining markets requirements. This change is effective for mortgages with Freddie Mac settlement dates on or after February 21, 2008.
We are also reminding you that FHA/VA Mortgages, Section 184 Native American Mortgages and Section 502 Guaranteed Rural Housing Mortgages are exempt from our maximum financing requirements in declining markets, but they must meet the requirements of Chapter 35 of the Guide.
In addition to the updates announced in our Bulletin, we are also recommending use of OFHEO’s Indexes for Homes not in Metropolitan Statistical Areas (MSAs) to improve identification of declining markets and assist you in determining whether a reduction in maximum financing is necessary for properties located outside of an MSA. When using this Index, you must follow the same guidance we provided in our February 21 Guide Bulletin for using OFHEO’s House Price Index when identifying declining markets in an MSA.
Get More InformationFor additional details on these changes:
Read our May 2 Guide Bulletin.
See a summary of all of our recent pricing and credit changes.

Mortgage News May 5, 2008

I noticed this article is still indicating that Fannie and Freddie are gong through with the new appraisal changes that will drastically change the way we do business now.
"U.S. moves to insulate appraisers from pressure to cook the numbers"
http://www.signonsandiego.com/news/business/20080504-9999-1h04appraise.html

Good article from the Washington Post summarizing all the new changes. It doesn't mention that next month DU will be tightening up.
"Restrictions Are the Rule For All Sorts of Once-Easy Credit"
http://www.washingtonpost.com/wpdyn/content/article/2008/05/02/AR2008050201690.html

This was an article in the Los Angeles Times, that can help consumers understand the importance of good credit scores. You may want to share it with your customers
"Credit score still vital to qualifying for a mortgage"
http://www.latimes.com/business/la-re-lew4-2008may04,0,1879708.story

Mortgage News May 2, 2008

This could make things worse for our industry check this article just released on Reuters and see what you think.
"House panel passes sweeping mortgage aid bill"
http://www.reuters.com/article/ousiv/idUSN0144028220080501


"The Mortgage Meltdown's Dirty Secret"
Joshua ZumbrunFannie,
http://www.forbes.com/business/2008/05/01/mortgages-financial-education-biz-beltway-cx_jz_0501homebuyers.html

Freddie reforms could gain momentum
http://money.cnn.com/news/newsfeeds/articles/apwire/88cf8039f3331630d91886b225e67e7e.htm

Agency and Mortgage News

It really doesn't seem to be helping but did you notice the fed's cut the rate. See article from New York Times..
"Fed Cuts Rate but Hints About a Pause"
http://www.nytimes.com/2008/05/01/business/01fed.html?_r=1&th&emc=th&oref=slogin


HUD issues Mortgagee letter 2008-11 giving more feed back on Non Traditional credit and insufficient credit.
http://www.hud.gov/offices/adm/hudclips/letters/mortgagee/08-11ml.doc