SANTA ROSA, Calif. - North American Mortgage Co. said November loan fundings increased 72% to $2.05 billion, from $1.19 billion a year ago.
Loan applications rose 102% to $2.67 billion, from $1.32 billion last year.
The company said year-to-date loan originations were $15.63 billion, a 47% increase. Year-to-date loan applications were $24.38 billion, 38% over $17.65 billion a year ago.
The company said it continued to benefit from a favorable interest-rate environment which has stimulated loan demand, particularly for refinancings, which represented 76% of fundings in November, compared with 74% a year ago.
CHICAGO - A roadblock for Amerin Guaranty Corp. was removed last week when Computer Power Inc. agreed to provide programming to support lender-paid mortgage insurance.
Chicago-based Amerin markets a type of mortgage insurance that is underwritten and paid for by mortgage providers. Because lender-paid insurance has different loan servicing needs than traditional mortgage insurance, some companies were unable to use the product because they lacked technical support.
CPI's move to provide custom programming is significant because it is the largest provider of mortgage servicing processing in the country.
NEW YORK - The New York State Banking Department has issued rules under which authorized lenders can make reverse mortgages. Such loans enable elderly homeowners to use the equity in their homes for living expenses.
The rules implement a law adopted earlier this year and will go into effect after a comment period expires.
The department's regulations permit two types of loans. One may be made to people at least 70 years old with an income no greater than 80% of the median in their county. This loan must be insured and it guarantees lifetime residency to the borrower.
The second type of loan may be made to people 60 or older and has fewer restrictions.
Prepayment penalties are banned and lenders are barred from seizing any assets other than the home.
SHAWNEE, Kan. - Continental Mortgage Inc., a wholly owned subsidiary of Advanced Financial Inc., has bought $26 million of servicing rights.
The deal will give CMI a total servicing portfolio of about $450 million.
At the end of CMI's second fiscal quarter, which ended Sept. 30, its servicing portfolio was about $360 million.
This purchase increased acquisitions in the third quarter to $213 million, resulting in a 60% increase in the portfolio.