Industries

Two groups representing small and mid-size lenders say new proposed state mortgage servicing standards for nonbanks will add an unnecessary layer of regulatory burden, especially for firms servicing Fannie Mae and Freddie Mac loans.

Bankers and commercial real estate developers are protesting new restrictions on construction lending, arguing they are poised to hurt credit availability and drive loans into risky, unregulated sectors.

Senate Democrats are urging regulators to investigate potential discrimination in how banks and other financial institutions handle and market foreclosed homes.

Regulators finalized a rule Monday requiring banks to escrow flood insurance premiums and fees for loans on real estate located in a flood zone.

FHA tries to clarify what loan defects will bring the harshest penalties to guide lenders and instill more confidence.

A technical error made by the Consumer Financial Protection Bureau has become a saving grace for lenders who had pushed, begged and pleaded for more time to comply with a new mortgage disclosure rule.

The chair of the Federal Reserve said that though it takes the Community Reinvestment Act "very seriously," it is looking at possible changes to the rules implementing the 1977 anti-redlining law to address concerns that it is too lax.

WASHINGTON — After months of declining industry and congressional pleas to delay an impending rule combining two mortgage disclosure regimes, the Consumer Financial Protection Bureau on Wednesday announced a two-month delay due to an "administrative error."

Some argue that nonbank mortgage lenders' rising market share poses a risk to the financial system. But this belief arises from an inaccurate understanding of what is in fact a well-regulated sector.

The decline in foreclosures and short sales is contributing to the dearth of housing inventory, complicating the prospects for home buyers feeling the pinch of tight credit and lenders that need purchase mortgages to supplant refinancing once interest rates rise.

The number of vacant and abandoned properties that are in foreclosure decreased in the second quarter, according to a RealtyTrac report.

The mortgage lender Nationstar Mortgage Holdings is pouring a lot of energy into a digital and mobile homebuying platform called Xome. The strategy could attract tech-savvy millennials but carries plenty of risks including whether consumers would be improperly steered to its products.

With the onset of the new integrated disclosures rule, mortgage lenders owe it to their companies to make sure that operations folks have the chance to get out to events and workshops that will keep them informed and updated on new industry requirements.

Fannie and Freddie should offer upfront risk-sharing options in order to give lenders an opportunity to lower their guarantee fees while encouraging more private capital and competition to flow into the secondary mortgage market.

The details of the final Des-Moines-Seattle Home Loan Bank deal made it clear why this merger worked when past attempts had not and gave clues as to whether other institutions could one day follow suit. Following are three items that jumped out.

The regulatory burden for originators has not only been the main driver of acquisition activity in mortgages but also influences deal structures. Acquirers are looking to craft transactions so they don't get burned by targets' compliance lapses.

Rep. Edward Royce, R-Calif., urged fellow House members Wednesday to support a Senate proposal that would make significant reforms to Fannie Mae and Freddie Mac.

The CFPB gave little ground in its pledge Wednesday to be "sensitive" to lenders that make a "good-faith effort" to comply with new mortgage disclosure rules that go into effect in August. The agency's statements fell short of a formal grace period that the industry and lawmakers had been demanding.

Banks and mortgage lenders are in the final stretch of preparing to deliver new TILA-Respa Integrated Disclosures to homebuyers starting Aug. 1. But it's not just the change of forms that is causing alarm bells. Fines could be steep, and legal liability could be even higher, for violators, while necessary technological changes are expensive, they say.

The merger of the Federal Home Loan Banks in Des Moines and Seattle became official on Monday, shrinking the overall number of banks in the system to 11.