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A former insider wants the Federal Home Loan Bank System's regulator to require its 11 regional banks to balance members' liquidity needs with the system's public mission to fund affordable housing and community development programs.

The lack of affordable housing is becoming an increasingly acute political and economic problem. But a few small tweaks to a Federal Housing Administration loan program could unlock prospective homeowners' potential to solve that problem for themselves.

A lack of affordable starter homes, increasing homelessness and stubbornly high prices for the homes that already exist have created a pickle that only careful planning and political buy-in can solve.

Bank of America had a 55% increase in new clients in May, and the lender is planning to bulk up staffing to keep up with demand. 

Economic analysis from the real estate advisory CBRE finds that community banks are particularly imperiled by their exposure to commercial real estate loans. Others see looming risks in indirect lending.

Old National relocates Louisville office following mass shooting in April, American Express brings back $1 million in grants for historic eateries, Adyen speeds payouts for gig workers and more in this week's banking news roundup.

But when compared past periods of upheaval, those rates remain relatively low, the Mortgage Bankers Association report showed.

The Federal Deposit Insurance Corp. said in its quarterly banking profile that the banking industry remains resilient despite a challenging economic backdrop, but exposure to commercial real estate losses and interest rate risks could make continued stability difficult.

Pledges to get to net-zero funded emissions by 2050 appear to be falling by the wayside as oil companies expand their fossil fuel extraction operations.

The beleaguered bank said it is selling 74 loans totaling about $2.6 billion to a subsidiary of Kennedy-Wilson Holdings. The move is part of a plan to pursue strategic asset sales, trim expenses and shore up its balance sheet.

As the Federal Housing Finance Agency considers how to prepare the system for the future, it can keep member liquidity steady while still boosting affordable housing.

During the pandemic, many banks adopted programs that helped struggling families find stability. Make that a permanent strategy.

The Secure and Fair Enforcement (SAFE) Banking Act of 2023, introduced in both the House and Senate would allow regulated banks to work with state-legal cannabis companies.

Banks could be in for a long, slow trickle of bank failures and consolidation in the coming months and years, particularly if inflation persists and interest rates keep rising. A downturn in commercial real estate could add to banks' problems.

As FDIC seeks a buyer for the remaining assets left after its sale of most of Signature Bank to Flagstar Bank, the agency has announced $60 billion in deposits — including some New York City commercial real-estate loans — will be on the market by this summer.

It would be unwise to restrict the use of Home Loan bank advances to housing-related lending.

The Federal Home Loan Banks claim that liquidity in-and-of-itself supports affordable housing, while the Federal Housing Finance Agency seems to think the mission should be more directly tethered to housing.

Federal Deposit Insurance Corp. Chairman Martin Gruenberg said that the rise of hybrid and remote work, alongside rising interest rates, could be creating lingering risk in the maturity of some bank loans.

The Federal Housing Finance Agency may have gotten more than it bargained for in its review of the Home Loan banks, but there is little doubt that the effort will result in significant structural change.