Mortgages

Non-depositories now dominate home lending, but many of these firms were untested until they had to grapple with the current rising rate environment. How they fare could significantly impact the rest of the mortgage market and, more specifically, the Government National Mortgage Association.

The Federal Home Loan Banks system's primary affordable housing program has not had an in-depth review in more than 12 years, according to a new inspector general report.

The California Reinvestment Coalition is one of the groups asking the Federal Deposit Insurance Corp. to withhold its approval unless substantial conditions are imposed. The merger would create a $29 billion-asset bank with locations in nine states.

Townstone Financial in Chicago had been accused of discriminating against certain consumers by trying to discourage them from applying for home loans. However, a judge ruled that federal law protects only actual applicants.

The group, led by Senate Banking Chairman Sen. Sherrod Brown, said nonperforming loans sold to single family housing rental businesses or private equity firms results in the displacement of homeowners.

The Long Island company is closing 69% of the retail home lending offices previously operated by Flagstar Bancorp. New York Community recently acquired Flagstar for $2.6 billion.

The $41.2 billion-asset Los Angeles bank says it will wind down its premium finance and multifamily lending segments and intentionally slow loan growth.

During a hearing on racial bias in home valuation, the head of the Consumer Financial Protection Bureau questions the Appraisal Foundation's "weird" regulatory structure.

The breaks for some lower-income borrowers are welcomed, but the use of debt-to-income as a differentiator could complicate originations at a challenging time, lenders say.

Updates will become effective on May 1 and a uniform mortgage-backed securities fee reduction will begin on April 1.