Mortgages

As if high default costs haven't been challenging enough for mortgage servicers, a growing number of seriously delinquent loans are Federal Housing Administration products, which require significant upfront investment to resolve.

WASHINGTON — Fannie Mae is making its housing counseling requirements more flexible so additional borrowers can qualify for its low-down-payment, affordable loan program called HomeReady.

The costs to extend buyouts to employees cut into Trustmark's second-quarter profit, as did a drop in mortgage banking.

Regulators sought to limit improper contact between lenders and appraisers, but policies of the two mortgage giants encourage the kind of practices that contributed to the housing crisis.

Federal regulators warned mortgage servicers Monday that they will still expect them to offer loan modifications to distressed homeowners even after the Home Affordable Modification Program expires at yearend.

Multifamily family construction is reaching the point where some markets can't absorb the new supply of units.

Banc of California's second-quarter profits soared on stronger lending and credit quality. The $10.2 billion-asset company increased net income 66% from a year earlier to $26.5 million, it said in a news release Thursday.

Regional banks like BB&T, Huntington Bancshares and Citizens Financial are growing through acquisition and targeted business-line initiatives, but they are having to contain spending simultaneously.

Profits rose at Citizens Financial in the second quarter thanks to higher-than-expected fee income and loan growth, including improvements in mortgages and auto finance as well as a continuing surge in student lending.

In markets where consumers spend a substantial amount of income on housing, it's often cheaper to rent than buy. But in these expensive markets, owning a home is more affordable.