Mortgages

Lawmakers and industry groups are urging FHA to update condo rules to provide more homeownership opportunities for first-time buyers.

Mortgage servicer Ocwen Financial failed four servicing tests in the second half of 2014. Joseph A. Smith Jr., the monitor of the $25 billion national mortgage settlement, said the Atlanta servicer was “beginning to show progress” in complying with terms of the 2012 agreement.

The head of the Consumer Financial Protection Bureau warned software vendors that they face new scrutiny from regulators for causing mortgage lenders to miss the TRID-compliance deadline. He was vague about how far the CFPB might go, but many in the industry are prone to fear the worst.

Both forecasts call for growth in home purchase volume over the next few years, but the decline in refinance originations will be so steep that overall origination volume will decrease.

Profits fell at New York Community Bancorp in Westbury, N.Y., as it continued to manage its balance sheet to stay below a key regulatory threshold.

Private mortgage insurers are seeking a larger share of the credit risk on Fannie Mae and Freddie Mac-guaranteed loans.

Housing finance reform in Congress is stalled, but Fannie Mae and Freddie Mac (often under pressure from their regulator) are forming partnerships, developing new products and finding ways to share risk with the private sector to correct flaws in the housing system.

David H. Stevens, the Mortgage Bankers Association's president, pledged to "shine an aggressive spotlight on abusive enforcement" at the trade group's annual gathering, specifically calling out the Department of Justice.

Mortgage servicers have gotten a rare reprieve from the Federal Housing Administration.

Next year Fannie will require that mortgage lenders use so-called trended credit data for all mortgage borrowers, a move it says could broaden access to credit.