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Challenger, Gray & Christmas, a nationwide outplacement firm, is predicting a relocation surge in 2013 from job-seeking homeowners who are finally able to list their properties. As home prices improve, more homeowners have been lifted out of negative equity, and thus more free to sell their properties and relocate. ""One factor that has kept unemployment rates high has been the inability of underwater homeowners to relocate for employment opportunities. With home prices bouncing back, even those who may now simply break even on a home sale might consider moving to a region where jobs are more plentiful,"" said John A. Challenger, the firm's CEO.

While most representation and warranty guidelines for recent residential mortgage-backed securities (RMBS) have been substantially stronger than observed in pre-crisis transactions, according to Fitch, the ratings agency has begun to encounter some proposals that fall short of the industry's recently-enhanced standards. Fitch is a strong proponent of the American Securitization Forum's Project Restart, which created a rep and warranty framework following the housing crisis. According to Fitch, the framework offers ""a high standard that provides the most assurances about loan origination and underwriting quality."" Some of the most recent RMBS transactions the agency reviewed stray from these guidelines and are ""weak,"" according to Fitch.

Even with tax hikes and spending cuts creating a significant headwind to the economy, Fannie Mae's Economic & Strategic Research Group is maintaining its outlook for slow and steady growth in 2013. On the housing front, continued lean inventory and the increase in rate of household formation bode well for homebuilding activity and residential construction employment, the outlook says, giving housing an opportunity to contribute more to economic growth. However, one unknown variable on the supply side is how many underwater borrowers are waiting to list their homes.

A year after the nation's largest mortgage servicers reached a monumental settlement with 49 state’s attorneys general and several federal agencies, the five servicers have reportedly provided assistance in the amount of $45.83 billion to 550,000 homeowners, according to the Office of Mortgage Settlement Oversight reported. The greatest portion of the total $45.83 billion distributed since the settlement went to ""relief to support home ownership."" About $24.7 billion went to these efforts. Short sales made up another significant portion of servicers' efforts, totaling $19.5 billion.

Fixed mortgage rates moved up just a smidgen this week, according to surveys from Freddie Mac and Bankrate.com. According to Freddie Mac's Primary Mortgage Market Survey, the average interest rate for a 30-year fixed-rate mortgage (FRM) was 3.56 percent (0.8 point) for the week ending February 21, up from 3.53 percent last week. Last year at this time, the 30-year FRM averaged 3.95 percent. Meanwhile, Bankrate's findings showed the 30-year fixed rate rising a single basis point to 3.80 percent.

The national delinquency rate moved against the seasonal trend and declined from the third to fourth quarter, while foreclosure starts and the foreclosure inventory rate made history with their decreases, according to the Mortgage Bankers Association's (MBA) National Delinquency Survey. In the fourth quarter of 2012, the national delinquency rate fell to 7.09 percent, a quarterly and yearly drop of 31 and 49 basis points, respectively, the MBA reported Thursday. Foreclosure starts were down to the lowest level since the second quarter of 2007 after representing just 0.70 percent of loans in Q4.

First-time claims for unemployment insurance jumped 20,000 to 362,000 for the week ending February 16, the Labor Department reported Thursday. Economists expected 359,000 initial unemployment claims.

A new report from FBR Capital Markets asserts low rates and high demand will continue to boost profitability in the mortgage banking sector in 2013. In a research report released Wednesday, FBR notes that average rates on outstanding mortgages hover between 4.50 percent and 5.00 percent--well above today's historically low rates. According to the firm, this means there is a ""large portion of loans with an economic incentive to refinance.""

Housing starts declined 8.5 percent from December to January but remain 24 percent above last year's rates, according to recent data from the Census Bureau and HUD. Capital Economics points out that the recent decline is largely driven by the multifamily sector, while single-family starts actually rose 0.8 percent over the month. The general upward trend in housing starts is tied to recent declines in distressed inventory, according to Capital Economics. ""[H]omebuilders are starting to benefit from the dwindling supplies of deeply discounted distressed homes, which for a while were next to impossible for builders to compete with,"" the analytics firm stated.

The regulatory tidal wave has come upon the industry, declared David Stevens, president of the Mortgage Bankers Association (MBA), in a written speech Wednesday. ""Over 3500 pages of regulations have been released in just the first few weeks of 2013 and many more will be released by mid-year,"" said Stevens in his remarks for the MBA's National Mortgage Servicing Conference & Expo. In light of the rules, Stevens advised ""listening to the CFPB staff explain the rules,"" while also ""letting them know, respectfully, what works, what doesn't and what we need to work on together.""