News

Dr. Christopher Herbert, research director at the Joint Center for Housing Studies at Harvard University, has been named to the board of directors of the Homeownership Preservation Foundation (HPF). Herbert spent the last two decades conducting research related to housing policy, housing markets, housing finance, and urban development. He also promotes and maintains homeownership for low-income and minority families.

A federal judge has dismissed two charges in a class action lawsuit brought against GMAC Mortgage on behalf of Maine homeowners filed after GMAC's concession that some foreclosure legal documents had been used without following proper procedures. District Judge D. Brock Hornby granted GMAC's motion to dismiss the homeowners' allegations of abuse of process and fraud. One count is still pending in the case, in which the plaintiffs are accusing GMAC of violating the Maine Unfair Trade Practices Act, but an attorney for the homeowners said he expects that to be thrown out also.

Data released by Standard & Poor's Tuesday show that the S&P-Case-Shiller home price index declined by 3.9 percent quarter-over-quarter during the last three months of 2010. The closely watched gauge is down 4.1 percent versus the fourth quarter of 2009. The agency warns that home prices are edging dangerously close to cycle lows, and a full-fledged double dip. Home prices in 11 major markets hit their lowest levels in December since prices peaked in 2006 and 2007.

The housing crisis and the financial downturn that followed, without question, have profoundly altered the consumer lending landscape. According to the financial advisory firm Deloitte, one change that may be underappreciated is the rapid emergence of an important customer segment that could have powerful implications for lenders - the first-time defaulter. A survey conducted by the firm found that 11 percent of banking customers have experienced a negative credit event for the first time in their lives within the last two years.

Despite an increase in new and existing home sales, home prices in 2010 slumped to their lowest point in December, according to a recent report by mortgage technology company FNC. The FNC Residential Price Index (RPI) attributes the decline in part to increased sales of foreclosed properties, and higher distressed-property discounts. According to the index, home prices declined for the seventh straight month in December, ending the year with the biggest one-month drop of 2010.

Location, location, location. Elizabeth Warren says ""that's the real estate mantra, and the new consumer bureau is following the professional's lead."" The U.S. Department of the Treasury announced late last week that the future permanent headquarters of the Consumer Financial Protection Bureau (CFPB) will be located at 1700 G Street, NW in Washington, D.C., just across the street from the White House complex.

After paying a $22.5 million fine, and after Bank of America footed the bill for a $45 million settlement on his behalf, former Countrywide CEO Angelo Mozilo has had his name cleared. Criminally, at least. In October Mozilo settled a civil lawsuit with the Securities and Exchange Commission for $67.5 million, while not admitting or denying fault for his actions, which the SEC says helped bring about the financial meltdown. The Justice Department has reportedly closed its investigation of Mozilo that began in 2008, determining that those same actions were not criminal.

CoreLogic's CFO, Anthony ""Buddy"" Piszel, resigned from his post last week after receiving a Wells notice from the Securities and Exchange Commission (SEC), indicating that the agency is considering filing civil charges against Piszel in connection with his role at former employer Freddie Mac. Piszel served as Freddie Mac's CFO from November 2006 to September 2008. The SEC is looking into certain disclosure matters during Piszel's tenure with the GSE.

According to Jones Lang LaSalle Hotels, hotel deal volume in Manhattan will range from $1.9 billion to $2.4 billion in 2011. Manhattan is the most active hotel transaction market in the country, posting the highest growth rates of any major U.S. market in 2010. The report reveals that Manhattan is expected to remain the top U.S. hotel investment market, attracting attention from domestic and off-shore buyers.

Cogent QC Systems released Version 3.0 of its CogentQC.NET platform, which includes ServicingQC.NET for quality control of servicing processes as well as ProductionQC.NET for quality control of loan originations. The new release includes enhanced functionality for audit findings feedback, enterprise level security features, and additional user controls.