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Bank Closings Worsen Liquidity Crisis, Remington Capital Reports

The uptick in bank failures is further deteriorating the nation's liquidity crisis, according to Andy Bogdanoff, chairman of Remington Capital, an international commercial real estate investment banking company. This surge in bank closings may ignite more bankruptcies for commercial real estate owners in need of financing, he warns, particularly since some $1.2 trillion in commercial mortgage debt is scheduled to mature over the next few years and most U.S. banks are unable or unwilling to extend new credit.

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Fannie Mae Says Foreclosure Delays Represent a Breach by the Servicer

The nation's largest mortgage company is about to start cracking down on servicers for letting delinquent loans languish too long without action. Fannie Mae has issued a notice alerting servicers that it is monitoring all delinquent loans to ensure foreclosures are handled within an acceptable time frame, and may assess penalties for poor servicer performance. By the tone of Fannie's announcement, the GSE wants these nonperformers off its books as quickly as possible.

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Commercial Mortgage Delinquencies Vary by Investor: MBA

Delinquency rates were mixed in the second quarter for commercial and multifamily mortgage investor groups, according to the Mortgage Bankers Association (MBA). The delinquency rate for loans held in commercial mortgage-backed securities (CMBS) is the highest it's been since MBA began tracking the sector in 1997. Delinquency rates for other groups, on the other hand - such as Fannie Mae and Freddie Mac - remain below levels seen in the early 1990s, some by large margins.

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Securities Unit of Bankrupt Capmark Lands with MountainView

MountainView Capital Holdings recently announced that it has acquired the fixed income broker-dealer arm of the bankrupt commercial real estate lender Capmark Financial Group. Capmark sold off its North American loan origination and servicing businesses to Berkadia Commercial Mortgage at the end of last year, and its real estate equity advisory subsidiary, Capmark Investments, to Trecap Partners in March 2010.

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Collateral Values Backing GSEs’ Loan Purchases in Q2 Rose 3%

Freddie Mac released the results of its second quarter Conventional Mortgage Home Price Index (CMHPI) Monday. The index measures property values based on home loans originated in Q2 and purchased by Freddie and its sibling mortgage financier Fannie Mae. The CMHPI Purchase-Only Series for the United States registered a 3.1 percent increase in the second quarter relative to the first quarter. For the first time since the second quarter of 2009, prices rose in all nine Census divisions.

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Accounting Firm Combination Creates Largest Non-Big 4 in NY Metro

Accounting firms Eisner LLP and Amper, Politziner & Mattia, LLP, recently merged to create EisnerAmper LLC's real estate group, doubling the size of the firm's real estate practice. The New York-based firm is now the largest non-Big 4 firm in the greater New York metropolitan region and the 14th largest in the nation. The company now offers developers, property owners and managers, and others in the industry a broader array of professional services.

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Fannie Mae Places Ban on ‘Appraisal Cutting’

Fannie Mae is implementing a new policy this week regarding home appraisals. Beginning Wednesday, lenders will be prohibited from making changes to appraisers' valuations - a practice that has become more widespread and is commonly referred to as ""appraisal cutting."" Fannie officials say they have identified cases where the lender reduced the opinion of market value in the appraisal report based upon underwriter judgment or automated valuation models, prompting the GSE to place a ban on so-called appraisal cutting.

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GSEs’ Single-Family Delinquency Rates Fall

The percentage of home loans 90 or more days past due held by the nation's two largest mortgage companies has declined yet again. Fannie Mae's single-family serious delinquency rate has fallen to 4.99 percent. It's the fourth straight month that Fannie has reported a decline. Freddie Mac's serious delinquencies dropped to 3.89 percent, the fourth decrease in five months. The reciprocated declines seem a welcome herald, but researchers say they're merely the consequence of an increase in GSE foreclosures.

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Trepp Reports More Maturing CMBS Loans Being Paid Off

Industry experts and regulators have been issuing dire warnings for months that the more than $1 trillion in commercial mortgages coming due over the next couple of years could be a hurdle that the real estate sector - and the entire national economy, for that matter - can't clear. But the research firm Trepp LLC says it's seeing a strong increase in the number of loans within commercial mortgage-backed securities (CMBS) that are being paid off in full at maturity. Fifty percent were paid off in July, the most since December 2008.

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Wells Fargo Ranked as Leading Commercial and Multifamily Servicer

The Mortgage Bankers Association (MBA) has released its mid-year ranking of commercial and multifamily mortgage servicers. Wells Fargo tops the list, with 40,292 loans worth $462.8 billion in its commercial/multifamily servicing portfolio. Also among the top five are PNC's Midland Loan Services, Berkadia, Bank of America Merrill Lynch, and KeyBank Real Estate Capital.

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