Home / Media / DS News Webcast: Monday 2/15/2016
Print This Post Print This Post

DS News Webcast: Monday 2/15/2016

The New York Fed’s Quarterly Report on Household Debt and Credit, released Friday, showed what is, overall, a modest increase in U.S. household indebtedness. Overall debt, counting mortgages, HELOCS, credit cards, student loans, and auto loans, reached 12 point 12 trillion dollars by the end of 2015. Only 5 point 4 percent of that debt was in any stage of delinquency, however. Mortgage and HELOC debts comprised almost 8 point 74 trillion dollars—approximately 72 percent—of the overall debt.

The bank attributed the debt growth partially to flat mortgage balances. According to the report, balances on home equity lines of credit continued a decline that began more than four years ago, and which fell last quarter by 5 billion dollars. New loan originations continued at a tempered pace, and mortgage originations decreased slightly from the third quarter, to 437 billion dollars. Fifty-six percent of all new mortgage balances went to borrowers with credit scores above 760.

Fannie Mae has priced its latest credit risk sharing transaction in the Connecticut Avenue Securities at 945 million dollars, and the transaction is scheduled to settle on February 18, according to an announcement from Fannie Mae. The CAS series was created to reduce taxpayer risk and increase the role of private capital in the mortgage market. Through all of its risk transfer programs, Fannie Mae has transferred a portion of the risk on more than half a trillion dollars in single-family mortgages.

About Author: Brian Honea

Brian Honea's writing and editing career spans nearly two decades across many forms of media. He served as sports editor for two suburban newspaper chains in the DFW area and has freelanced for such publications as the Yahoo! Contributor Network, Dallas Home Improvement magazine, and the Dallas Morning News. He has written four non-fiction sports books, the latest of which, The Life of Coach Chuck Curtis, was published by the TCU Press in December 2014. A lifelong Texan, Brian received his master's degree from Amberton University in Garland.
x

Check Also

hurricane vortex

A Climate-Related Foreclosure Crisis?

The threat of a potential foreclosure crisis looms large over the nation’s mortgage industry. In this video spotlight, experts share their insights on the far-reaching impact of extreme weather conditions and the corrective measures to be taken to mitigate the effects of these cataclysmic events on the housing market.

GET YOUR DAILY DOSE OF DS NEWS

Featuring daily updates on foreclosure, REO, and the secondary market, DS News has the timely and relevant content you need to stay at the top of your game. Get each day’s most important default servicing news and market information delivered directly to your inbox, complimentary, when you subscribe.