Tag Archives: HUD

Fannie Mae, Freddie Mac, and their regulator anticipate a decision on revamping mortgage servicers' payment structure by mid-summer, according to the Mortgage Bankers Association (MBA). The trade group, however, is urging the GSEs and federal agency to tread carefully and slowly in undertaking such an endeavor. MBA says the options put forth raise more questions than answers, particularly related to the ""default servicing fee.""

The U.S. House of Representatives voted to pull the plug on HUD's Emergency Homeowner Loan Program last month, but that hasn't stopped HUD from moving ahead to put the money into the hands of distressed homeowners. The fund was established to provide zero-interest bridge loans of up to $50,000 for unemployed homeowners to continue making their mortgage payments while they look for a new job. HUD just deployed nearly $200 million of the $1 billion allotted to state agencies.

KDX Ventures, a partnership between DebtX and KEMA Advisors, will sell $142 million in multifamily loans for HUD, the companies announced Wednesday. The portfolio consists of 18 multifamily loans, ranging in size from $1.7 million to $17.4 million. The collateral is located in 10 states, with a concentration in Texas. Most of the loans are non-performing.

Ohioans undergoing foreclosure mediation who can't afford to hire an attorney now have another option. Capital University Law School recently developed a program to connect law students with people going through foreclosure. Upperclass law students volunteer their time for the pro bono program to help homeowners understand the mediation process.

House Republicans may have succeeded in passing legislation to end federal housing programs that are intended to provide assistance to unemployed homeowners and support efforts to clean up vacant foreclosed homes, but their Democratic counterparts aren't going to take it lying down. Rep. Barney Frank, the top-ranking Democrat of the House Financial Services Committee, has introduced legislation that would require the biggest banks and hedge funds to cough up $2.5 billion to keep those very same programs alive.

The U.S. House of Representatives voted Wednesday to pull the plug on HUD's Neighborhood Stabilization Program (NSP) and rescind $1 billion in grant money that has not yet been awarded. The NSP Termination Act (H.R. 861) passed the House with a 242-182 vote. It now moves to the Senate, where it is not expected to be met with such favor. White House officials again indicated that President Obama will veto the bill should it make it that far.

With bank-owned inventories expanding rapidly, even government agencies are looking for new ways to quickly get foreclosed properties back into the hands of responsible homeowners. For the first time in recent years, HUD is planning to sell over 150 foreclosed homes through auction. The auction will take place March 26th at the JW Marriott Desert Ridge in Phoenix, and will be conducted by the real estate auction firm Hudson & Marshall.

The Mortgage Bankers Association (MBA) announced Tuesday that John A. Courson, the organization's president and CEO, will be leaving the association, effective June 1, 2011. Courson will be replaced by David H. Stevens, the current commissioner of the Federal Housing Administration (FHA). Stevens announced last week that he would be resigning from his position at FHA. His departure from the federal agency is set for March 31. According to MBA, he will join the trade group in May.

The U.S. House of Representatives has passed legislation to end the Federal Housing Administration's (FHA) Short Refi Program aimed at helping homeowners who owe more on the mortgage than their home is worth obtain a new FHA-insured loan with a reduced principal. In a 256 to 171 vote Thursday evening, the House approved the FHA Refinance Program Termination Act, the first of four bills targeting federal foreclosure mitigation programs.

The House Financial Services Committee voted Wednesday to send two bills to the full House that would terminate the Home Affordable Modification Program (HAMP) and HUD's Neighborhood Stabilization Program. The committee says the bills would prevent $30 billion in taxpayer funds from being spent on ""ineffective"" programs. Already, the House has cleared the way to begin deliberations this week on the two bills advanced by the committee last Thursday to end FHA's Short Refi Program and the Emergency Mortgage Relief Program.