Tag Archives: Refinance

On Wednesday, a hearing was held by the Insurance, Housing and Community Opportunity Subcommittee to determine the fate of four federal foreclosure mitigation programs. The Home Affordable Modification Program (HAMP), HUD's Neighborhood Stabilization Program, the Federal Housing Administration (FHA) Refinance Program, and the Emergency Mortgage Relief Fund all have bills in play advocating for their termination. Witness testimony was mixed on whether the programs should continue or come to an end.

Rep. Spencer Bachus, chairman of the House Financial Services Committee, announced this week that he has scheduled a subcommittee hearing and full committee markup of four bills that will terminate what he says are ""failed and ineffective housing foreclosure programs."" On the chopping block are the Home Affordable Modification Program (HAMP), HUD's Neighborhood Stabilization Program, the Federal Housing Administration (FHA) Short Refi Program, and the Emergency Homeowner Relief Fund passed under the Dodd-Frank Act.

Industry analysts have been sounding the alarm for months now about high volumes of commercial mortgages coming due over the next couple of years that borrowers may find difficult to refinance. But small businesses who find themselves in this situation are getting a helping hand from the U.S. Small Business Administration (SBA). The agency is rolling out a program that will allow small businesses to refinance their mortgage debt with a 504 loan.

Fifth Third Mortgage Company, a subsidiary of Fifth Third Bank headquartered in Cincinnati, recently broke $65 billion in terms of its total servicing portfolio for the first time in company history. The company, which services more than 477,000 customers in 12 states, works with customers to refinance homes through the Making Home Affordable program, as well as the Freddie Mac Relief Refinance Mortgage program.

Consumer demand for home mortgages declined last week, according to industry data released Wednesday. It marks the second consecutive week that the number of home loan applications has dropped, as long-term mortgage rates came in above the 5 percent threshold yet again. The Mortgage Bankers Association said its measurement of application volume slipped 9.5 percent for the week ending February 11. The trade group's gauge has hit its lowest point in more than two years.

The number of mortgage applications submitted to lenders increased last week, as new applications for both loan refinancings and home purchases rose. That follows a 13 percent plunge in overall activity the week before. Data released by the Mortgage Bankers Association (MBA) Wednesday shows that the trade group's measurement of total mortgage loan application volume jumped 11.3 percent for the week ending January 28.

The number of California homes going into foreclosure dropped during the fourth quarter of 2010 to its lowest level in more than three years. According to San Diego-based DataQuick, 69,799 Notices of Default (NoDs) were recorded in the state during the three-month period, down 16.2 percent from the prior quarter and down 17.5 percent from a year earlier. California's priciest ZIP codes saw mortgage defaults rise slightly quarter-to-quarter, but defaults still remain much higher in lower-cost areas.

The Mortgage Bankers Association (MBA) released its market outlook to the media on Wednesday. The trade group's economists are expecting mortgage lending to shrink by 36 percent this year. They project originations -- including loans for home purchases and refinancing -- to total $966 billion in 2011, compared to $1.5 trillion in 2010. If MBA's forecast holds true, it will be the mortgage industry's poorest showing since 1997.

After three weeks of solid increases, the industry's volume of new mortgage applications took a sharp dive last week, as refinancing plunged to its slowest pace in a year and home purchases declined to their lowest level in nearly four months. The Mortgage Bankers Association (MBA) said Wednesday that its measurement of total mortgage loan application volume decreased 12.9 percent for the week ending January 21, 2011 when compared to one week earlier.

Fitch Ratings says approximately 2,000 commercial mortgage loans are due to mature over the next 12 months, representing an outstanding balance of $22.5 billion. According to a new report released Friday by the ratings agency, the maturing loans were originated between 1996 and 2007 and are predominantly secured by retail, office, and multifamily properties. Fitch says 30 percent are not expected to pass its refinancing test.