- Mortgage News Headlines

    Universal American Whistleblower to Receive $2 Mil
    A whistleblower will receive nearly $2 million for her role in a lawsuit alleging Universal American Mortgage Company LLC approved loans for government insurance that didn't qualify.

    As a mortgagee with direct endorsement authority from the Federal Housing Administration, Miami-based Universal American was empowered to approve FHA loans itself.

    The lender, a subsidiary of home builder Lennar Corp., is required to follow FHA program rules to ensure proper underwriting, certification and quality control to prevent and correct underwriting deficiencies.

    FHA Endorsements Edge Higher, Book of Biz Grows
    Monthly residential government-insured mortgage production was nudged up, though commercial real estate endorsements plunged. The book of business continued to grow.

    At the end of August, the Federal Housing Administration had insurance in force on 8,622,052 residential loans for $1.3376 trillion based on monthly operating data.

    Making up the most-recent total were $1.1924 trillion in single-family loans, $0.1442 trillion in home-equity conversion mortgages, and $0.0010 trillion in Title I loans.

    KeyCorp Mortgage Investments Yet to Pay Off
    Investments in mortgage origination staff and a financial institution with a mortgage business have yet to pay off for the parent of KeyBank.

    In 2016, KeyCorp completed its purchase of First Niagara Financial Group. The purchase gave the Cleveland-based company a strong foothold in the mortgage business.

    Following the acquisition, KeyBank began offering mortgages across its entire footprint, growing the mortgage loan officer staff to nearly 300 in the process.

    Fannie Cuts 2018, 2019 Origination Forecast
    he latest housing forecast from Fannie Mae has this year's mortgage originations coming in $35 billion less than previously expected, while next year's outlook was cut by $61 billion.

    Economists at the secondary mortgage lender expect home lending by all U.S residential originators to amount to $386 billion during the final three months of this year.

    In the first quarter of next year, originations are predicted to sink to $323 billion. But mortgage production is then expected to jump to $444 billion in the second-quarter 2019.

    Mortgage Rate Forecasts Have Little Change Ahead
    Thirty-year mortgage rates moved lower this past week and this past month. Short- and long-term forecasts have little movement ahead for mortgage rates.

    Ellie Mae Inc.'s Origination Insight Report | September 2018 indicated that average 30-year note rates on single-family loans closed last month were 4.91 percent.

    A 1-basis-point decline was recorded versus August. But compared to the same month one year previous, average 30-year rates have soared by 70 BPS.