What Would Happen if Dodd-Frank Were Repealed?

Newsletter - February 2017 That ringing sound you hear may be the death knell for the Dodd-Frank Wall Street Reform and Consumer Protection Act. Donald Trump entered the White House swinging, handing down executive orders on immigration, energy, health care and trade within his first week. And Vice President Mike…

Read More
Good News – and a Little Bit of Bad News – for the Housing Market in 2017

Newsletter - January 2017 Well, 2016 sure went by fast! And by all accounts, it was a good year for the housing market. What will the new year hold? Let’s look at some of the major predictions: The theme for the 2017 housing market is growth: Depending on whom you…

Read More
Major reforms looming for Dodd-Frank and CFPB

Newsletter - December 2016 The saga continues... As expected, the Consumer Financial Protection Bureau (CFPB) has appealed the October court ruling that the agency’s independent status is unconstitutional. If you're just catching up: The CFPB levied a $109 million fine against mortgage lender PHH in 2015 for allegedly violating the…

Read More
Changes Coming for the CFPB – Maybe

Newsletter - November 2016 The Consumer Financial Protection Bureau was dealt a blow last month when a federal court of appeals declared the agency’s structure unconstitutional. The ruling was a response to a petition from mortgage lender PHH that challenged the agency’s actions against it and requested the CFPB be…

Read More
The American Housing Market: Are We There Yet?

Newsletter - October 2016 In 2016, many are wondering: Are we there yet? Real estate prices in many markets are at or higher than pre-recession levels The number of homes in the foreclosure process is at its lowest since 2007 That’s good news. But… Homeownership (that’s the number of households…

Read More
Independent Foreclosure Review to Dish out Final Disbursements But the recipients might surprise you

Newsletter - September 2016 Many of us who work in the financial services industry have the years of 2007 and 2008 safely tucked away in a locked cabinet in our minds. And there’s a big “DO NOT OPEN” sign hanging on it But, of course, there is a time for…

Read More
The End of the Line for HAMP & HARP

Newsletter - August 2016 What does it mean for the mortgage industry? When 2016 comes to a close, so does the lifespan for some of the federal government’s programs created to address the housing crisis, namely the Home Affordable Modification Program (HAMP) and the Home Affordable Refinance Program (HARP). With…

Read More
The CFPB Has More To Fear Than Donald Trump…

Newsletter - July 2016 Last month we investigated the fate that could await the Consumer Finance Protection Bureau (CFPB) when November rolls around, and we discovered there would be a stark difference between the potential Clinton and Trump Administrations. And while the 2016 Presidential candidates soak up most of the…

Read More
Clinton vs. Trump: Where do they stand on CFPB & Dodd-Frank?

Newsletter - June 2016 A lot is on the line this November. And regardless of what side (if any) you fall on, that sentiment is exceedingly true of the financial services industry, where the candidates have weighed in with greatly diverging opinions and plans for moving forward. Let’s leave the…

Read More
Landmark Court Case on the Horizon: Will CFPB Lose?

Newsletter - May 2016 The Consumer Federal Protection Bureau (CFPB) is locked in a litigation battle with top-5 mortgage servicer PHH, and the decision in the case will be big news when it comes down. Interestingly, after oral arguments were made a few weeks ago, we got some insight into…

Read More
Is the Law on Your Side? An UPDATE!

Newsletter - April 2016 Back in May of last year, we wrote a newsletter that investigated the issue of statues of limitations litigation and the potentially disastrous effects it could have on banks and servicers (and by extension the mortgage industry) should the courts come down on the side of…

Read More
Non-Bank Lenders and the Future of the American Economy

Newsletter - March 2016 Christopher Whalen said recently, in a thought-provoking article on National Mortgage News, two things that really got us thinking. The first is what he spends most of the article discussing: Over the next several years, Kroll Bond Rating Agency expects that the top four commercial banks…

Read More
The Big Short: Did Hollywood’s Blockbuster Get It Right?

Newsletter - February 2016 It’s not every day (or year or decade for that matter) that you get a full-fledged Hollywood blockbuster that focuses on the ins and outs of the financial industry. Yet that’s what we got at the end of 2015 when The Big Short debuted in theaters.…

Read More
Industry Reactions to the FED Raising Rates

Newsletter - January 2016 To say that the Federal Reserve raising the federal funds target rate was expected would be a bit of an understatement. We knew it was coming. It was a matter of when. Nonetheless, now that it has happened, it is an important indicator of how the…

Read More
Are Regulations Choking the Mortgage Industry?

Newsletter - July 2019 Stop me if you’ve heard this one before - A couple purchases their first home. It’s May 2008. Less than a year later… Yeah, it’s the classic “underwater” mortgage story. I don’t have to go into the gritty details, because the story I’m talking about is…

Read More
Are Regulations Choking the Mortgage Industry?

Newsletter - November 2015 I had occasion recently to chat with a local bank Loan Officer about the state of the mortgage industry, and the exchange really got me thinking. I’d like to share with you his perspective on the regulations being handed down from the Consumer Finance Protection Bureau…

Read More
HELOC, Stock & Barrel: The Latest on HELOCs & What It Means

Newsletter - October 2015 We’ve dissected the HELOC market a fair bit in this space, but it’s time to return our focus as a new batch of numbers has recently emerged. In June 2014, we highlighted the two opposing opinions financial experts were touting in regards to coming HELOC resets…

Read More
Do Recent Risky Investments Threaten The Improving Economy?

Newsletter - September 2015 There was recently a very interesting mortgage-bond deal announced by Dallas, Texas-based private equity firm Lone Star. And if you haven’t read Jody Shenn’s illuminating analysis of the deal, allow us to summarize: Lone Star packaged 220 mortgages and created a $72 million bond offering Of…

Read More
Why Knowing Too Much Could Put Your Portfolio at Risk

Newsletter - August 2015 With a host of HELOCs beginning to reset, it’s a volatile time for the mortgage industry. There will be more defaults coming due to reset hikes, but we hear from some experts that they think the number of defaults that come from mortgage companies not communicating…

Read More
Can the Experts’ Info Be Trusted? There’s a scary question…

Newsletter - July 2015 From time to time on this blog we have noted the difference in opinion between industry experts regarding the mortgage industry's latest news. Obviously, no one expects any one expert to have everything right at any given time, so the exercise is useful and prudent. But…

Read More
Should Congress Oversee the CFPB? That Is The Question…

Newsletter - June 2015 In a legislative twist that is of particular interest to all parties impacted by the regulations and reach of the Consumer Financial Protection Bureau (CFPB), Senator David Perdue of Georgia introduced a bill to the US Senate on May 19th that would cause the CFPB to…

Read More
Is the Law Really on Your Side? Maybe Not for Long…

Newsletter - May 2015 As the housing market begins to turn a corner for homebuyers, banks and mortgage servicers are still smack in the middle of dealing with the rash of foreclosures and delinquencies created by the market crash. So while others may be moving on, there remain a number…

Read More
Why “Harmless” HOAs Should Terrify You

Newsletter - April 2015 HOAs can occasionally be a pain in the rear end for those living within the association's jurisdiction. But more often than not they are usually little organizations that help keep property values and the overall livability of a community up. In terms of power, they don't…

Read More
When the Storm Clouds Gather, Get Your Paperwork Ready

Newsletter - March 2015 If you’re out in the park and you see a grayish-looking cloud off in the distance, you take note. When another dark cloud rolls in next to it, you try to remember where you put your umbrella. When a cluster of heavy, stormy clouds hover just…

Read More
2014 Closed with a Rash of Foreclosures: Fluke or Fatal Flaw?

Newsletter - February 2015 The housing market stumbled a bit at the finish line of 2014, according to a recently released RealtyTrac foreclosure report and Black Knight Financial’s November Mortgage Monitor report. According to RealtyTrac, foreclosure starts in December 2014 increased 6% over the previous month and 14% over December…

Read More