HousingWire Daily

Published 2020-11-05

Biden, Trump and mortgage rates

7 min

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In today’s Daily Download episode, HousingWire continues its 2020 election coverage by discussing what a Biden or Trump victory could mean for the housing industry.

For some background, here’s a summary of each article:

What a Biden victory would mean for housing?
As results trickle in following a historic 2020 general election, results seem to be leaning towarda Joe Biden victory, but potentially also a Republican-led Senate. What would the impact of a Biden presidency be on housing?

Gridlock in Washington won’t stop Biden’s administration from attempting to push through sweeping changes into housing, where the former vice president has promised to invest $640 billion over the next 10 years so Americans can have “access to housing that is affordable, stable, safe and healthy, accessible, energy efficient and resilient,” according to his campaign website.

He has pledged to introduce a tax credit for first-time homebuyers upwards of $15,000, reintroduce sharper regulatory teeth to agencies such as the Consumer Financial Protection Bureau, alter a spate of restrictive zoning laws to increase development, build millions of units of affordable housing, and cap payments for certain renters. It is also widely believed a Biden administration would keep the GSEs under conservatorship.

What would a Trump win mean for housing?
In the event that Trump wins the presidency, what would that mean for the housing industry for the next four years?

One of the largest impacts will be what happens to the conservatorship status of Fannie Mae and Freddie Mac.When Trump appointed Federal Housing Finance Agency Director Mark Calabria to take the helm of the agency on Dec. 12, 2018, the director was very clear on his goals: remove the GSEs from conservatorship and define the FHFA’s role without them.

For now, the FHFA continues to operate under the assumption that business will continue as normal. Just last week the FHFA released its strategic plan for 2021 to 2024, which continues to prepare Fannie Mae and Freddie Mac to leave conservatorship.

But a Trump presidency is needed in order to ensure the GSE conservatorship really will end.

Following the main story, HousingWire covers Freddie Mac’s Primary Mortgage Market Survey, which shows mortgage rates have fallen to a new all-time low, coming in

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Published 2020-11-04

Former MBA president David Stevens on the 2020 election and housing

21 min

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Today’s Daily Download episode features an in-depth interview with David Stevens, former president and CEO of the Mortgage Bankers Association. In this episode, Stevens discusses the U.S. presidential election that is still underway and delves into what the future of housing officials could look like under a potential new administration. He also discusses his latest blog on the adverse market refinance fee.

For some background on the interview, here’s a brief summary of Stevens’ latest article on the adverse market refinance fee:

Fannie Mae and Freddie Mac released their Q3 earnings last week, reflecting a combined $6.7 billion in net income, up significantly from the previous quarter. This strong performance was not unexpected, but makes the upcoming 50 basis point adverse market refinance fee more puzzling.

In their earnings Q3 2020 10-Q release, Fannie Mae states the following, “We are implementing a new adverse market refinance fee in light of the increased costs and risk we expect to incur due to the COVID-19 pandemic.”

Seriously? Fannie produced $7.2 billion in consolidated net income YTD with an impressive fourth quarter likely yet to come. And while they certainly are key to providing enormous liquidity to the nation’s housing system, the results would never be what they were if it were not for two things.

First, Federal Reserve actions loaded taxpayers with debt that now exceeds total GDP, pushing mortgage rates to historic lows. Second, agency MBS is one of two Triple-A rated instruments in housing on this earth, along with GNMA MBS, and draws investors globally. That rating has nothing to do with the GSEs’ skill sets, it comes from the government guaranty backing these companies.

In other words, for the GSEs, this success was unavoidable. The government’s response to the COVID pandemic drove rates low, spurring consumer demand and the GSEs now benefit by being able to execute through any private capital option because of their exclusivity of the guaranty.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-11-03

Where do Trump and Biden stand on housing policy?

16 min

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In today’s Daily Download episode, the HousingWire Digital Team focuses on the 2020 election and examines President Donald Trump's and Former Vice President Joe Biden’s stance on housing and housing policies.

During the episode, HousingWire explores how the U.S. housing market could potentially look and behave under Trump’s second term, while examining components outlined in Biden’s $640 billion housing plan, something the Trump Administration has still yet to unveil.

While President Trump and his Democratic opponent both agree on wanting to win the 2020 election and become the next U.S. president, it’s their view on housing that differs greatly.

In this episode, the team focuses on some of the most significant policies and announcements during Trump’s presidency, ranging from the Federal Housing Finance Administration, affordable housing and zoning. The team also takes a look into Biden’s plan to implement the Obama-Biden administration's Affirmatively Furthering Fair Housing Rule, Biden’s first-time homebuyer tax credit and the 0.5% adverse-market fee on refinanced mortgages purchased by Fannie Mae and Freddie Mac.

Notably, the U.S. housing industry has experienced unprecedented times this year as the deadly COVID-19 pandemic has contributed to market changes that have impacted most aspects of the home-buying process. When the pandemic was declared in mid-March, housing became a national topic as the unemployment rate spiked, leaving nearly 40 million Americans to potentially face forbearance, evictions and mortgage delinquencies.

Without any signs of slowing down, the virus continues to spread from coast to coast, bringing with it a bevy of concerns. For the housing industry, these range from purchase volume, housing supply, regulation and more. As the virus becomes a permanent fixture in American life, many in the housing industry now wonder how the sector will weather this market uncertainty. For many, the answer will be determined by who wins the U.S. 2020 election.

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Published 2020-11-02

How will the 2020 election impact the housing market?

7 min

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In today’s Daily Download episode HW+ Managing Editor Brena Nath is joined by HousingWire Editor in Chief Sarah Wheeler to discuss the most compelling articles reported from the HousingWire newsroom. In today’s Daily Download episode, Brena and Sarah discuss Dave Stevens' recent in-depth article that covers the adverse market refinance fee.

For more background on what is discussed, here is a preview of today’s interview:

Q: In your opinion, what's one piece of news that you think people need to be paying attention to?

Sarah Wheeler: We just published a piece from Dave Stevens, who is of course the former CEO of the MBA but also the former senior vice president of single family at Freddie Mac, executive vice president at Wells Fargo, and assistant secretary of housing and FHA Commissioner, so a guy who kind of knows what he's talking about. We asked him last week, [to] look at the adverse market fee, given the third quarter earnings of Fannie and Freddie, which came out last week.

We really wanted to get his thoughts because there's been a lot of questions on the adverse market fees on refis. It's 50 basis points for the average homeowner right now in the middle of a pandemic. So we asked him to give us his opinion on whether that's really needed. The GSEs had different reasons for doing that and said it was because of risk. They also said it was because of all the work that they're doing with refis and origination.

Dave Stevens gave an amazing take on that today that I'd not miss out on reading. I think anyone in the industry would be really interested to see what he says, and he really feels like it has absolutely nothing to do with risk. And given their third quarter earnings, it's really a travesty to put that on homeowners right now. It also affects our industry. But really, it's the bottom line for homeowners who are trying to refi to get into a better economic spot.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

Q: It's a big week this week. What can we expect to come out of the newsroom today, tomorrow and the rest of the week?

Sarah Wheeler: We obviously have the election this week, which is the biggest thing. So, we're going to be interviewing different industry experts on the results. Whether it's the mortgage industry or talking to people in the real estate industry, we want to talk about it. Some top housing issues are really hanging in the balance, like Fannie and Freddie exiting conservatorship, what happens to the FHFA director, what happens to the CFPB. Be sure to tune in starting really late Tuesday night and into Wednesday.

We'll definitely be keeping you up to date, especially on the things how the 2020 election impacts housing. While there's tons of election coverage out there, our goal is really to give you the news nowhere else. And if you're in our industry, who else is going to be covering the specifics of how this impacts your business? So that's really our goal.

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Published 2020-10-30

Geoff Zimpfer and Sarah Wheeler on the growing demand in the housing market right now

14 min

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In today’s Daily Download episode, Mortgage Marketing Radio’s Geoff Zimpfer and HousingWire Editor in Chief Sarah Wheeler discuss the rising price of median home prices, which are now up 15% year over year.

For some background on the interview, here’s a brief summary of HousingWire’s latest article on the housing market’s growing demand:

The housing market faced a lot of uncertainty when COVID-19 caused the real estate industry to pause under shut-downs, but low interest rates and the desire for more space have turned this year into a boom time for real estate agents.

“It’s been a circus, really,” said Anthony Lamacchia, Realtor and owner of Lamacchia Realty in the Boston suburbs. “Anything right outside of Boston is going like wildfire, but especially the single-family homes.”

Even though the average home sale price in Massachusetts is the highest it’s been in the last 10 years, Lamacchia said there are bidding wars everywhere and single-family homes are “just flying off the shelves.”

“I’ve never seen bidding wars – I mean, you know, randomly here or there – but I’ve never seen bidding wars with consistency in the fall like I have this fall. It’s crazy,” Lamacchia said. “They’re everywhere.”

HousingWire caught up with real estate agents across the U.S. to ask what their markets look like now compared to the summer and what they think the next few months could hold. Across the different markets, the agents consistently reported bidding wars amid heightened demand for single-family homes, low inventory and an increase of buyers fleeing big cities.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-29

Zillow's Matthew Speakman on 2021's home-building market

12 min

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Today’s Daily Download episode features an interview with Zillow Economist Matthew Speakman. In this episode, Speakman discusses the U.S. Census Bureau’s latest housing starts report, which shows the number of single-family homes built in September reached the highest level since 2007.

For some background on the interview, here’s a summary of HousingWire’s coverage of the report:

Single-family housing starts soared in September, a new report from the U.S. Census Bureau shows, despite an overall rate that was dragged down by a decline in multifamily starts.

Privately-owned housing starts in September rose to an annual rate of 1.415 million, 1.9% above the revised August estimate of 1.388 million and 11.1% above the September 2019 rate of 1.274 million, the Bureau said. Single-family housing starts in September were at an annual rate of 1.108 million, which is 8.5% above the revised August figure of 1.021 million, and a level not seen since 2007, Doug Duncan, chief economist at Fannie Mae, said.

“While starts were up 10.4% from a year prior, the somewhat modest month-over-month change was due to largely offsetting trends in single-family and multifamily starts,” Duncan said. “The former rose 8.5% over the month to 1.1 million annualized units, a level not seen since 2007. In contrast, multifamily starts fell 16.4%, to one of the slowest monthly paces since 2013, not including this past April.”

Today’s Daily Download episode features an interview with Zillow Economist Matthew Speakman. In this episode, Speakman discusses the U.S. Census Bureau’s latest housing starts report, which shows the number of single-family homes built in September reached the highest level since 2007.
For some background on the interview, here’s a summary of HousingWire’s coverage of the report: Single-family housing starts soared in September, a new report from the U.S. Census Bureau shows, despite an overall rate that was dragged down by a decline in multifamily starts.

Privately-owned housing starts in September rose to an annual rate of 1.415 million, 1.9% above the revised August estimate of 1.388 million and 11.1% above the September 2019 rate of 1.274 million, the Bureau said. Single-family housing starts in September were at an annual rate of 1.108 million, which is 8.5% above the revised August figure of 1.021 million, and a level not seen since 2007, Doug Duncan, chief economist at Fannie Mae, said.

“While starts were up 10.4% from a year prior, the somewhat modest month-over-month change was due to largely offsetting trends in single-family and multifamily starts,” Duncan said. “The former rose 8.5% over the month to 1.1 million annualized units, a level not seen since 2007. In contrast, multifamily starts fell 16.4%, to one of the slowest monthly paces since 2013, not including this past April.”
The Daily Download examines the most compelling mortgage, real estate, and fintech articles reported from the HousingWire newsroom. Each afternoon, the HW team provides our listeners with a deeper look into the stories that are helping Move Markets Forward. Hosted and produced by Alcynna Lloyd and Victoria Wickham.
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Published 2020-10-28

Finance of America CEO on why mortgage companies are diving into the IPO space

7 min

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Today’s Daily Download episode features an interview with Patti Cook, Finance of America CEO. In this episode, Cook discusses how the mortgage company has fared during the novel COVID-19 pandemic and delves into the lender and servicer’s recent announcement that it's set to go public in the first half of 2021.

For some background on the interview, here’s a brief summary of the latest article discussing Finance of America joining the IPO craze:

End-to-end lending and services platform Finance of America Capital is the latest mortgage company to get in on the mushrooming IPO craze.

The lender and servicer, owned by the Blackstone Group’s Tactical Opportunities business, is slated to go public in the first half of 2021 through a special purpose acquisition company at a $1.9 billion valuation.

After it merges with Replay Acquisition Company, Finance of America will receive a $250 million investment from institutional investors, according to the Wall Street Journal, which first reported the merger. Blackstone will own 70% of the company, which is expected to go public in the first half of 2021.

Finance of America says its collection of companies has originated over $65 billion in loans since 2017. Its products include traditional mortgages, commercial real estate loans, reverse mortgages, fixed-income investing and title services. Blackstone has expanded its Finance of America corporation through a number of acquisitions in recent years, including pickups of Gateway Funding, Pinnacle Capital Mortgage and Skyline Home Loans.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles covered in this episode:

Blackstone-owned lender and servicer Finance of America to go public

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Published 2020-10-27

Following CFPB redlining lawsuit, Townstone Financial files motion to dismiss

7 min

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In today’s Daily Download episode, HousingWire discusses a motion filed by Townstone Financial to dismiss a lawsuit the Consumer Financial Protection Bureau filed against the company in July.

For some background on the story, here’s a summary of the article:

On Monday, Townstone Financial Inc., a Chicago-based nonbank retail mortgage lender, filed a motion to dismiss a lawsuit the Consumer Financial Protection Bureau filed against the company in July.

The July 15 complaint alleged that Townstone violated the Equal Credit Opportunity Act (ECOA) and Regulation B by engaging in discriminatory mortgage-lending practices and that those violations also constituted violations of the Consumer Financial Protection Act.

Townstone moved to dismiss the lawsuit based on expressive action that the CFPB attempted to expand the reach of the ECOA to “prospective applicants,” which the company said is not regulated under ECOA.

The CFPB’s suit alleges that, from 2014 through 2017, Townstone engaged in practices that illegally discouraged prospective African-American applicants from applying to Townstone for mortgage loans as well as practices that discouraged prospective applicants living in African-American neighborhoods in the Chicago MSA from applying to Townstone for mortgage loans.

Following the main story, HousingWire also covers a report from the Mortgage Bankers Association that indicates the U.S. forbearance rate fell slightly to 5.9% last week and an announcement from First American that it has agreed to acquire sub-servicer ServiceMac.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-26

Guild Mortgage to pay $25M in federal lawsuit settlement

6 min

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In today’s Daily Download episode, HousingWire covers an announcement that Guild Mortgage has agreed to pay $25 million dollars to settle a federal lawsuit.

For some background on the story, here’s a summary of the article:

Just before its stock debuted at a disappointing $15 a share, Guild Mortgage settled a federal lawsuit that claimed the lender knowingly breached legal requirements when it originated and underwrote FHA loans.

Guild agreed to settle the federal lawsuit, brought by the Department of Justice, for just under $25 million, the government said Thursday.
It did not admit to any wrongdoing.The lawsuit, brought initially in 2016, alleged that Guild knowingly originated and underwrote mortgages that didn’t meet the program requirements of the FHA. Those loans, originated between 2007 and 2011, defaulted and led to claims to the FHA for mortgage insurance. Guild failed “to comply with material program rules that require lenders to maintain quality control programs to prevent and correct underwriting deficiencies, and failed to self-report materially deficient loans that it identified,” the government said.

“As this settlement demonstrates, we are committed to holding mortgage lenders accountable when they choose to abuse the integrity of vital government programs that are designed to assist homeownership,” U.S. Attorney Robert Brewer for the Southern District of California said in a statement. “We also commend the whistleblower for coming forward, exposing these wrongs, and working with the government investigative team.”

Following the main story, HousingWire covers the Federal Housing Administration’s new Automated Underwriting System and a report from Redfin that suggests the luxury housing market has inspired a frenzy in vacation boom towns

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

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Published 2020-10-23

A closer look into Opendoor with Thomvest Ventures' Nima Wedlake

18 min

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Today’s Daily Download features a Housing News Podcast crossover episode that includes an interview with Thomvest Ventures’ Nima Wedlake. During the interview, Wedlake discusses his recent blog that examines Opendoor’s business practices, its current progress, and its future prospects.

For some background on the interview here’s a brief summary of HousingWire’s article on the OpenDoor S-4 filling:

Opendoor has officially filed its announcement to go public after announcing its merger with Social Capital Hedosophia Holdings Corp. II in September. But the filing also revealed that Opendoor is under investigation by the Federal Trade Commission over its advertising practices.

According to the filing, Opendoor in 2019 received a civil investigative demand.

“In August 2019, the FTC sent a civil investigative demand (CID) to Opendoor seeking documents and information relating primarily to statements in the company’s advertising and website comparing Opendoor’s offers to purchase homes to selling in a traditional manner using an agent and statements pertaining to Opendoor’s offers reflecting or being based on market prices,” the filing said.

Inman first reported on the investigation, which was disclosed in the company’s S-4 statement. As of Oct. 1, the investigation is ongoing, the filing says.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-22

A look into new forbearance policy changes

8 min

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In today’s Daily Download episode, HousingWire discusses major forbearance policy changes from the Federal Housing Finance Agency and Federal Housing Administration.

For some background on the story, here’s a summary of the article:

Major forbearance policy changes have been set into motion.

The Department of Housing and Urban Development announced on Tuesday an extension allowing single-family homeowners with Federal Housing Administration-insured mortgages to request an initial forbearance through Dec 31, 2020.

Homeowners with FHA-insured mortgages that needed assistance due to financial hardship from the pandemic initially had through Oct. 30 to request forbearance. However, a news release from HUD said that the effects of COVID-19, coupled with its impact on borrowers across the country, led them to extend the period.

The FHA requires mortgage servicers to provide up to six months of COVID-19 forbearance when a homeowner requests this assistance, and up to an additional six months of forbearance for homeowners who request an extension of the initial forbearance. In effect, this means some borrowers may not exit this forbearance until the end of 2021.

Following the main story, HousingWire covers a report from the Mortgage Bankers Association that claims mortgage applications fell six basis points this week, as well as the announcement of AmeriHome becoming the latest company to join the mortgage industry’s IPO boom.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles covered in this episode:

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Published 2020-10-21

This is what Logan Mohtashami thinks will move mortgage rates in 2021

14 min

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Today’s Daily Download episode features an interview with HousingWire Lead Analyst Logan Mohtashami. In this episode, Mohtashami discusses his recent article, which explains what factors are likely to drive mortgage rates in 2021.

Mohtashami’s article is part of our HW+ premium membership community. When you go to sign up, use the code “hwpluspodcast100” to get $100 off your annual membership.

For some background on the story, here’s a snippet of the article:

I’ve seen a number of articles lately predicting that mortgage rates will rise in 2021, a couple even from other HousingWire contributors. The rationale for these predictions have been erudite, multifactorial and complex. I am, on the other hand, a simple man. Most days I don’t even wear shoes. When I think about the direction of mortgage rates there is only one factor I consider – and that is economic growth.

Over the years I have professed that the rate of economic growth pretty much explains the whole lasagna so that should be the entire focus. When the economy gets better, bond yields rise and mortgage rates follow. When the economy slows, bond yields drop and mortgage rates follow. I expect mortgage rates in 2021 to stick to the same pattern.

The trick is to find a respectable range within each economic cycle. I started to incorporate bond yield forecasts for my yearly prediction articles and every year since 2015 I had said the same range. The 10-year yield would range between 1.60%-3%. In 2020, that range broke but continued a long-term downtrend in yields which started in 1981.

Before the 10-year yield broke below 1% this year, I wrote this year that if the U.S. went into a recession the 10-year would trade between -0.21% – 0.62%. On the morning of March 9, the 10-year traded at 0.34%. Since that low point, the 10-year yield has been above 0.62% for most of the time during the COVID recession. This has been a consistent strong indicator for me, that, despite all the drama in various sectors, the bond market expected the economy to improve.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-20

LoanDepot’s Dan Hanson on the past, present and what’s to come for the mortgage industry

13 min

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Today’s Daily Download episode features an interview with Dan Hanson, the executive director of distributive retail at loanDepot. In this episode, Hanson discusses his history as a longtime leader in the mortgage industry.

During the interview, Hanson explains how his interests in lending pivoted his career towards the industry, where he has spent numerous decades across several different mortgage cycles.

“As you look back over the different decades, there always seems to be a couple of pivotal events that happen decade by decade that change the complexion of the mortgage space,” Hanson said.

According to him, the COVID-19 pandemic is one of those events as he claims the housing market’s success in 2021 will depend on many variables that have been impacted by the virus’ spread, including housing inventory and interest rates.

“I think we're in for a change in the pattern in which people choose where to live, and how they manage their real estate investment, which is their home in most cases,” Hanson said. “I think rates will stay low, so we'll have a positive environment there and I think equity and property will remain high, because inventories are low.”

Hanson wraps the interview by discussing the IPO transformation currently happening in the mortgage space, even touching on loanDepot’s plans to go public at some point in 2020.

Though it’s still nebulous when the company will officially move forward on their poised plans to take the company public, Hanson says its chairman Anthony [Hsieh] is talking about it and weighing options.

“I think every company has different reasons for it, and I think when things are good, and it looks like there's going to be a positive low-interest rate environment for a period of time, I think people perceive that as a positive valuation for their company,” Hanson said. “And if it's an opportunity to go public, they're taking advantage of it.”

The Daily Download examines the most compelling articles reported by the HousingWire newsroom team. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-19

Guild Mortgage joins this year's IPO trend

7 min

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In today’s Daily Download episode, HousingWire covers Guild Mortgage’s announcement that the company will be going public.

For some background on the story, here’s a summary of the article:

Add lender-servicer Guild Mortgage to the ranks of the nonbank mortgage lenders going public. According to an amended S-1 submitted to the Securities and Exchanges Commission on Thursday, Guild, through parent firm Guild Holdings, is expected to price its initial public offering between $17 and $19 per share as early as next week.

The retail and correspondent lender plans to issue 8.5 million Class A shares (plus an option for the underwriters, Wells Fargo, BofA Securities, and JPMorgan Chase, to purchase 1.275 million additional shares).

At the $18 midpoint, Guild Holdings would raise about $153 million. Because of the strength of Class B shares, owner McCarthy Partners Management will control 95% of voting rights despite owning just 21% of common stock. San Diego-headquartered Guild, led by Mary Ann McGarry, has made six acquisitions since 2007, which has helped increase its production dramatically.

Between December 2007 and the year that ended June 30, origination volume grew annually from $1.4 billion to $27.8 billion, and servicing grew from $2.5 billion to $52.8 billion as of June 30, the lender said in its prospectus.

Following the main story, HousingWire also covers a report from Redfin that claims homes in high-risk wildfire areas are more affordable than homes in low-risk areas and a new partnership between the Fair Housing Alliance and the LGBTQ+ Real Estate Alliance.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

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Published 2020-10-16

Geoff Zimpfer and Sarah Wheeler on the IPO craze and the nation's forbearance rate

22 min

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In today’s Daily Download episode, Mortgage Marketing Radio’s Geoff Zimpfer and HousingWire Editor in Chief Sarah Wheeler discuss the growing number of mortgage companies entering the public arena and the nation’s latest forbearance numbers.

For some background on the interview, here’s a brief summary of HousingWire’s latest article on Blackstone-owned lender and servicer Finance of America becoming the latest company to to join the IPO craze:

End-to-end lending and services platform Finance of America Capital is the latest mortgage company to get in on the mushrooming IPO craze.

The lender and servicer, owned by the Blackstone Group’s Tactical Opportunities business, is slated to go public in the first half of 2021 through a special purpose acquisition company at a $1.9 billion valuation.

After it merges with Replay Acquisition Company, Finance of America will receive a $250 million investment from institutional investors, according to the Wall Street Journal, which first reported the merger. Blackstone will own 70% of the company, which is expected to go public in the first half of 2021.Finance of America says its collection of companies has originated over $65 billion in loans since 2017.

Its products include traditional mortgages, commercial real estate loans, reverse mortgages, fixed-income investing and title services. Blackstone has expanded its Finance of America corporation through a number of acquisitions in recent years, including pickups of Gateway Funding, Pinnacle Capital Mortgage and Skyline Home Loans.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles covered in this episode:

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Published 2020-10-15

United Wholesale Mortgage reports record loan volume in Q3

8 min

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In today’s Daily Download episode, HousingWire covers a report from United Wholesale Mortgage that shows record loan volume for the third quarter of 2020.

For some background on the story, here’s a summary of the article:

Just one quarter away from its expected public debut, United Wholesale Mortgage reported record loan volume in the third quarter.

The Detroit-based company, the largest wholesale lender in the U.S., originated $54.2 billion in closed loans during the third quarter, an 81% increase from the $29.9 billion it originated in Q3 2019 (loan volume was up 31.8% from Q2 2020). To date, UWM has closed nearly $128 billion in production this year, eclipsing the $108 billion it originated throughout all of 2019, the firm said."

This is our best quarter in the company’s 34 years, showing that borrowers are recognizing that independent mortgage brokers offer better rates, greater speed and deeper experience,” UWM CEO Mat Ishbia said in a statement.

According to company statements, net income totaled $1.45 billion in the third quarter, up from $198 million during the same period in 2019. The gain-on-sale margin also inched up to a record 3.18%; a year ago it was 1.29%.

Following the main story, HousingWire discusses the average U.S. mortgage rate for a 30-year fixed loan falling to 2.81% this week and a report from Redfin that indicates luxury home sales rose 41.5% in the third quarter, the largest increase since 2013.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles covered in this episode:

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Published 2020-10-14

This is how Wells Fargo and Bank of America fared in Q3

7 min

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In today’s Daily Download episode, HousingWire covers how Wells Fargo and Bank of America performed in the third quarter of 2020.

For some background on the story, here’s a summary of the article:

Though its earnings were disappointing overall, residential lending at Wells Fargo rebounded in the third quarter, both in terms of income and origination volume.

The bank originated $62 billion in home loans during the third quarter, up 5% from $59 billion in the prior quarter. In the third quarter of 2019, Wells Fargo originated $58 billion in mortgages.

In all, Wells Fargo collected $1.6 billion in income from its residential lending operation, up from $317 million in the prior quarter. Even net servicing income checked in at $341 million, up from a loss of $689 million in Q2.

Its rival Bank of America posted a $2.1 billion profit in the third quarter in its consumer banking division, up massively from the paltry $71 million profit in the second quarter, mortgage origination volume was down dramatically.

Mortgage originations from the bank totaled $13.4 billion in the third quarter, a drop from $23.1 billion in the second quarter and far below the roughly $20 billion benchmark hit in the fourth quarter of 2019.

Following the main story, HousingWire covers JP Morgan Chase as the company recently revealed its mortgage business is getting back to normal following disruptions caused by COVID-19 and the Mortgage Bankers Association’s weekly mortgage applications survey which shows a slight drop in applications despite declines in rates.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

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Published 2020-10-13

Housing experts weigh in on what the mortgage industry will look like in 2021

8 min

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In today’s Daily Download episode, HousingWire discusses what several industry veterans believe the mortgage industry will look like in 2021.

For some background on the story, here’s a summary of the article:

As the election creeps ever closer, there are plenty of forecasts about how it could impact housing. HousingWire has reported on both the fate of the GSEs and the nation’s economic outlook as a red vs blue battle stirs in Washington. But what about the regulatory bodies that will decide the priorities for enforcement over the next four years?

At the HousingWire Annual panel, industry veterans Ed DeMarco, president of the Housing Policy Council, Kris Kully, partner at Mayer Brown, and Richard Andreano, Jr., partner at Ballard Spahr, discussed the future of regulation and enforcement as the industry gears up to run headlong into 2021. Julian Hebron, founder of The Basis Point, moderated the panel.

The most notable topic of discussion was the Consumer Financial Protection Bureau’s recent rescinding of a 2015 compliance bulletin related to marketing services agreements (MSAs), which the bureau said “does not provide the regulatory clarity needed on how to comply with RESPA and Regulation X.” Alongside the rescinding, the CFPB released an FAQ for guidance on the Real Estate Settlement Procedure Act (RESPA), which many companies have been accused of violating over the years – though several of those cases were thrown out.

Following the main story, HousingWire an announcement that lender and servicer Finance of America Capital is slated to go public in the first half of 2021 and discusses Offerpad’s partnership with Aires to streamline the relocation process.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-12

Fannie Mae's Doug Duncan on what's to come in 2021

7 min

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In today’s Daily Download episode, HousingWire covers Fannie Mae’s Doug Duncan’s economic predictions for 2021.

For some background on the story, here’s a summary of the article:

Doug Duncan doesn’t claim to be an oracle, but the Fannie Mae Senior Vice President and Chief Economist on Thursday offered some forecasts for 2021, even amid a pandemic that has thrown markets into disarray.

The country is mired in a recession, and while the CARES Act provided a short-term jolt to the economy, much remains uncertain about COVID-19 and its ultimate impact on the U.S. economy and the housing market, he said.

“At the end of 2019, we were at 3.5% unemployment,” Duncan told attendees at HousingWire Annual on Thursday. “We think at the end of 2021, it will be roughly double that, around 6%.”

There are promising signs of a partial recovery, according to Duncan. During the second quarter of 2020, approximately $1.7 trillion in national income was lost. By the time the full data is made available for the third quarter, Duncan estimates that about $1.2 trillion will have been recaptured.

Following the main story, HousingWire covers a new scoring model from FormFree that aims to pave the way to more finical inclusion and a report from Redfin that indicates home prices rose by record numbers on the week ending on Oct. 4.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

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Published 2020-10-09

Logan Mohtashami on the chaos theory applied to housing in 2020

31 min

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Today’s Daily Download episode features an exclusive interview with HousingWire founder and CEO Clayton Collins and Lead Analyst Logan Mohtashami. In the interview, which was conducted at HousingWire’s Annual Conference, Mohtashami delves into the chaos theory applied to housing in 2020.

For some background on the interview, here’s a summary of Mohtashami’s recent article:

Today, purchase application data confirmed what I needed to see to justify that we should get a positive total existing-home sales year in 2020. Yes, as crazy as it sounds, we can do this for the existing home sales market in 2020.

I wanted to see at least 20 straight weeks of double-digit year-over-year growth on average to make up for the nine negative weeks we saw due to COVID-19. Those nine negative weeks came at a crucial time for the MBA purchase application data as it was right in the data line’s heat months. So, we had a lot of work to do to get back to the point where we can go positive, but it happened.

The MBA report shows the year-over-year growth for the last eight weeks has been +21%, +22%,+25%,+6%, +40%,+28% +33% and +27%. As you can see in the chart, these last eight weeks have created enough demand to move the total volumes higher than we would see during the heat months, which is during the second week of January to the first week of May. Since this data looks out 30-90 days, it’s enough demand to help the existing home sales market, which is still a negative year to date, to be positive for the year. The only thing that can stop this is some non-economic events at this stage since we are in October.

In the interview, the pair also discuss how the housing market has rebounded during the COVID-19 pandemic. As well as the nation’s lack of housing inventory, a concept Mohtashami has been vocally against.

“If there was this record-breaking demand and no homes to buy, real home prices on a year-over-year basis would be skyrocketing,” Mohtashami said. “There is homes to buy when people are ready to buy.”

The Daily Download examines the most compelling articles reported from the HousingWire newsroom every day. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. This podcast is hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-08

Opendoor public filing shows company under FTC investigation

7 min

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In today’s Daily Download episode, HousingWire covers a report that claims not only has Opendoor officially filed to go public, but the company is also under investigation by the Federal Trade Commission over its advertising practices.

For some background on the story, here’s a summary of the article:

Opendoor has officially filed its announcement to go public after announcing its merger with Social Capital Hedosophia Holdings Corp. II in September. But the filing also revealed that Opendoor is under investigation by the Federal Trade Commission over its advertising practices.

According to the filing, Opendoor in 2019 received a civil investigative demand.

“In August 2019, the FTC sent a civil investigative demand (CID) to Opendoor seeking documents and information relating primarily to statements in the company’s advertising and website comparing Opendoor’s offers to purchase homes to selling in a traditional manner using an agent and statements pertaining to Opendoor’s offers reflecting or being based on market prices,” the filing said.

Inman first reported on the investigation, which was disclosed in the company’s S-4 statement. As of Oct. 1, the investigation is ongoing, the filing says.

Following the main story, HousingWire covers a report from the Mortgage Bankers Association that shows mortgage applications almost completely rebounded last week by climbing 4.6%, and a breakdown of what former Vice President Joe Biden’s first-time homebuyer tax credit looks like in the era of COVID-19.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom every day. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. This podcast is hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-07

Rock Ventures’ Trina Scott talks corporate diversity and HousingWire Annual

12 min

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In today’s Daily Download episode, Trina Scott, the chief diversity officer at Rock Ventures and 2020 HousingWire Woman of Influence, joins HousingWire to discuss what she’ll be speaking on during her panel at HousingWire Annual on Oct. 8.

For some background on the interview, here’s a brief snippet of what Scott will discuss on her panel entitled: Business Strategy During Social Upheaval:

HW: What’s one piece of advice you would give to mortgage executives about starting the conversation on how to create a business strategy during social upheaval?

Trina Scott: It starts with the culture of your organization. We’re very proud of our culture, which is built off of our philosophies called “ISMs.” We are also very conscious that, even though we have a rich culture, we need to be able to make sure that our culture has continued to evolve and that we’re continuing to challenge the status quo of where we are as an organization. I’d say the first place to start is to ask: who are you as an organization? Do you know that? If you don’t, you need to establish that.

The second thing is to understand the business imperative around diversity, equity, belonging and inclusion. If it’s looked at as a programmatic, separate thing you will never incorporate it to systemic overall changes that need to be made to processes that exist. It’s important to understand the “why” behind this effort, not just for this moment but where it’s really driving the bottom-line impact.

I challenge all of us to think about who we are as an organization, establish who we are and use that as our bedrock. Most importantly, understanding our opportunity to be able to influence the outcome by incorporating equity, inclusion, belonging and diversity in every decision we make and, therefore, those two things build on a solid foundation of creating a program that’s sustainable.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles covered in this episode:

· Rock Venture’s Trina Scott on adjusting business strategy during social upheaval

· The Great Acceleration- HousingWire Annual 2020

· Business Strategy During Social Upheaval

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Published 2020-10-06

What’s happening with mortgage IPOs? James Kleimann explains

11 min

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Today’s Daily Download episode features an interview with HousingWire Mortgage Editor James Kleimann. In this episode, Kleimann discusses the recent uptick of mortgage companies like Rocket Companies and United Wholesale Mortgage entering the public arena and filing for IPO.

Kleimann also delves into the significance of special purpose acquisition companies and discusses the role they play in public debuts.

For some background on the interview, here’s a brief summary of Kleimann’s recent article on the latest mortgage lender to file for a public offering.

AmeriHome on Thursday became the latest mortgage lender to file for a public offering, the latest to do so amid a coronavirus pandemic that has helped spur record origination volume this year.

The lender told the SEC in a filing that it plans to raise at least $100 million as a placeholder for an upcoming public offering, though it did not disclose the ultimate size of the offering. Renaissance Capital speculated that it could ultimately raise up to $300 million in an IPO.

Like other mortgage firms, California-based AmeriHome has captured a glut of business over the last year due to low interest rates and paltry inventory. Year-to-date, AmeriHome has booked $642 million in revenue for the 12 months that ended June 30, according to the S-1 filing.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

Here are the latest IPO articles from HousingWire that are covered in this episode:

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Published 2020-10-05

Caliber Home Loans on track for public debut

8 min

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In today’s Daily Download episode, HousingWire covers a report that claims Texas-based mortgage lender Caliber Home Loans will potentially go public this year at a valuation over $2B.

For some background on the story, here’s a summary of the article:

Texas-based mortgage lender Caliber Home Loans is the latest mortgage firm to ride the IPO wave, filing paperwork to potentially go public this year at a valuation north of $2 billion, according to a new report.

The company, owned by private equity firm Lone Star Funds, filed confidential IPO paperwork with the Securities and Exchange Commission and could make its public debut as soon as next week, the Wall Street Journal reported Thursday.

Caliber, headed by CEO Sanjiv Das, has retail, wholesale and correspondent lending channels, and has developed a large book of business in the purchase space. It originated about $36 billion in mortgages during the first half of the year, according to Inside Mortgage Finance.

Though it sells many of its loans – $22 billion in MSRs year-to-date – Caliber is also one of the largest servicers in the country, according to data and analytics firm Recursion. As of Sept. 1, Caliber was the nation’s 13th-largest agency mortgage servicer, with about 2% market share, for a total of $136 billion. That placed Caliber just behind United Wholesale Mortgage.

Following the main story, HousingWire covers a report that shows the number of mortgages in active forbearance rose by 21,000 after six weeks of steady declines, as well as a report from the Labor Department that indicates the U.S. unemployment rate in September hit a six-month low of 7.9%.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom every day. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. This podcast is hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-02

Guaranteed Rate’s LO Shant Banosian’s billion-dollar year

17 min

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In today’s Daily Download episode, Shant Banosian, the nation’s No. 1 loan originator joins the Housing News Podcast to discuss how he became Guaranteed Rate’s first billion-dollar originator, the future of the U.S mortgage market and how he’s generated more than $4 billion in loans over the course of his decade-long career.

For some background on the interview, here’s a brief summary HousingWire’s latest article on Banosian’s achievement:

Over the last five years, Shant has been Guaranteed Rate’s No. 1 loan officer nationwide, as well as the top producer in Massachusetts since 2013.

Banosian told HousingWire that the key to his success is his team, and focusing on what consumers need and want.

“It’s one of those cliches: you don’t want to just work in the business, you need to work on the business,” Banosian said. “We’re constantly working on our business and taking feedback from our clients trying to understand what it is that our clients and our partners want, how to constantly be forward-thinking in terms of staying ahead of the competition and figuring out ways to be more efficient.”

Not only are Banosian and his team having a record-setting year, so is Guaranteed Rate, as it funded double the total loan volume compared to the same time last year. Just in August, the company locked down $12 billion in loan volume, breaking its record for one month.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-10-01

Despite pandemic woes Latino homeowners are now the most determined homebuyers, survey shows

8 min

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In today’s Daily Download episode, HousingWire covers a survey from the National Association of Hispanic Real Estate Professionals that found despite high unemployment, high COVID-19 infection rates and greater loss or reduction of income, 40% of Latinos still plan to become homeowners.

For some background on the story, here’s a summary of the article:

The American dream of owning a home remains resilient in Latino communities despite high unemployment, high COVID-19 infection rates, and greater loss or reduction of income compared to non-Hispanic Whites, according to a new survey.

The August survey from the National Association of Hispanic Real Estate Professionals found that 40% of Latinos who do not currently own a home have plans to buy within the next five years, the highest among any demographic.

According to the survey, Latino households were twice as likely (18%) as non-Hispanic White households (9%) to report having had at least one household member laid off due to the pandemic. That number reached its peak in April when Latino unemployment sat at 18.9% – the highest recorded since the great depression, according to the Bureau of Labor Statistics.

Undeterred by the economic uncertainty, 47% of Latino renters who were able to continue saving during the pandemic reported the possibility of home ownership as their main motivation, higher than any other demographic of renters. The survey also noted evidence that predominantly Hispanic neighborhoods, or neighborhoods with a Hispanic population of 50% or more, saw more than double the amount of first-time home buyer activity than that of the rest of the country between the second quarter of 2019 and the second quarter of 2020.

Following the main story, HousingWire discusses why Altisource Portfolio Solutions has expanded its Texas operations center and an announcement from United Wholesale Mortgage that it will offer a 50 bps discount on all VA interest rate reduction refinance loans through Veterans Day.

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Published 2020-09-30

Will Fannie and Freddie be re-privatized after the November election?

8 min

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In today’s Daily Download episode, HousingWire covers Treasury Secretary Steven Mnuchin’s oversight panel endorses Federal Housing Finance Agency Director Mark Calabria’s plan to re-privatize Fannie Mae and Freddie Mac.

For some background on the story, here’s a summary of the article:

A year ago, Treasury Secretary Steven Mnuchin and Federal Housing Finance Agency Director Mark Calabria released the Trump administration’s so-called blueprint to re-privatize mortgage giants Fannie Mae and Freddie Mac with the biggest stock offering in history.

Calabria has stuck to the plan, even as a deadly pandemic swept across the nation, killing more than 200,000 Americans and sparking a recession that forced millions of borrowers to seek forbearance plans because they couldn’t pay their bills. Last month, the FHFA endorsed an adverse-market fee that will aid in the “recap and release” of the government-sponsored enterprises at a cost of about $1,400 per refinanced loan, with the fee paid by borrowers.

All of this was done without input from Congress, which chartered both companies decades ago in a bid to expand homeownership and has oversight of their activities.

On Friday, the Financial Stability Oversight Council, which is chaired by Mnuchin, voted unanimously to endorse Calabria’s plan to recapitalize and release the GSEs by executive action – with the caveat that even more capital may be required than the FHFA has called for – and after the vote Calabria made a statement commending FSOC members for their endorsement.

Following the main story, HousingWire covers a report from the Mortgage Bankers Association that shows mortgage applications fell 4.8% last week, and discusses the finalization of two appraisal and capital liquidity rules initiated by the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-29

MBA’s Mike Fratantoni on how 2020 became the year of the refi

9 min

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Today’s Daily Download episode features an interview with Mike Fratantoni, Mortgage Bankers Association's Chief Economist and Senior Vice President of Research and Industry Technology. In this episode, Fratantoni discusses his recent HousingWire article and expands upon why mortgage origination volume is on track to be the highest in more than 15 years, as well as the MBA’s forecast on what’s ahead in the refinance and purchase market for 2021.

For some background on the interview, here’s a summary of the article:

The housing and mortgage markets have been the rare bright spots in an otherwise fragile economy brought forth by the ongoing COVID-19 pandemic. Mortgage origination volume this year is on track to be the highest in more than 15 years, led by a strong wave of refinances.

Just how busy have lenders been? 2003 was the last time refinance activity was as high as the $1.75 trillion MBA is forecasting for 2020.

Mortgage rates have reached record lows, driven by the unprecedented economic weakness, as well as the Federal Reserve’s substantial efforts to keep the economy afloat by cutting short-term rates to zero and purchasing more than $1 trillion dollars of mortgage-backed securities. Homeowners are benefitting from lower monthly payments, while lenders are struggling to manage high volumes – all during a time when their employees continue to work remotely, and many temporary origination flexibilities remain in place.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles covered in this episode:

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Published 2020-09-28

Home Point Financial launches new fund for minority and female-owned brokerages

7 min

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In today’s Daily Download episode, HousingWire covers an announcement that Home Point Financial has launched a new community foundation with a $1 million grant.

For some background on the story, here’s a summary of the article:

Home Point Financial announced on Friday the launch of its charitable community foundation with an initial pledge of $1 million dedicated to funding 50 new minority and female-owned brokerages.

In the midst of the Association of Independent Mortgage Experts National Fuse Conference, Home Point announced the initial $1 million in grant money will be distributed in coordination with AIME’s latest diversity initiative, the Spark program.According to Home Point, the foundation’s goal is to empower individuals to achieve their dreams through “investment, education and support.”

“One of the core beliefs of Home Point Financial is giving back,” said Lisa Patterson, Home Point chief origination officer. “But as a business we’re committed to the independent mortgage broker. So, we wanted to take that a step further and create additional opportunities for those individuals who have aspirations of opening their own mortgage broker company, specifically in underrepresented groups.”

In total, the Home Point foundation will allocate grants to 25 minority and 25 female-owned mortgage brokerages. Awards include one $50,000 grant, four $25,000 grants and 20 $17,500 grants per group.

Following the main story, HousingWire covers a newly launched referral network from OJO Labs, the OJO Select Network, which is an agent referral program that matches top performing agents with ready homebuyers or sellers based on an understanding of the agent’s skill set and the consumer’s need, and a digital expansion from Fidelity National Financial that is intended to help prevent the rapid spread of wire fraud.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

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Published 2020-09-25

Geoff Zimpfer and Sarah Wheeler on UWM’s $16B IPO

18 min

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In today’s Daily Download episode, Mortgage Marketing Radio’s Geoff Zimpfer and HousingWire Editor in Chief Sarah Wheeler discuss the significance of mortgage companies like Rocket and United Wholesale Mortgage going public.

For some background on the interview, here’s a brief summary of HousingWire’s latest article on United Wholesale Mortgage’s $16B acquisition from Gores Holdings IV Inc. :

United Wholesale Mortgage, the largest wholesale lending firm in the country, is joining the blank-check company craze and will make its public debut via an acquisition.

The Detroit-headquartered UWM will merge with businessman Alec Gores’ special purpose acquisition company (SPAC) Gores Holdings IV Inc in a deal that will value the new UWM at $16.1 billion, the company said in a statement Wednesday morning. That’s roughly 9.5X the company’s estimated 2021 adjusted net income of $1.7 billion.

The acquisition will enable UWM to retain roughly 94% of the combined company. As part of the deal, UWM will receive about $425 million in cash held in Gores’s trust account, plus $500 million from a private placement. The combined company will be listed on the Nasdaq under the ticket symbol “UWMC.” The Wall Street Journal first reported the news.

UWM’s CEO Mat Ishbia, who took over the family business from his father in 2003 and transformed it into the largest wholesale lender in the nation, will be head of the combined company.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-24

First American's Mark Fleming on the housing market's unmatched potential

13 min

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Today’s Daily Download episode features an interview with Mark Fleming, the chief economist at First American. In this episode, Fleming speaks with HousingWire about First American’s Potential Home Sales Model, which indicates the housing market potential reached a 13-year high during the month of August.

During the interview, Fleming explains how the housing market was able to retain its strength despite COVID-19’s impact on both the mortgage and real estate industries.

“When the housing industry went into the coronavirus pandemic back in March, the market sort of took a pause and home sales declined,” Fleming said. “During this time, I think we all thought we were going to have to deal with a significant fallout, but we quickly realized in late April and early May that the housing market found a way around it so pleasantly.”

“While this was not expected, it’s clear that the housing industry was the only ‘V-shaped’ recovery amongst all of the sectors in the economy today,” he said. “Home sales are going better than they have before, we're hitting high points for sales in August and that strength is expected to continue into the rest of the year.”

Fleming also discusses whether or not growth in potential home sales is sustainable for the foreseeable future.

“I think it's sustainable and may not grow as quickly as it has in recent months, which have sort of been a recovery phase from the Spring, Fleming said. “But there are some long-run fundamental dynamics that are very positive for the growth of the housing market.”

“The largest one namely being Millennial first-time homebuyer demand, there are just millions upon millions of households that are just getting to the point of their early 30s and wanting to buy homes,” he said. “So, we will benefit for a number of years to come from that demographic demand, and as Jerome Powell has strongly indicated, mortgage rates will probably remain at historically low levels. Those two dynamics alone should help to push forward the housing market for the next couple of years.”

The Daily Download examines the most compelling articles reported by the HousingWire newsroom team. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-23

UWM to merge with Gores Holdings in deal valued at $16B

8 min

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In today’s Daily Download episode, HousingWire covers an announcement that United Wholesale Mortgage will merge with special purpose acquisition company Gores Holdings IV Inc, in a deal that will value the new UWM at $16.1 billion.

For some background on the story, here’s a summary of the article:

United Wholesale Mortgage, the largest wholesale lending firm in the country, is joining the blank-check company craze and will make its public debut via an acquisition.The Detroit-headquartered UWM will merge with businessman Alec Gores’ special purpose acquisition company (SPAC) Gores Holdings IV Inc in a deal that will value the new UWM at $16.1 billion, the company said in a statement Wednesday morning. That’s roughly 9.5X the company’s estimated 2021 adjusted net income of $1.7 billion.The acquisition will enable UWM to retain roughly 94% of the combined company. As part of the deal, UWM will receive about $425 million in cash held in Gores’s trust account, plus $500 million from a private placement. The combined company will be listed on the Nasdaq under the ticket symbol “UWM Corp.” The Wall Street Journal first reported the news.

Following the main story, HousingWire discusses a report from the Mortgage Bankers Association that indicates mortgage applications gained 6.8% last week, and what the FHFA’s request for industry input on its strategic plan for 2021 to 2024 could mean for the future of Fannie Mae and Freddie Mac.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom every day. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. This podcast is hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles covered in this episode:

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Published 2020-09-22

Homeowners experience significant equity gain in Q2

8 min

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In today’s Daily Download episode, HousingWire covers a report from CoreLogic that claims U.S. homeowners gained over $620 billion in home equity during the second quarter of 2020.

For some background on the story, here’s a summary of the article:

U.S. homeowners with mortgages witnessed a 6.6% year-over-year increase in their equity in the second quarter of 2020 – representing a cumulative gain of $620 billion for the nation and an average $9,800 hike in equity per homeowner, according to a new report by CoreLogic.

Record-low mortgage rates and constricted sale inventory cast the perfect storm for home prices which rose 4.3% annually through June ultimately bolstering the increase in home equity, CoreLogic said in its home equity report.

“Homeowners’ balance sheets continue to be bolstered by home price appreciation, which in turn mitigated foreclosure pressures,” said Frank Martell, president and CEO of CoreLogic.

Despite recent gains, the data service provider predicts upward advancements may be mitigated by consistent unemployment and home prices will dip in concurrence with a possible jump in delinquencies.

Following the main story, HousingWire discusses a proposal from the Federal Reserve to revamp the anti-redlining rules known as the Community Reinvestment Act, or CRA, and an announcement from The Office of the Comptroller of the Currency that is has settled with three former Wells Fargo executives for their roles in the bank’s fake account scandal.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

HousingWire articles covered in this episode:

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Published 2020-09-21

Rising student loan debt could impact future Millennial homeownership

7 min

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In today’s Daily Download episode, HousingWire covers a report from the Mortgage Bankers Association’s Research Institute for Housing America that indicates in the second quarter of 2020, close to 11 million households fell behind on their rent or mortgages.

Additionally, the report found that the COVID-19 pandemic may have negative impacts on Millennial homeownership.

For some background on the story, here’s a summary of the article:

In the second quarter of 2020 nearly 11 million households fell behind on their rent or mortgages – however nearly triple that number, approximately 30 million individuals, missed at least one student loan payment, according to a recent report from the Mortgage Bankers Association’s Research Institute for Housing America.

The data compiled from the Understanding America Study was the result of a panel survey tailored to study the impact of the pandemic specifically on mortgagors, renters and student loan borrowers.

According to the survey, evidence suggests that student debt is affecting housing-market behavior, in particular, how rising student debt burdens may have crowded out first-time-home purchases among Millennials.

Every additional $1,000 of student debt lowers the homeownership rate by approximately 2% – a sizeable effect, according to the report. This bolsters the findings of other studies, including a 2017 study by the National Association of Realtors where more than 75% of respondents with student loans said their educational debt impacted their decision to purchase a home.

Following the main story, HousingWire also discusses the nation’s number one loan originator Shant Banosian becoming Guaranteed Rates’s first loan officer to fund $1 billion in loan volume in one year and Keller Williams’ recent vote to add a Diversity, Equity and Inclusion Committee to its’ leadership council.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-18

Will loanDepot finally file for IPO?

8 min

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In today’s Daily Download episode, HousingWire covers a report that states loanDepot is poised to go public later this year.

For some background on the story, here’s a summary of the article:

The California-based mortgage lender headed by Anthony Hsieh could be worth between $12 billion and $15 billion in an IPO, according to Bloomberg‘s sources.

The company has held discussions with potential underwriters for an IPO that could happen as soon as the fourth quarter of this year.

The news comes on the heels of Rocket Mortgage’s successful IPO in August. Since it debuted at $18 a share, Rocket’s stock has surged over 25%, and the nation’s largest mortgage lender now sports a market cap of about $47 billion.

“We are the Lyft to their Uber,” Hsieh told Bloomberg. “The momentum for non-bank lending is here to stay. We’re here to fuel the American dream.”

LoanDepot, backed by Parthenon Capital Partners, announced plans to go public in September 2015, but canceled the IPO hours before pricing due to what the company called adverse “market conditions.” At the time, loanDepot had sought a market value of $2.4 billion to $2.6 billion. In March 2017, the company revived plans for an IPO.

Following the main story, HousingWire discusses a report from Freddie Mac that indicates the average mortgage rates for a 30-year fixed mortgage increased slightly to 2.87%, which is still the second-lowest on record. The team also shares a release from the NAHB that indicates the Housing Market Index rose five points this month, the highest score the series has seen since its inception.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-17

This is why lawmakers are calling on Calabria to reconsider the adverse-market fee

7 min

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In today’s Daily Download episode, HousingWire covers a plea from the nation’s lawmakers to Federal Housing Finance Agency Director Mark Calabria to rethink the adverse-market fee.

For some background on the story, here’s a summary of the article:

Federal Housing Finance Agency Director Mark Calabria took fire during Congressional testimony on Wednesday about the implementation of an adverse-market fee that’s expected to add about $1,400 to the cost of refinanced mortgages delivered to Fannie Mae or Freddie Mac after Dec. 1.

The need for the fee is based on recapitalizing the two mortgage financiers so they can be released from government conservatorship, Rep. Brad Sherman (D-CA) said during his questioning of Calabria. That’s a scenario that is unlikely to happen if former Vice President Joe Biden usurps President Donald Trump in the Nov. 3 election, as numerous national polls show him poised to do.

“Don’t institute the fee – wait until next year when a new Congress can look anew at whether we are going to recreate these agencies in a form that didn’t work last time, and if not, we don’t need the fees,” Sherman said, expressing a view echoed by several lawmakers during the session. Following the main story, HousingWire covers an announcement from the Federal Reserve that it anticipates mortgage rates will remain low through 2023, and an analysis from Pew Research Center that suggests more young adults are now living at home than during the Great Depression.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

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Published 2020-09-16

Logan Mohtashami pushes back on the true state of mortgage credit

13 min

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Today’s Daily Download episode features an interview with HousingWire Lead Analyst, Logan Mohtashami. In this episode, Mohtashami discusses his recent article as well as his thoughts on the Mortgage Banker’s Associations’ recent report and how mortgage credit plays into the larger story on COVID-19’s impact on the housing market.

Mohtashami’s article is part of our HW+ premium membership community. When you go to sign up, use the code “hwpluspodcast100” to get $100 off your annual membership.

For some background on the story, here’s a summary of the article:

It is true that the COVID-19 crisis did temporarily wreak havoc on the mortgage market. Case in point — the week of March 9 and the mortgage market meltdown. You may recall the precipitous drop in rates which resulted in a flood of refinance requests which amplified early pay off risk, mortgage margin calls, and the rapid rebounding of rates.

Needless to say, all that drama from COVID-19 created significant stress in the mortgage market. As a result, many non-QM lenders left the market and FHA homebuyers with low FICO scores saw credit get tighter. The U.S. jumbo market loans saw some difficulty as well. Some lenders even stopped offering home equity lines.

While that all sounds pretty drastic and scary, at the end of the day this prevented only about 4.5%-6.2% of all purchase loans from closing of those that would have closed prior to the meltdown. This means that approximately over 93% of the purchase loans that could have closed during the period of the record-breaking expansion still closed during the early part of the COVID crisis. This is because after 2010, the loan profiles of mortgage seekers before and during the COVID crisis have been, in a word, excellent– the best loan profiles that I have ever seen in my 24 years of lending experience.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-15

Geoff Zimpfer and Logan Mohtashami on how the housing market recovered from COVID-19

18 min

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In today’s Daily Download episode, Mortgage Marketing Radio’s Geoff Zimpfer and HousingWire columnist Logan Mohtashami discuss whether or not the housing market has already recovered from the Coronavirus’ impact on the industry.

For some background on the interview, here’s a brief summary of Mohtashami’s latest article on the housing market’s V-shaped recovery:

The two most important factors that drive housing, demographics and mortgage rates are both in sweet spots to support housing. If you consider Millennials as potential replacement buyers, then add in downsizing Baby Boomers and move-up home buyers, we should see a lot of activity in the housing market in the coming months and years. Plus, we still have 15%-20% of market sales purchasing homes with cash each year.

We only need 4 million mortgage buyers a year to have a stable market and this is out of over 140 million people currently working – and the job market is still in recovery mode. It’s very rare to have any existing home sales print under 4 million in the 21st century. Typically this happens around events such as the last few months of the housing bubble crash, the aftermath of the pull forward demand from the homebuyer tax credit, and one month of COVID-19 induced sales. With mortgage rates safely under 4%, we have the cushion of low mortgage rates as well.

When one puts all this into perspective, I think we can agree, the worst of times are largely behind us for the housing market. It’s time to start looking at our future with caution as long as this virus is still with us. We can’t forget the housing bubble boys are ready for the 2021 forbearance home-price crash trolling game plan. Trust me when I say this, I’ve got a few tricks up my sleeve for them.

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Published 2020-09-14

MBA says new credit standards make it harder for homebuyers to get a mortgage

7 min

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In today’s Daily Download episode, HousingWire covers a report from the Mortgage Bankers Association that indicates it hasn’t been this hard for homebuyers to get a mortgage in six years.

For some background on the story, here’s a summary of the article:

Mortgage credit in August was the tightest in more than six years as a weak economy prompted lenders to tighten standards, the Mortgage Bankers Association said in a report on Thursday.

The group’s Mortgage Credit Availability Index fell 4.7% to 120.9 last month, the lowest since March 2014, indicating stricter requirements to get loans.
The index plunged from record highs seen in late 2019 after the COVID-19 pandemic caused the worst economic contraction since the Great Depression.

The drop in the availability of credit was “driven by a reduction in supply from both conventional and government segments of the market,” said Joel Kan, an MBA associate vice president.

“Credit continues to tighten because of uncertainty still looming around the health of the job market,” Kan said. “A further reduction in loan programs with low credit scores, high LTVs, and reduced documentation requirements also continued to drive the overall decline in credit availability.”

Following the main story, HousingWire covers a forecast from CoreLogic that claims the COVID-19 pandemic may lead to a foreclosure crisis and a report from Black Knight that suggests the refinancing boom is just getting started.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

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Published 2020-09-11

CARs Farrah Wilder on the importance of advocating for an inclusive housing industry

15 min

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Today’s Daily Download episode features an interview with Farrah Wilder, the newly appointed chief diversity, equity, and inclusion officer at the California Association of Realtors. In this episode, Wilder speaks with HousingWire about CAR's reasoning for creating the role and the importance of advocating for an inclusive housing industry.

During the interview, Wilder, who also served the United States Department of Education as a civil rights attorney, explains why her background in law has made her perfectly suited for her new role at CAR.

“It was there [USDE] that I really got a sense of the nuances of intersectionality,” Wilder said. “Their focus is gender discrimination, but as it intersects with race and class. So, there was a lot of discussion around what does it mean to be a woman of color in the workplace or a woman from a working-class background?”

According to Wilder, this lesson helped her better understand the complexities of inequality within the housing industry, and what professionals will need to do to address housing discrimination.

“I think one of the biggest things that we're going to need to do is build systems that allow us to have space to continuously focus on and learn about these issues,” Wilder said. “For example, the California Association of Realtors has committees, and members regularly meet to discuss policy and learn about persistent fair housing issues.”

“I see it as a mission, but it's not something that we can't address, and I think we have to start from the top down, you know, from CEOs to people who own brokerages,” Wilder said. “I think the message needs to be that our industry is focused on housing discrimination. This is an important issue and we're working on it.”

The Daily Download examines the most compelling articles reported by the HousingWire newsroom team. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham

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Published 2020-09-10

NAHB’s Robert Dietz on how low supply and rising costs are impacting home prices

18 min

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In today’s Daily Download episode, Robert Dietz, chief economist and senior vice president of economics and housing policy at the National Association of Home Builders joins the Housing News Podcast to discuss low housing inventory and rising lumber prices.

For some background on the interview, here’s a brief summary:

In this episode, Dietz discusses how a national shortage of housing inventory and rising lumber prices have contributed to an increase in construction costs, which is making it much more difficult for builders to introduce affordable housing supply to the market.

During the interview, Dietz also explains where America’s housing inventory currently stands when compared to historical home-building trends.

According to him, the housing market is experiencing a housing deficit of about a million homes, which includes the combination of both apartments and single-family homes.

“While estimates may vary, most economists agree there is a housing deficit. Freddie Mac had an estimate of about two and a half million homes as a shortage, and you can see the critical impacts of that shortage,” Dietz said. “One of these impacts is that home prices are rising faster than incomes during the post-Great Recession period, and that, of course, has led to declines in housing affordability.”

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-09

Here’s what high home prices mean for homebuyer purchasing power

7 min

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Today’s Daily Download episode, features an interview with HousingWire Real Estate reporter Julia Falcon. In this episode, Falcon discusses her recent article that claims rising home prices have erased the increased purchasing power homebuyers gained in early 2020.

For some background on the story, here’s a summary of the article:

Homebuyer purchasing power increased 6.9% this July, meaning a homebuyer with a $2,500 monthly housing budget can afford a home priced $33,250 higher than a year ago, Redfin found, which it credited to historically low mortgage rates.

But with home prices up 8.2% year over year in July, this homebuyer purchasing power is essentially canceled out, data from Redfin shows.

“Low mortgage rates are motivating many people to purchase a home, particularly those who want more space to work from home,” Redfin Chief Economist Daryl Fairweather said in a release. “But because there hasn’t been an increase in the number of homes for sale since rates started dropping with the onset of the pandemic, many buyers end up competing for the same homes, driving up prices.”

During the podcast interview, Falcon delves into how the COVID-19 pandemic and historically low mortgage rates have impacted the nation’s housing inventory.

“These low rates are increasing purchasing power, so for instance, if the mortgage rate is about 3%, a homebuyer can afford a slightly higher mortgage payment,” Falcon said. “This is encouraging people to buy, especially first-time buyers who might be able to afford a mortgage payment a little higher than they believe they would.”

Falcon also shares what homebuyers continuing to migrate means for the overall real estate market, as well as what trends she’s currently watching.

The Daily Download examines the most compelling articles reported by the HousingWire newsroom team. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham

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High home prices erase homebuyers' increased purchasing power

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Published 2020-09-08

ICE completes $11 billion Ellie Mae acquisition

7 min

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In today’s Daily Download episode, HousingWire covers an announcement from the Intercontinental Exchange that it has received regulatory approval and fully completed its $11 billion acquisition.

For some background on the story, here’s a summary of the article:

Nearly one month after Ellie Mae announced that it had agreed to be acquired by Intercontinental Exchange, ICE announced Friday that it had received regulatory approval and fully completed its $11 billion acquisition.

“We are excited to begin the next important chapter in our journey to digitize the residential mortgage industry,” said Jeff Sprecher, founder, chairman and CEO of Intercontinental Exchange. “Ellie Mae’s industry leadership and best-of-breed technology will better enable us to further accelerate the automation of the mortgage origination workflow, which will benefit stakeholders across the production chain, including consumers.”

Per the announcement, the transaction values Ellie Mae at an enterprise value of $11 billion – three times the all-cash transaction of $3.7 billion private equity shop Thoma Bravo spent acquiring it a little over a year ago.

Following the main story, HousingWire covers the Consumer Financial Protection Bureau’s seventh settlement against a mortgage broker for deceptive advertisements targeting VA borrowers, and data from the National Association of Homebuilders that indicates a spike in lumber prices is now driving construction costs much higher.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd.

HousingWire articles covered in this episode:

· With $11B Ellie Mae deal finalized, ICE prepares to unleash a “fully digital mortgage ecosystem”

· CFPB settles with seventh company for misleading ads targeting veterans

· Spike in lumber prices boosts construction costs

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Published 2020-09-04

Here's how COVID-19 has transformed RON adoption

18 min

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Today’s Daily Download episode features an interview with Aaron Davis, CEO of Florida Agency Network, one of Florida’s largest RON providers. In this episode, HousingWire examines a recent article that delves into one key component that is hindering RON adoption. Davis discusses how RON adoption has changed in the era of COVID-19, what it will take for increased RON and eNote adoption in the secondary market and how RON has transformed the borrower experience overall.

Ramirez’s article is part of our HW+ premium membership community. When you go to sign up, use the code “hwpluspodcast100” to get $100 off your annual membership.

For some background on the story, here’s a summary of the article:

As it turns out, state regulations, while a major factor, are not the greatest holdup to universal acceptance of RON.

In fact, over the past year COVID-19 has spurred many states to rush through emergency bills allowing for the use of RON.

No, the greatest holdup actually lies in the hands of lenders: eNotes.

Traditionally, promissory notes are wet signed. They are the “golden ticket” when it comes to mortgage transactions and without it, the deal wouldn’t exist. It is the legal note where one party in the transaction promises in writing to pay a fixed amount of money to another party under specific terms.

There were instances in 2008, for example, where if the note was lost or stored away in a bank’s basement, lenders couldn’t foreclose on a property until the note was located. Notes can’t be sold unless they are physically located.

But RON can turn this promissory note digital, and that changes everything.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-03

Jackson Hole Realtor on why homebuyers are migrating to mountain towns

14 min

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Today’s Daily Download episode features an interview with Latham Jenkins, associate broker at Live Water Jackson Hole. In this episode, HousingWire digs deeper into a recent article that indicates mountain towns like Aspen, Colorado and Jackson Hole, Wyoming are heating up, as home buyers flee to luxury mountain towns.

During the podcast interview, Jenkins discusses the ongoing migration trend he’s seen in Jackson Hole. According to Jenkins, the urban flight to mountain towns began years ago, and was essentially accelerated due to the novel COVID-19 pandemic. Jenkins added that variables like densely populated cities, tax structures and working remotely have been driving factors in prompting people to seek out housing markets in mountain towns.

Jenkins, who has lived in the Jackson Hole for more than 25 years, said he’s never seen this level of demand in his region before, stemming primarily from buyers he’s coined as “COVID refugees.”

"They're fleeing an urban market and coming here desiring to buy places that have elbow room and generally speaking, buying single-family properties with acreage,” Jenkins said. “When you look at what has happened since June 1 in our market, over 109 listings have either gotten closed or are pending that are worth $3 million or more at an average price of $5.5 million.”

Though it’s unclear what this level of demand means for the future in the region’s housing inventory at large, Jenkins said he’ll continue responding to market demand.

“We went into this being in an inventory shortage, and COVID only exacerbated that as well, so what's left? Well, a lot of pressure on pricing as we look forward,” Jenkins said. “I think that Jackson Hole will continue to see a lot of upward pricing pressure with very low inventory, and a demand that just continues."

The Daily Download examines the most compelling articles reported by the HousingWire newsroom team. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles covered in this episode:

As homebuyers flee to luxury mountain towns, local housing markets are heating up

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Published 2020-09-02

Logan Mohtashami on housing’s V-shaped recovery completion

12 min

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Today’s Daily Download episode features an interview with HousingWire Lead Analyst, Logan Mohtashami. In this episode, Mohtashami provides an update on an article he wrote in April, which lists the five economic and/or social landmarks that we would need to pass that helps the industry better understand the recovery and how the housing market is performing.

Mohtashami’s article is part of our HW+ premium membership community. Use the code hwpluspodcast100 to get $100 off your annual membership. For some background on the story, here’s a summary of the article:

The fiscal calendar, a mainstay of marking economic activity has served little purpose in COVID America. Where it once provided a structure by which to analyze balance sheets and economic trends, in these virus-directed times, it has become a vestigial anomaly like the little toe or the appendix of the human body.

In order to understand the economic performance of various sectors during these times, we need to abide by the dictates of the virus. For this reason, I divided 2020 into this economic-timeline into three phases: Before COVID (BC), After the onset of the Disease (AD), and America is Back (AB).

In a previous article, I wrote about five economic and/or social landmarks that we would need to pass in order to determine that we had exited the AD phase and entered the AB recovery phase. This serves as a report card on that recovery with a final word about the U.S. housing market.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-09-01

Hurricane Laura projected to cost insurers billions

8 min

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In today’s Daily Download episode, HousingWire discusses the projected costs insurers will have to pay for damages that property owners endured from Hurricane Laura last week.

For some background on the story, here’s a summary of the article:

Insurers will have to fork over billions of dollars to pay for damage that property owners incurred from Hurricane Laura last week.

Data and analytics provider CoreLogic estimated that residential and commercial property damage in Louisiana and Texas could come in anywhere between $8 billion and $12 billion, with the vast majority of the damage coming in Louisiana.

The storm, the most intense hurricane to make landfall in the northwestern gulf in more than 150 years, will also hurt homeowners’ ability to pay for their mortgage.

Following the main story, HousingWire covers the Mortgage Bankers Association’s weekly forbearance volume survey and the MBA’s and Structured Finance Associations’ comments on the Federal Housing Financing Agency’s proposed rule for a new regulatory capital framework for Fannie Mae and Freddie Mac.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-08-31

What would Biden’s first-time homebuyer tax credit look like in action?

7 min

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In today’s Daily Download episode, HousingWire covers Democratic Presidential Nominee Joe Biden’s proposed $15,000 first-time homebuyer tax credit.

For some background on the story, here’s a summary of the article:

Former Vice President Joe Biden has proposed a $15,000 tax credit to help first-time homebuyers purchase a property. As is typical for campaign proposals from either party, the details remain to be fleshed out. And before any tax credit would be put in place, it would have to be hashed out in a bill passed by Congress, which controls U.S. tax policy.

Biden’s proposal, as explained on his campaign website, is: “Help families buy their first homes and build wealth by creating a new refundable, advanceable tax credit of up to $15,000. Biden’s new First Down Payment Tax Credit will help families offset the costs of home buying and help millions of families lay down roots for the first time.”

In some ways, it’s similar to the $7,500 tax credit created by the Housing and Economic Recovery Act signed by President George W. Bush in July 2008. The credit was raised to $8,000 the following year in a bill signed by President Barack Obama. The programs expired in 2010.

Following the main story, HousingWire covers what lenders are doing about refinance loans that were already locked with closing dates after Sept. 1 since the Federal Housing Finance Agency delayed the adverse-market refinance fee. The podcast also discusses why sales of large homes are skyrocketing as homeowners seek out more space.

The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

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Published 2020-08-28

James Kleimann joins HousingWire as mortgage editor

25 min

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Today’s Daily Download episode features an interview with James Kleimann, HousingWire’s newest mortgage editor. In his new role, Kleimann will be helping HousingWire’s newsroom cover topics related to housing finance as well as real estate, appraisal, title and escrow and more.

Kleimann got his start as a reporter right out of college in Burlington, Vermont covering cops and crime. After moving back to his home state of New Jersey, Kleimann held various roles across different news outlets, eventually landing at The Real Deal where he most recently served as managing web editor.

“HousingWire is the leading publication for housing professionals, and has a rich history of producing great journalism,” said Kleimann. “But its ambitions are so much greater than that. I’m beyond thrilled to work with Clayton, Diego, Sarah and the rest of the editorial staff to dig even deeper into the mortgage space and break into new subjects during this exciting, uncertain time.”

Kleimann added that he's excited to bring his knowledge on a lot of other components of real estate to this mortgage editor position

As mortgage editor, Kleimann will be covering the ups and downs in the housing industry, as well as watching trends in the real estate market. One area of focus Kleimann said he’s looking forward to is coverage on mortgage brokers.

“This is such a pivotal player in the housing market, and one that was really pilloried during the housing crisis of 2008 and nearly driven to extinction,” Kleimann said. “And now, they're back in a pretty big way.”

Kleimann said he wants to look into how the mortgage broker has evolved, examine how they've adapt to changes in technology and how they've improved their reputation with customers.

In the interview, Kleimann also touches on topics like the coastal exodus, his recent article on Realtor.com’s flood risk disclosures and how new emerging trends like migration will impact realtors and brokers.

The Daily Download examines the most compelling articles reported by the HousingWire newsroom team. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham

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Published 2020-08-27

Bankrate's Greg McBride on FHFA's adverse-market refinance fee

13 min

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Today’s Daily Download episode features an interview with Greg McBride, Senior Vice President, and Chief Financial Analyst at Bankrate.com. In this episode, McBride speaks with HousingWire about the recent postponement of the Federal Housing Finance Agency’s adverse-market refinance fee.

Earlier this week, McBride sent a statement to the HousingWire newsroom following the announcement of the fee’s postponement:

“The Federal Housing Finance Agency has decided to postpone implementation of the much-criticized Adverse Market Refinance Fee until December 1, and exempted refinances for loan amounts under $125,000,” McBride said. “While not as good as repealing it altogether, this is certainly better than the caper they pulled when they initially announced it without any advance notice.”

During the podcast interview, McBride delves into why he believes the fee should be repealed as well as whether or not he thinks implementing the new loan-level price adjustment will benefit homebuyers and lenders.

According to McBride, the fee may discourage homebuyers from refinancing as it has the potential to add more than $1,000 to their closing costs.

"This is not an ancillary charge that nobody's going to notice, it's half a percentage point of the loan amount that's being refinanced," he said. "While it may make great financial sense for consumers to refinance, they tend to balk for two reasons. One is that there are so many fees involved and the second is the cumbersome process."

"While I don't know if the process will be altered, from a fee standpoint, it's sometimes a tough sell to consumers as people are often reluctant to incur upfront costs," he said. "So, when you add another layer on top of that, my concern is that it will only further deter people from refinancing when they could otherwise benefit from doing so."

The Daily Download examines the most compelling articles reported by the HousingWire newsroom team. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham

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