The reporting of suspected mortgage fraud by financial institutions appears to be leveling off, according to new figures released by the Financial Crimes Enforcement Network, a division of the Treasury Department.
The Federal Housing Administration, which is trying to bolster its depleted cash reserves, unveiled tighter underwriting guidelines Wednesday morning, including a hefty downpayment for low FICO score borrowers and an increase in the upfront mortgage insurance premium to 225 basis points.
The Federal Housing Administration is determined to clamp down on bad lending practices and it is preparing to suspend a lender’s operations in a whole metropolitan area for six months if one branch has a default rate three times above the norm.
Bank of America’s residential mortgage operation appears be earning money hand-over-fist on an operating basis — until credit charges are factored into the equation.
The Department of Housing and Urban Development is seeking White House approval to increase the upfront mortgage insurance premium charged by the Federal Housing Administration to borrowers.
Google this week is rolling out a new search function allowing consumers to shop and compare mortgage offerings from roughly 15 participating lenders.
There is a growing concern among financial service executives that the Federal Housing Administration is turning the screws too tightly through its new credit requirements.
