-
Ally said to be Shopping Mortgage Unit
Posted To: MND NewsWire One of the financial institutions that are party to the reported settlement agreement with the attorneys general of the majority of the states is reportedly on the auction block. According to Bloomberg News, Ally Financial is talking with private equity firms about selling its mortgage unit, Residential Capital LCC , through a pre-package bankruptcy. Any sale of the company would be complicated by its recent financial history. The company was founded as General Motors Acceptance Corporation (GMAC) in 1919 by General Motors as an intermediary to provide financing for the purchase of its autos. Over the years it expanded into other types of lending and into real estate brokerage and adopted the acronym as its brand name. GMAC was hard hit by the housing crash and was one of the beneficiaries...(read more)
-
Bond Markets Improve Following 10yr Auction and Fed Selling
Posted To: MBS Commentary After the 10yr auction, production MBS and the long end of the yield curve didn't move much at first. But it now seems that some additional bid for the 10yr was on hold until after the Fed's Scheduled selling that ended at 2pm. As that was wrapping up, 10's made another move lower in yield to test the the pivot point just over 1.96% that can be seen in the chart below. First, here's the full text of the MBS Live alert that went out after the auction: Limited Reaction to Good-But-Not-Great 10yr Auction (1:28PM) Bond markets have reacted in a generally positive way to today's 10yr note auction. The high-yield awarded was 1.1 bps lower than "when-issued" yields just before the release (this is bond-market friendly as it means that yields were slightly lower than the street was expecting) and the...(read more)
-
Delinquencies, Foreclosures, and Inventories Improve in CoreLogic Data
Posted To: MND NewsWire According to CoreLogic, the Santa Ana California based provider of information and business services, there were a total of 830,000 foreclosures nationwide in 2011 compared to 1.1 million in 2010. The most recent monthly numbers, for December 2011, were down from foreclosures both a month earlier and in December 2010. There were 55,000 foreclosures during the month of December, a drop of 2,000 from the November total and a significant decrease from a year earlier when there were 67,000, a -15 percent change. According to CoreLogic, there have been approximately 3.2 million foreclosures since the beginning of the financial crisis in September 2008. The foreclosure inventory - the stock of homes in the process of foreclosure - also decreased on an annual and accelerating basis. There were 1.4...(read more)
-
Missouri Goes After Processor DocX; Wells Now #1 Servicer; Rural Streamlines
Posted To: Pipeline Press What, exactly, qualifies a person as "rich"? It depends who you are - here in the States the wealth of the top 1% is about 225 times greater than that of the typical family, compared to 125 times in 1962, and the cumulative wealth of the Forbes 400 was $1.54 trillion, equal to worth of the bottom half of American families . Household net worth has been falling, and a recent Gallup poll states that the median income to be considered "rich" is $150,000 a year, up from the $120,000 that qualified a person as rich in 2003. Amongst different demographics, however, what makes one "rich" is relative. About 15% of respondents said it would take $1 million a year or more to fall into that category, but three in 10 say that they'd qualify as prosperous even pulling in less than six figures. About half...(read more)
-
MBS MID-DAY: 2/8/2012
Posted To: MBS Commentary MBS Live : MBS MID-DAY Open MBS Live Dashboard FNMA 3.5 103-26 : +0-03 FNMA 4.0 105-20 : +0-01 FNMA 4.5 106-23 : -0-01 FNMA 5.0 108-00 : -0-01 GNMA 3.5 105-09 : +0-03 GNMA 4.0 107-31 : +0-02 GNMA 4.5 109-06 : +0-00 GNMA 5.0 110-30 : +0-00 FHLMC 3.5 103-16 : +0-02 FHLMC 4.0 105-03 : -0-03 FHLMC 4.5 106-04 : -0-02 FHLMC 5.0 107-22 : +0-01 Pricing as of 11:03 AM EST Morning Market Updates A recap of MBS Market Updates provided by MND Analysts and streamed live to the MBS Live Dashboard . 9:46AM : ALERT: Bond Markets Bounce Back To Breakeven Levels After Overnight Weakness News that the ECB would turn over it's Greek bond holdings to the EFSF in exchange for EFSF bonds of higher amounts, provides another potential reason that yesterday?s planned meeting among Greek leaders to approve the terms...(read more)
-
Refinancing Apps Rise on Record Low Rates
Posted To: MND NewsWire Mortgage rates broke another set of records during the week ended February 3, establishing several new historic lows. In response, the seasonally adjusted Mortgage Bankers Association's (MBA) Market Composite Index, a measure of mortgage application volume , rose 7.5 percent and 8.7 percent on an unadjusted basis. The increases were driven solely by refinancing which represented 80.5 percent of total applications for the week, up from 80.0 percent the previous week. The Index measuring applications for refinancing increased 9.4 percent over that of the week ended January 27 but the seasonally adjusted basis the Purchase Index ticked up only 0.1 percent. The unadjusted Purchase Index was 6 percent higher than in the previous week and 4.1 percent lower than during the same week in 2011. The four...(read more)
-
Day Ahead: 10yr Auction And Another Probable Greek Deadline Miss
Posted To: MBS Commentary The theme of light economic data continues on Wednesday with MBA Mortgage Apps being the only item of note. Even then, it's only notable due to it's pertinence to our industry and is not a market mover. Both the refi and purchase indexes snapped 3 week losing streaks with the Purchase Index just barely improving. The Refi Index on the other hand, rose a hefty 9.4% from 4113 to 4500 as the MBA reported average rates dropped from 4.09 to 4.05. The other part of the weekly theme is that the light economic data is punctuated by scheduled and unscheduled market movers. On the scheduled front, the most promising contender is the 1pm Auction of $24 billion of new 10yr Notes. Refundings over the past year have generally met with lighter demand than reopenings with the last 4 averaging 3.02 as opposed...(read more)
-
MBS RECAP: 2/7/2012
Posted To: MBS Commentary MBS Live : MBS RECAP Open MBS Live Dashboard FNMA 3.5 103-23 : -0-04 FNMA 4.0 105-18 : -0-04 FNMA 4.5 106-23 : -0-04 FNMA 5.0 107-32 : -0-05 GNMA 3.5 105-05 : -0-02 GNMA 4.0 107-28 : -0-01 GNMA 4.5 109-04 : -0-03 GNMA 5.0 110-29 : -0-04 FHLMC 3.5 103-13 : -0-05 FHLMC 4.0 105-06 : -0-05 FHLMC 4.5 106-05 : -0-05 FHLMC 5.0 107-20 : -0-05 Pricing as of 4:03 PM EST Afternoon Market Updates A recap of MBS Market Updates provided by MND Analysts and streamed live to the MBS Live Dashboard . 3:19PM : ECON: Consumer Credit Expands More Than Expected Novembers expansion of total Consumer Credit was revised to +$20.38 bln, very close to the original print. Today's report for December shows only a slight decrease in the pace to $19.31 bln. Economists had been expecting a bigger contraction to $7.7...(read more)
-
House Committee Acts on Bill to Protect FHA Fund
Posted To: MND NewsWire A sub-committee of the House Financial Services committee today approved the FHA Emergency Solvency Act which is intended to shore up the finances of the Federal Housing Administration (FHA). The legislation strengthens FHA's Mortgage Insurance Fund by establishing minimum annual premiums for mortgage insurance; barring unscrupulous lenders from participating in the program, improving the FHA's internal financial controls, transparency, and disclosure requirements, and requires lenders who commit fraud to repay any losses suffered by FHA as a consequence. FHA's cash reserves have been hard-hit by the housing crash and have fallen below 2 percent Congress has mandated it must maintain. According to the subcommittee's press release, the agency's finances have deteriorated to the point where a...(read more)
-
Mortgage Rates Slightly Higher as Greece, Auctions Weigh on Markets
Posted To: Mortgage Rate Watch Although the recently confirmed 3.875% Best-Execution level remains intact for 30yr fixed, conventional loans, Mortgages Rates moved slightly higher today in terms of the costs required to obtain those rates. Weakness in Treasuries today was more pronounced than MBS, the "mortgage-backed-securities most directly responsible for determining mortgage rates. (learn more about how we calculate Best-Execution in THIS POST ). Initially driving today's market movements was news that political leaders would meet in Greece to vote on a soon-to-be-drafted bailout package. Greek officials have been reluctant to stand up in favor of creditor-imposed austerity. Even though they likely realize the dire implications of such reluctance, the political backlash from Greece's populace is pretty dire in it's own...(read more)
|
News Feeds