Mortgage Default Risk Edging Toward ‘Normalcy’

Lenders and investors should expect defaults on mortgage loans currently being originated to be 31 percent higher than the average of loans originated in the 1990s, according to a new report from University Financial Associates (UFA). The UFA Default Risk Index for the fourth quarter of 2011 edged lower to 131 from last quarter’s revised …

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Obama Pledges to Refinance Millions of Mortgages at Today’s Rates

Housing got only a brief mention in President Obama’s highly anticipated jobs speech last Thursday night. But it was a pledge that some pundits say is finally a step in the right direction. Others say it’s likely to have little impact. Obama told Congress that his administration is going to work with federal agencies to …

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Decline in Strategic Defaults

The phenomenon of strategic default has become a growing concern for the industry, but a new “Market Insight Snapshot” released by Experian Thursday suggests the percentage of mortgage defaults involving borrowers who decided to simply throw in the towel is trending down. Strategic defaults in the U.S. peaked during the fourth quarter of 2008, accounting …

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HUD’s Inventory of REOs More Than Double a Year Ago

HUD has released a report detailing recent business activity at the Federal Housing Administration (FHA). It shows that the federal agency’s inventory of REO homes has ballooned as sales from this portfolio fell sharply during the final months of 2010 and early part of this year. The number of repossessed single-family properties held at the …

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