It was our pleasure to have Mortgage Banking Association President & CEO David Stevens at our annual conference at Boyne mountain this year. Please join the Mortgage Action Alliance to find out the latest news and help guide the historical changes coming out of Washington right now!
Click this link to stay informed with the mortgage action alliance http://www.mbaa.org/Advocacy/MortgageActionAlliance/MAASignup.htm
Read the The FHA Solvency Act of 2013 http://www.banking.senate.gov/public/index.cfm?FuseAction=Files.View&FileStore_id=76ccb8b5-2cf3-4a3f-b40b-47f0b90aa957
Read the Corker-Warner Jumpstart GSE Reform Act.
http://www.govtrack.us/congress/bills/113/hr2348/text
8. 8
Piling On
Real Estate Finance
System
Compliance
Rule
Making
Coker-Warner
Hensarling
FHA
Solvency
The
Federal
Reserve
QE3
Basel IIIGSE Reform
9. 9
HMDA Data for 2011 Shows Net Exit From the Business
6,500
7,000
7,500
8,000
8,500
9,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Number of Institutions Reporting
HMDA Data
Source: FFIEC
10. 10
Credit Expanding On High End – Shrinking On Low
Source: MBA MPMA
Jan-Jun 2013 versus 2012 Purchase Tranche Analysis
2013 shares 2012 Shares YTD Change YoY 2013_2012
<=150K 35.9% 40.6% -1.7%
>150K and<=300 37.0% 36.7% 12.1%
>300K and<=417k 14.7% 13.2% 24.0%
>417K and<=625k 6.7% 5.3% 40.2%
>625K and <=729k 1.9% 1.4% 51.8%
>729K 3.9% 2.8% 57.0%
100.0% 100.0% 11.4%
12. 12
Broad Access to Credit
“The pendulum has swung too far the other way.”
~Federal Reserve Chairman Bernanke, November 2012
“The average FICO score for denied applications in
2012 was 733 and the average LTV for denied
applications was 81%.”
~Ellie Mae, January 2013
“Credit is achingly tight.”
~CFPB Director Richard Cordray, January 2013
Upon release of the Ability to Pay Rule
“Too many families with solid credit who want to buy
a home are being rejected.”
~President Obama
State of the Union Address, January 2013
14. 14
1. Privatize and Recapitalize
•Shareholder Path
2. Receivership and Liquidation
•Hensarling
3. Shut Down and Replace
•Corker Warner
•BPC
•President
•MBA
Options Being Discussed
17. 17
Why Now – Control Our Destiny
• Legislation Will Overtake Us
• G-Fee Tinkering
• Congress
• FHFA
• Transparency
• Competition
• Appeals To ALL Outcomes
• Proactive – Not Head In The Sand
• No Legislation Required
• Fills In The White Board