Government

Freddie Mac’s getting fat, again. Just how much, however, pales in comparison to a few months prior. So just how well is the GSE doing? The answer’s in the numbers.

More investors are putting stake in multifamily homes like apartments and condominiums, but how many people are living in them? In the wake of low inventory in the single family market, are potential homebuyers going to continue to rent, or wait for their dream home?

Several representatives and senators have been pushing for change in compliance regulations, but a recent bill could possibly be the answer. Being that this isn’t the first bill of its kind, what does it bring to the table that others didn’t? See what Representative Tom Emmer and Congressman Blaine Luetkemeyer have in mind.

Lower and moderate-income residents of Washington, D.C. are now able to afford homeownership thanks to the District of Columbia Housing Finance Agency’s (DCHFA) administering of the DC Housing and Community Development's Home Purchase Assistance Program (HPAP). Monday, the DCHFA announced their first closing under the program during Mayor Muriel Brown’s June Housing Bloom, a monthlong initiative showcasing how the public and private sectors are partnering to produce and preserve affordable housing and revitalize neighborhoods across D.C. After five years living in a small apartment with three children, the first family to receive assistance now owns a four level townhome.

Potestivo & Associates, P.C., who specializes in the real estate finance and credit industry, is pleased to announce two attorneys from their Chicago team have been promoted to partner, effective June 12. Kimberly J. Goodell and Caleb J. Halberg will each serve in their new capacity as Assistant Vice President – Managing Attorney and are the newest members of the firm’s Omni Executive Committee.

A former executive at Nomura, a financial holding company based in Japan, was found guilty of conspiracy on Thursday by a Connecticut jury. The defendant, Michael Gramins, allegedly added secret commission fees onto mortgage-backed security transactions he handled between 2009 and 2013, according to the verdict. Gramins wasn’t the only party involved—though he was the single person charged. The state’s case also named Nomura’s Ross Shapiro and Tyler Peters in the suit, which alleges the three defendants illegally added to their profit margins when handling RMBS transactions for their employer.

The Fed has voted for the second time this year to raise interest rates, a decision that was hinted at back in March by Janet Yellen, FOMC Board of Governors Chair. The FOMC is of the opinion that waiting too long to scale back accommodations could potentially cause a rapid increase in rates, which could disrupt the market and send the economy into another recession. It is currently unclear how the hike in interest rates will affect mortgage rates.

The U.S. Treasury Department could finally be getting a new Deputy Secretary in the near future according to three sources inside the department. Brian Brooks, General Counsel, EVP, and Corporate Secretary for Fannie Mae, is said to be filling the position. Goldman Sachs Executive Jim Donovan was previous in line for the vacancy, but recently withdrew.

Federal Open Market Committee is set to finish its June meeting on Wednesday and it is widely expected that they will raise interest rates in order to keep the economy stabilized, even though inflation remains around 2 percent. In May, when they last met, members of the board chose to keep interest rates at their current level. Will this mean anything for mortgage interest rates? One expert believes it might not impact the mortgage market at all.

Deregulation is on the horizon according to the U.S. Department of the Treasury’s Monday report. While some avidly oppose the change, many see it as a positive adjustment for banks, consumers, and the economy. Whether the changes will destroy the economy or create long-term stability, the Treasury and Administration said it will forge ahead to its next steps working with congress to change statutes, regulations, and supervisory guidance.