Standard & Poor's is coming under heavy scrutiny from the Securities and Exchange Commission for it alleged misconduct in handling valuations for a $1.6 billion mortgage-bond deal. Regulators for the SEC are focusing on the company's possible exploitation of fictitious assets when rating the transaction in question. The bond deal became a debacle during the financial crisis, and this week, S&P's parent company, McGraw-Hill Cos., received notice from the SEC that it could be facing civil charges related to its potentially fraudulent actions.
Read More »Prudential Initiates Second Large Multi-Family Deal
The specialized lending arm of Prudential Mortgage Capital Company, which targets Federal Housing Administration-based loans, recently announced the closing of a $77.2 million deal on the FHA's behalf. Prudential Huntoon Paige (PHP), the official moniker of Prudential├â┬ó├óÔÇÜ┬¼├óÔÇ×┬ós FHA-focused division, purchased the loan to refinance a multi-family development in Upland, California.
Read More »Applications, Refis on the Rise According to Weekly Index
The weekly mortgage applications numbers are in, and current data shows an increase nationally. The Mortgage Bankers Association's Weekly Mortgage Applications Survey for the week ended September 23 demonstrated a 9.3 percent rise in mortgage loan application volume on a seasonally-adjusted basis, according to the Market Composite Index contained within the report. The Purchase Index rose 2.6 percent this week on a seasonally-adjusted basis and showed a 0.1 percent hike year-over-year.
Read More »Indices Display Improvement in Home Pricing Data
Standard & Poor's most recent data on home pricing indicates rising numbers over four consecutive months, according to the company's S&P/Case-Shiller Home Price Indices.
Read More »New Chief Economist, New Division for Florida Realtors
Florida Realtors has announced the hiring of a new chief economist, with the addition of Dr. John Tuccillo, who is a former chief economist for the National Association of Realtors.
Read More »BAC Under Extended Investigation by Hagens Berman
Bank of America Corp. will continue to be under investigation, following a recent filing that alleges the big bank failed to properly inform investors as to risk factors associated with a pending lawsuit from American International Group. Hagens Berman announced that it will advance its look into BAC's investor dealings surrounding the bank's legal issues with AIG. BAC shares dropped significantly in the wake of the AIG filing, and it's estimated that the full damages equate to around 20 percent per share.
Read More »American Jobs Act Could Yield 1.3M New Openings
Mortgage giant Freddie Mac released an outlook recently on the state of the housing sector and economy at-large that demonstrates a reduction in projections for demand.
Read More »Lending Discrimination Against Minorities Declining
Data from HMDA's annual survey indicates positive moves for minorities. The study's statistics examining lenders handling of minority borrowers shows a 5 percent decrease.
Read More »Auditors Face Suit as TBW Makes Headlines, Again
A suit filed Monday dispelled any notion that the Taylor Bean & Whitaker scandal ended with the lockup of the former ringleaders, according to multiple news reports. The trustee overseeing bankruptcy and liquidation proceedings for the now-defunct mortgage company went after auditors for failing to see red flags in their accounting processes. Deloitte & Touche LLP, the accounting firm responsible for audits at Taylor Bean & Whitaker, got slapped with suits on the hunt for $7.6 million in damages, according to news outlets.
Read More »FHFA Faulted for Role in Bad Settlements for GSEs
The Federal Housing Finance Agency cut corners in the analysis it deployed to review and accept a $1.35-billion repurchase settlement from Bank of America over mortgage-backed securities for Freddie Mac, effectively ensuring that losses for the GSE would continue, according to a report released Tuesday by the agency's inspector general. The report concerns two buyback agreements between the mortgage giant and GSEs last year, with profit margins totaling $2.87 billion for the deal.
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