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Organization makes plea that will benefit originators

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Mortgage Professional America | 26 Jun 2015, 09:26 AM Agree 0
A new voice joins the chorus arguing over whom non-performing mortgage mortgages should be sold to – and if they are heard, originators will be set to benefit.
  • Ray in Seattle | | 26 Jun 2015, 10:33 AM Agree 0
    "Non-Profits" like ACORN are now going to be able to buy (At an essentially free price or given from one government agency to another government agency) your government insured FHA mortgages? Then give that house to its "Non-Profit" constituents? Who also are provided funds from YOUR Government - to make the house payment for the low cost housing your Government is giving them.....

    That sounds like a transfer of US Government citizens wealth to a NON-PROFIT group(s) - Which also get their FUNDING from the US Government. These Non-Profits are constantly gaming the system for public funding! A means to funnel and obtain YOUR Governments money into their lives....

    This is WRONG...... Think this through Folks...
    Ray in Seattle
  • Anne James | | 26 Jun 2015, 10:37 AM Agree 0
    How about affecting 'Disparate Impact' positively? Take the speculative aspect out of foreclosesures and sell to Neighborhood Housing non-profits for qualified income buyers will benefit all.
  • Anne James | | 26 Jun 2015, 10:41 AM Agree 0
    It would have to be monitored but we already have downpayment assistance programs so why not sell for the same price to non-profits or county-run housing programs? As long as it's not price-controlled, I can see feeding the lion of 'Disparate Housing Impact' without taxing us.
  • | | 26 Jun 2015, 11:16 AM Agree 0
    If your selling for the same price - Lets avoid a Government monitoring organization (layer of bureaucracy) and allow the homes to sell to the Lion of "Disparate Housing Impact" and let PRIVATE funds not YOUR Government funds sell for the SAME PRICE, without using YOUR Governments money to fund houses for people - through Non-Profits that are funded by YOUR Government. Problem Solved....
  • Mike in Michigan | | 26 Jun 2015, 02:25 PM Agree 0
    I am a bit confused by the premise of this article. How does having non-profits buy non-performing mortgages, assist mortgage originators? The non-profits, SHOULD be working to keep the original homeowner in the hosue instead of foreclosing, as that is what they are claiming is the bad part of investors purchasing these mortgages. So no new business would be available for originators. However, if investors purchase the mortgages and foreclose, then they will re-sell the properties to folks who may need a new mortgage. Hence business for originators. Are the non-profits going to have the borrowers obtain new mortgages to refinance what they owe? What kind of credit quality would those mortgages be?
  • | | 26 Jun 2015, 03:11 PM Agree 0
    When did economically poor people (for whatever reason) or people who do not own homes become a disparate or "Protected Class"?
    Anne, lets not give houses to those that have not - lets make those who want a house earn it - without Non-Profits SKIMMING the process on already government funded FHA mortgages. Giving to those without requiring skin in the game creates something this country is already sickened with - "Generational Welfare" recipients. I believe the greatest number of defaults are FHA mortgages under $200k....?
    Again, people who don't work, and take from YOUR Government coffers, only exacerbate the welfare state which we are already having a difficult time paying for. I would also guess the Non Profits would likely resale to the same parties, using YOUR Governments FHA funds, to the same people who defaulted in the first place. Creating a vicious circle of inefficiency.

  • A Bigger Better Mortgage | | 26 Jun 2015, 10:54 PM Agree 0
    If we want to create low cost housing this is NOT the way. Who buys paper is not the issue at all. PUT A DEED RESTRICTION ON THE MARKET! This will keep inflation down. I would say that resort or area types may have a higher threshold but it's a real good idea to put a lower threshold in low income areas. You can call this targeting if you want and maybe it is but it is the reality of things. DEED RESTRICTIONS CAN OFFSET THE COST OF LIVING THAT DOUBLES EVERY 5 TO 7 YEARS. IT'S THE OBSCENE LOOPHOLE IN THE DTI and it needs to be fixed. There are many other things that could be fixed within the 1003 that would keep foreclosure at bay but cost of living is HUGE. If the market doesn't bear enough equity in your home to put your kids through college and create an even bigger house payment for you maybe a retirement program such as a universal life would be a good choice since that's what they are mainly used for. Keeping the house payments lower with Deed Restrictions will cap equity but will save enough in lower payments to invest in other areas that pay you interest instead of charging it. They really should teach this stuff in high school. 6-26-15
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