New mortgage insurer Essent raises $500M May 28, 2009
Essent said that its parent company, Bermuda-based Essent Group Ltd., has been funded to establish the first new private mortgage insurance company in the United States since the start of the financial crisis ... -based Essent, is in the process of obtaining the approvals necessary to offer private mortgage insurance ... The CEO is Mark A. Casale, who previously served as president of Radian Guaranty Inc., Philadelphia-based Radian Corp. s principal mortgage insurance subsidiary. (Philadelphia Business Journal, PA)
New rules on condo loans hindering some buyers May 23, 2009
Adding to headaches, homeowners who can't come up with a 20 percent down payment have traditionally been required to pay for private mortgage insurance, which protects lenders against loan defaults. But many private mortgage insurers now refuse to cover condos or are asking for down payments of 10 or 15 percent before they will issue a policy. (Boston Globe)
PMI Shareholders Elect Directors; CEO L. Stephen Smith Re-Elected Chairman May 22, 2009
Through its wholly and partially owned subsidiaries, PMI offers residential mortgage insurance and credit enhancement products. For more information. (PR Newswire)
Epcor, Genworth Stock Sales May Signal Rebound for Canada IPOs, Kloet Says May 19, 2009
Genworth, the Richmond, Virginia-based life insurer and mortgage guarantor that failed to qualify for U.S. aid, said this month it plans to pursue a minority IPO of its Canadian mortgage insurance business. Differences in Canada. (Bloomberg -- Canada)
Teaching Homeowners the Importance of DTI Ratios May 18, 2009
Note: Private mortgage insurance (PMI) payments fall outside this calculation under President Obama s guidelines. Calculating the Back-End DTI Ratio To calculate the back-end DTI ratio, instruct homeowners to total their monthly debt payments, including. (RealtyTimes)
MGIC pursues new operating strategy May 15, 2009
The company has held discussions with U.S. Treasury officials since October 2008, and now the entire private mortgage insurance industry and the Federal Housing Finance Agency are lobbying the Treasury, he said. Culver acknowledged a very difficult environment for the past two years in MGIC s business, and said the mortgage insurance industry has been a ground zero for economic trends related to residential real estate. (Milwaukee Business Journal, WI)
Genworth Financial Announces Results of Annual Meeting May 14, 2009
Genworth operates through three segments: Retirement and Protection, U.S. Mortgage Insurance and International. Its products and services are offered through financial intermediaries, advisors, independent distributors and sales specialists. (PR Newswire)
PMI Reaches Agreement With Lender Group on the Terms of an Amendment and Restatement of Revolving Credit Facility May 9, 2009
Conditions precedent to the effectiveness of the Amended Agreement include the sale to the Company by PMI Mortgage Insurance Co. ("PMI") of the contingent note (the "Note") received by PMI in connection with the sale of PMI Australia, the termination of the existing pledge to the lenders of the capital stock of PMI, the pledge by the Company to the lenders of the Note, and the Company's repayment of its borrowing under the facility to $125 million ... Through its wholly and partially owned... (PR Newswire)
5 costs of buying a home you didn't consider May 8, 2009
If your down payment is less than 20 percent, however, you generally need to pay for mortgage insurance. This could cost $100 or more a month depending on the nature of your loan. (MSNBC -- Business)
NAR Supports HUD Funding in 2010 Budget May 8, 2009
FHA continues to fund its programs by the mortgage insurance premiums it collects. The president s fiscal year 2010 budget shows that FHA continues to operate without requiring a credit subsidy. (Realtor Magazine Online)
Fitch downgrades United Guaranty unit May 7, 2009
While United Guaranty still has the capital support it needs for now, the ratings agency said, Fitch believes that the announced restructuring reduces the level of support for (United Guaranty) and raises uncertainty as to AIG s strategic intent with respect to the U.S. mortgage insurance operations. Reader Comments. (Business Journal of the Greater Triad Area)
Radian loses $217M in 1Q May 6, 2009
Mortgage Insurer said Tuesday it suffered a $217 million first-quarter loss primarily caused by losses on derivatives and a continued increase in mortgage insurance defaults ... First quarter mortgage insurance claims paid were below expectations at $152 million for first liens and $88 million for second liens ... Second-quarter mortgage insurance claims paid are expected to be approximately $300 million. (Philadelphia Business Journal, PA)
Real Estate Records, 5/3 May 3, 2009
Genworth Mortgage Insurance Corp. to Browning, Justin J., 6015 N.W. 12th St., 144,600. Giese, Jeremy R. and Kristen A., to Schmale, Bryan C. and Emily A., 6335 Seward Ave., 215,000. (Beatrice Daily Sun, NE)
Clearing up financial misconceptions May 3, 2009
Myth: You need private mortgage insurance to buy a home. Whether new buyers must add this insurance depends on the lender and size of the down payment. (AZCentral -- Business)
Opportunity knocks homebuyer fairs May 1, 2009
MassHousing home loans include unique benefits such as MassHousing s MI Plus mortgage insurance, which will help pay the borrower s mortgage for up to six months in the event of a job loss. The Opportunity Knocks homebuyer fairs will be held at the following location closest to Brown s district from 10 a.m. to 4 p.m. on Saturday, May 9. (Wellesley Townsman, MA)
25 comments Apr 30, 2009
Because they all are in cahoots to not only choose our medical care for us, own the mortgage insurance and finance businesses, and place caps on corporate earnings but also control our educational choices for our children. Our Founders' educational philosophy seems to me to be the charter of a true American system of education. (Human Events Online)
Home prices don't decline as much Apr 29, 2009
Half the troubled mortgages have second loans, given by lenders to help buyers avoid mortgage insurance and reduce their down payments. The second loans make it harder to modify first loans, because more parties are involved, and the home may still be unaffordable even if a first loan is changed, the administration says. (USA Today -- Money)
Off the bat: Apr 20, 2009
The Australian Financial Review reports that a Storm adviser offered the autographed cricket bat in 2007 in order to waive the cost of mortgage insurance for Symonds ... The Storm adviser negotiating the deal then reportedly offered to throw in a signed cricket bat if the bank waived the mortgage insurance payment. (Sydney Morning Herald)
Mortgage Insurance Contributing to Foreclosure Epidemic? Apr 20, 2009
Realty Times - Mortgage Insurance Contributing to Foreclosure Epidemic ... Mortgage Insurance Contributing to Foreclosure Epidemic ... Unfortunately, in many cases, another factor comes into play mortgage insurance. (RealtyTimes)
PMI Expands Access to e-PMI(R) Ordering System Apr 18, 2009
April 17 /PRNewswire/ -- PMI Mortgage Insurance Co. (PMI) today announced that its secure and easy-to-use e-PMI(R) online mortgage insurance ordering system now accepts mortgage insurance submissions from all lenders. Previously, only lenders with delegated authority to underwrite the mortgage insurance themselves benefited from the electronic ordering process ... By taking the mortgage insurance ordering process fully online, lenders enjoy fast and efficient web-based transactions. (PR Newswire)
Help for Financially Strapped Canadian Homeowners Apr 14, 2009
Genworth Financial Canada, which along with CMHC offers mortgage insurance, has also stepped up its existing Homeowner Assistance Program. CMHC has a long tradition of offering mortgage tools to lenders to help them assist homeowners whose financial circumstances have changed, says CMHC vice-president of insurance underwriting Mark McInnis. (RealtyTimes)
Shiller: How to Avoid a Home Loan Wipeout Apr 14, 2009
That solution is mortgage insurance. Im very glad that the administration is doing this, because I think its the core problem that hasnt been addressed, Shiller says. (Newsmax)
Pa. Federal Judge Dismisses Subprime Securities Class Action Apr 14, 2009
Radian, which provides mortgage insurance and other financial products to financial institutions, held a 46 percent interest in a company called Credit-Based Asset Servicing and Securitization. Plaintiffs lawyers from alleged that in the first eight months of 2007, the defendants made false and misleading statements about C-BASS's profitability and liquidity, thus misrepresenting the value of Radian's investment in C-BASS. Specifically, the plaintiffs asserted that Radian should have written... (Law.com)
New reverse mortgage opens options for seniors Apr 13, 2009
Because it is an FHA program, buyers must pay 2 percent of the property's appraised value - up to the maximum value of $625,500 - as a premium for federal mortgage insurance. That fee is on top of the normal closing costs. (San Francisco Chronicle)
Is Doing the Right Thing Wrong? Apr 12, 2009
1% loan to value and 105% loan to value without paying mortgage insurance. If they currently have mortgage insurance they would, unfortunately, have to continue paying for the insurance ... For those who do not understand mortgage insurance, it is for loans greater than 80% loan to value. (Townhall.com)
Fremont Bank lends $800 million in home mortgages Apr 11, 2009
The Obama Administration s Home Affordability Program allows millions of Americans to refinance mortgages up to 105 percent of the value of their homes without mortgage insurance. Fremont Bank has stepped-up and helped thousands of homeowners capitalize on the low mortgage interest rates by streamlining loans to qualified clients, said Gary De Luca, Fremont Bank s vice president of residential lending. (San Jose Business Journal, CA)
Genworth Will Not Participate in the U.S. Capital Purchase Program Apr 10, 2009
Genworth operates through three segments: Retirement and Protection, U.S. Mortgage Insurance and International ... Risks relating to the company's International segment, including political and economic instability, foreign exchange rate fluctuations, unexpected changes in unemployment rates, unexpected increases in mortgage insurance default rates or severity of defaults, decreases in the volume of high loan-to-value international mortgage originations, increased competition with... (PR Newswire)
Haggerty announces run for alderman-at-large seat Apr 9, 2009
Recent home buyers are paying Personal Mortgage Insurance (PMI) longer and folks who bought their home three or four years ago find themselves owing more to the bank than their home is worth. A difficult real estate market negatively affects our city and all of its home owners. (Woburn Advocate, MA)
Overview of FHA Loans Apr 8, 2009
The aim of FHA mortgage insurance was to increase the number of American homeowners by helping more people qualify for mortgage loans. In recent decades, private mortgage insurance (PMI) has become a lot more common. (Suite101.com)
A Harmonized Crush of the Housing Market Apr 7, 2009
Palmer explains that the tax increase also affects closing costs for new and resale properties, including legal fees, real estate commissions, home inspection fees, title insurance, and mortgage insurance premiums when the down payment is less than 25% down. Harmonization will result in an additional CAD$2,000 in closing costs on a CAD$360,000 sale, the average in Greater Toronto. (RealtyTimes)
Hold on to your home Apr 6, 2009
"A lot of people think mortgage insurance protects them but it only protects the bank," he says. That means control is passed to a "faceless man in an office tower who doesn't know the borrower and doesn't want to". (Sydney Morning Herald -- Business)
Quicken Loans Shares Last-Minute Tax Tips with Homeowners -- New Video Provides Homeowners Tax Tips About Often Overlooked Tax Deductions Apr 5, 2009
Livonia, Mich (PRWEB) April 5, 2009 -- Many homeowners fail to take the basic deductions Uncle Sam gives them, such as mortgage interest, property taxes and, beginning last year, Private Mortgage Insurance (PMI) ... PMI - Thanks to a law passed in 2007, Private Mortgage Insurance (PMI) is now tax deductible for many. (Yahoo News -- Press Releases)
Builders tempt buyers with unemployment mortgage insurance Apr 3, 2009
Local Search Site Search. THIS STORY HAS BEEN FORMATTED FOR EASY PRINTING. (Boston Globe)
Hill Testimony: FHA Key to Housing Rebound Apr 3, 2009
NAR pledged to continue to work for FHA reforms that will ensure the continued success, availability and safety of FHA mortgage insurance programs. Source: NAR. (Realtor Magazine Online)
Government may prop up federal loan program Apr 3, 2009
WASHINGTON - The Obama administration soon may be forced to subsidize the government's mortgage insurance program with taxpayer dollars as economic troubles cause defaults and foreclosures to surge ... 5 percent, compared with 20 percent for a typical loan that doesn't require mortgage insurance. (MSNBC -- Politics)
FHA program strained by record loan defaults Apr 3, 2009
88 percent in Mortgage Bankers Association data - has eroded FHA's mortgage insurance fund, which has fallen by almost half to $12. 9 billion from $21 billion, Donohue said. (Boston Globe)
Consumer loan delinquencies highest on record in Q4 Apr 3, 2009
Separately, data show that the number of troubled loans backed by the government's mortgage insurance program is on the rise as economic problems mount, and lawmakers are worried that taxpayers will be stuck with the final bill ... 5%, compared with 20% for a typical loan that doesn't require mortgage insurance. (USA Today -- Money)
Study: Memphis housing market is one of most stable Apr 2, 2009
PMI Mortgage Insurance (NYSE: PMI) compares home price appreciation, employment, affordability, excess housing supply, interest rates and foreclosure activity to determine the probability of a housing market s values decreasing in two years ... PMI Mortgage Insurance s first quarter economic real estate trends report projects the U.S. recession may continue to depress housing prices through the end of 2010. (Memphis Business Journal, TN)
Consequences of 1950s White Flight Apr 2, 2009
The law guaranteed mortgage insurance and expanded the FHA, a New Deal agency created in 1934. Capitalizing on federal and local government s subsidizing of suburbs, men like William Levitt enthusiastically developed suburban communities that were within easy access to city jobs. (Suite101.com)
Charlotte cited for home-price stability Apr 2, 2009
California-based PMI (NYSE:PMI) markets residential mortgage insurance and credit-enhancement products. Reader Comments. (Charlotte Business Journal, NC)
Tewksbury bank announces mortgage program for veterans Apr 1, 2009
The program includes mortgage insurance that will pay a veteran s monthly mortgage payment for up to six months in the event he or she becomes unemployed or is deployed on active duty ... MassHousing s MI Plus mortgage insurance is included, which will pay the principal and interest on a veteran s mortgage for up to six months in the event of a job loss or deployment. (Tewksbury Advocate, MA)
Home sale tangled in web of complications Mar 29, 2009
Such insurance allows home buyers to get low down payment mortgages by protecting (lenders) from a major portion of the financial risk of default, according to the Mortgage Insurance Companies of America. Angered by the companys demand that she agree to pay $25,000 or else, Shulley refused. (The Herald-Mail Online)
Billions for infrastructure has Miller beaming Mar 28, 2009
Closing costs - including home inspection, legal fees, mortgage insurance premiums, title insurance and real estate commission - will be subject to the full 13 per cent for new and resale homes. "We've been hit over the head yet again with more taxes," said Toronto Real Estate Board spokesman Von Palmer, noting buyers of a typical $360,000 resale property will face an additional $2,037 in taxes when the new levy comes into force July 1, 2010. (Globe and Mail -- National)
Ask AP: Pitched baseball speeds, grocery prices Mar 27, 2009
Many of the home loans made during the housing boom were intentionally structured to avoid private mortgage insurance, which protects the lender in the event you run into trouble ... Still, the mortgage insurance industry hasn't escaped the pain. (San Francisco Chronicle -- Politics)
'I have tremendous faith ... it will get done' Mar 24, 2009
That was, Central Mortgage [Canada Mortgage and Housing Corp.] could have tightened up the conditions on which it would give mortgage insurance. And since banks can only give high-ratio loans if they have mortgage insurance, you could have begun to deal with that asset bubble as it built. (Globe and Mail -- Business)
Real-estate exec nominated to head FHA Mar 24, 2009
5 percent, compared with 20 percent for a typical loan that doesn't require mortgage insurance. Stevens is currently president and chief operating officer of Long and Foster Cos. (MSNBC -- Politics)
Interest in home remodeling is building Mar 21, 2009
So new appraisals required for loans block some would-be borrowers from getting new loans, or force them to pay extra for mortgage insurance that can add $1,000 or more to annual costs. The line of credit that was there two years ago for a homeowner to borrow against is gone, Sinisgalli said. (Atlanta Journal-Constitution -- Business)
United Guaranty sues Countrywide Mar 21, 2009
The Greensboro-based United Guaranty, like other mortgage insurance providers, has been hit hard by losses because it insures lenders against defaults by borrowers, which have shot up. As a result, the industry has increased its focus on identifying potentially fraudulent loans for which the companies may not be held to their guarantee. (Triad Business Journal, NC)
AIG, Countrywide in Legal Feud Over Subprime Loans Mar 21, 2009
United Guaranty provides mortgage insurance, which covers lenders in case a borrower defaults on a loan. United Guaranty said in its court papers that unlike the traditional use of mortgage insurance, used to facilitate home purchases by responsible borrowers, Countrywide wanted coverage to increase the credit rating of its mortgage-backed securities offerings. (ABC News -- Wire)
PMI Comments on Fitch's Ratings Action Mar 20, 2009
Through its wholly and partially owned subsidiaries, PMI offers residential mortgage insurance and credit enhancement products ... Such factors include, among others, potential significant future losses as a result of negative economic and market conditions; our expectation that we will need to raise capital, which may be necessary in 2009; the risk that we may not timely or satisfactorily agree with lenders to amend financial covenants and events of default under our credit facility; the risk... (PR Newswire)
Freddie Mac: Government's New Black Hole? Mar 19, 2009
"Freddie's portfolio of mortgage insurance is more risky than the market was led to believe," says Paul Miller, an analyst at FBR Capital Markets. Sister company Fannie Mae lost even more last year, with $58. (Time.com)
Devil in detail of CBA's mortgage freeze Mar 18, 2009
For the most part, mortgage insurance arrangements stand to cover missed payments. As the nation's biggest retail bank, and with the largest exposure to the housing market, Commonwealth Bank is the most sensitive to rising rates of unemployment. (Sydney Morning Herald -- Business)
Family loan easily beats out doing a refi Mar 16, 2009
Sunday, March 15, 2009. Q: I am looking into refinancing my Texas home from a 5/1 adjustable-rate mortgage to a fixed rate. (San Francisco Chronicle -- Business)
Fannie, Freddie broaden refinance help Mar 16, 2009
Both companies also are suspending their standard rules requiring purchase of private mortgage insurance coverage when borrowers' equity stakes are less than 20 percent. If loans carried mortgage insurance coverage when Fannie or Freddie first acquired them, that coverage will remain in force. (San Francisco Chronicle -- Business)
How To Avoid Mortgage PMI Mar 15, 2009
All You Need Know About Private Mortgage Insurance or PMI. Private Mortgage Insurance (PMI) is not for the homeowner ... If you purchase a home with a conventional mortgage and you don't want to pay more than 5% down, you will be required to add mortgage insurance premium payments to your monthly PITI payments. (Suite101.com)
S&P cuts ratings on MGIC to at risk Mar 14, 2009
These negative factors are offset partially by MGIC s significant claims-paying resources and Standard & Poor s belief that the current difficulties will improve the long-term fundamentals of the mortgage insurance industry. Standard & Poor s also lowered its counterparty credit and financial strength ratings on MGIC Investment s U.S. subsidiaries and to BB from A. (Milwaukee Business Journal, WI)
A Zero Down Mortgage Not Well Known Mar 13, 2009
The 2% is for the guarantee fee, which enables you to not have to pay mortgage insurance, or PMI monthly payments. This way you can take advantage of the low 30 year rates USDA offers, as good or better than conventional rates. (Suite101.com)
Investor Report: Refinancings Mar 13, 2009
Two additional, positive details to be aware of: Your credit score WON'T be a problem because Fannie and Freddie have agreed to waive their usual minimums, and you WON'T have to pay for new mortgage insurance. Published: March 13, 2009. (RealtyTimes)
Fitch places MGIC on negative watch Mar 13, 2009
On Wednesday, the Milwaukee-based mortgage insurer (NYSE: MTG) announced the deferral, which Fitch said Thursday is an indicator of the increasing financial pressure facing the company and the mortgage insurance sector as a whole. MGIC said it sent a notice to the undisclosed holder of the 9 percent convertible junior subordinated debentures due in 2063 that MGIC will defer paying interest until April 1, 2019. (Milwaukee Business Journal, WI)
Freddie Mac Seeks More Aid, Says Dividends to U.S. May Bury Future Profits Mar 12, 2009
The Obama administration on March 4 said a program using Fannie and Freddie to refinance as many as 5 million loans would have the companies buy mortgages on properties that have less than 20 percent equity without requiring new appraisals or additional mortgage insurance. Down the Road. (Bloomberg -- US)
Lock in Mortgage Rate Before It's Too Late: Jane Bryant Quinn Mar 12, 2009
Another cost is private mortgage insurance, which you need if you put less than 20 percent down ... Mortgage insurance is scarce for buyers who want to put only 5 percent down ... You pay an upfront mortgage insurance premium of 1. (Bloomberg -- Columnists)
More homeowners seeing Fed's aid Mar 12, 2009
Below 20 percent, you face paying extra for private mortgage insurance. On the cusp and think prices will keep ebbing. (AZCentral -- Business)
Mortgages That Survived The Credit Crunch Mar 12, 2009
"They are much more lenient (compared to conforming Fannie Mae and Freddie Mac mortgages) on how they look at credit scores. The score can be in the 600s vs. 700s, said Cheryl O'Connor, a finance expert with O'Connor Consulting in Danville, CA. FHA features include: As little as 3 percent down. Financed closing costs. A 1 percent (of the mortgage) ceiling on the amount lenders can charge for closing costs. No prepayment penalties. Relaxed debt-to-income requirements. FHA-approved lenders only.... (RealtyTimes)
Real Time blog Mar 12, 2009
Lower mortgage insurance premiums ... One downside: Even if you make a 50 percent down payment on an FHA loan, you still have to pay for mortgage insurance. (The Palm Beach Post)
Radian's share price increase Mar 11, 2009
If the company is inflicted with more losses in its mortgage insurance portfolio without an increase in capital, it could be limited in its ability to write new insurance policies. Radian (NYSE:RDN) of Philadelphia saw its stock price increase by 23 percent to $1. (Philadelphia Business Journal, PA)
