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Welcome to DSNews.com—delivering stories, ideas, links, companies, people, events, and videos impacting the mortgage default servicing industry. Tue Feb 09, 2010
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Mortgage Investors Push for Principal Writedowns

Mortgage principal – to cut or not to cut – has grabbed a fair share of the media spotlight in recent weeks, with a number of experts plugging principal reduction as a practicable means of ensuring homeowners don’t redefault on their modified loan.

While lenders are often prohibited from trimming the principal by agreements with investors, one such group, representing holders of some $100 billion in mortgage securities, is lobbying Congress to enact legislation that addresses the problem of underwater mortgages by reducing the debt.


Defaults on FHA Loans Surpass 9%

Even with improvements beginning to peek through the debris of the housing crisis, mortgage defaults continue to rise at an incredible rate, and the story is no different for the federal government’s mortgage insurance agency.

The latest numbers from the Federal Housing Administration (FHA) show that loans at least 90 days past due hit 9.12 percent at the end of 2009. That figure is up from 6.82 percent one year earlier. Foreclosures also soared 41 percent, but short sales as a means of avoiding foreclosures outpaced even that figure, increasing 140 percent.


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No One's Immune from the Downturn

MBA has agreed to sell its D.C. headquarters, after finding itself underwater on the mortgage. Read More


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REO

Lowers & Associates (L&A), an independent provider of risk management and loss prevention services to the financial services sector, recently announced its new commercial mortgage asset management (CMAM), workout, and lo ... read more

Loss Mitigation

Low interest rates have pushed more Americans to refinance their mortgages, and the Federal Housing Administration has announced enhanced refinance guidelines to assist homeowners facing foreclosure. As a result, banks a ... read more

Technology

ISGN Corporation has added a new Invoice Processing System (IPS) to its LenStar technology, a Web-based attorney and referral communication system for the default management market. The company says the new solution allo ... read more

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