Ocwen Financial has agreed to pay $150 million to New York regulators to settle allegations that it fudged foreclosure documents; its founder and, executive chairman, William Erbey is also stepping down.
She spent more than 20 years at Fannie Mae, most recently as head of the single-family credit guaranty business.
The $352.7-million J.P. Morgan Seasoned Mortgage Trust 2014-1 is backed by prime loans originated from 2004 to 2007 by pre-BofA Merrill. A strength includes high quality borrowers, a weakness is that the were all interest-only for first ten years - amortization will bump up payments.
Cantor Fitzgerald hired Gary Wang and Karl Partch as managing directors in whole loan sales and trading. The hires reemphasize Cantors place in the whole loan trading space.
The new policies cover a combined maximum of approximately $155 million of losses for a portion of the credit risk associated with a pool of single-family loans acquired in the third quarter of 2013.
Regulation AB governs registration, reporting and disclosure requirements for all things asset-backed. The Securities and Exchange Commission appears to be ready to update it significantly, but, nearly four years after changes were originally proposed, its not clear exactly what the Commission will do.
Concern is mounting among investors and analysts that Nationstar, Ocwen Financial and Walter Investment are getting so big so quickly that they are becoming too difficult to manage.
The proposal would introduce dissemination of trade prices for securities ranging from highly liquid credit card and auto ABS to smaller and more esoteric deals in asset classes such as time shares, to commercial mortgage-backed securities (CMBS) and highly structured CDOs and collateralized loan obligations.
Overall issuance growth will moderate in 2014, Fitch Ratings' managing director for asset backed securities says in the firm's outlook.
The servicer has a reputation for aggressively writing down principal, often multiple times.
Vice President of Regulatory Compliance
Firm: Clayton Holdings
In the news: How Ability-to-Repay Rules Could Reshape RMBS Market
Unlike their existing risk-sharing programs, which have drawn $12.5 billion of private capital into the mortgage market by referencing $454 billion of mortgages since their July 2013 inception, some of the latest deals transfer the first loss sustained when a homeowner stops making payments.Current Issue