Mortech Blog


Lori Christenson

Recent Posts

Loan Limit Increases Announced for Second Consecutive Year

Posted by Lori Christenson on Dec 6, 2017 11:34:55 AM

Right around December 1st of every year, the mortgage industry waits patiently to find out if the conforming loan limits will be adjusted.  For many years, this date was much less significant. That was the case up until last year when the loan limits increased for the first time since the economic crisis. This year we were prepared for the change as the Federal Housing Finance Agency (FHFA) announced increases in all but 71 counties.

Read More

CFPB Promotes Technology

Posted by Lori Christenson on Aug 17, 2015 2:00:00 PM

Recently, the Consumer Financial Protection Bureau (CFPB) has been promoting technology within the mortgage loan process and how it can improve the consumer experience by providing the consumer with a better understanding of the transaction. In a pilot released earlier this month, the CFPB focused on eClosings and how this option should continue to be utilized, particularly after the implementation of Know Before You Owe on October 3rd. The pilot conducted by the CFPB found that consumers were more familiar with the closing documents by the time the transaction was ready to close and the time spent at the closing table was decreased. By utilizing the eClosing option, consumers were more educated on the process and had more time to review closing documentation with the entire process being more efficient.

Read More

Industry Bands Together For Official TRID Hold-Harmless Period

Posted by Lori Christenson on Aug 5, 2015 1:06:11 PM

As we continue to keep an eye on the ever-changing requirements set forth by TRID, many in the real estate industry are happy with the two-month extension of the rule, but are still looking for an official hold-harmless period for enforcement.  The finalization of the extension has been announced by the CFPB, along with technical corrections of two provisions. The official enforcement date is now October 3rd, 2015 with the delay attributed to an administrative error that would have delayed the effected date by two weeks. The CFPB decided the delay would place the effective date right around the time students would be re-entering school, and decided a two-month delay would ensure a more smooth transition for the industry. The effective date was then moved again to October 3, 2105 to give the industry the weekend to test their updated systems.

Read More

First-Time Homebuyers Not Riskier, Just Young and Inexperienced

Posted by Lori Christenson on Jul 15, 2015 1:54:00 PM

First-time homebuyer mortgages have a history of performing worse than repeat homebuyer mortgages, according to a FHFA working paper written by Saty Patrabansh, The Marginal Effect of First-Time Homebuyer Status on Mortgage Default and Prepayment. Earlier studies regarding first-time homebuyers focused on FHA mortgages, but this paper was based on data from Fannie Mae and Freddie Mac.

Read More

Proposal to Delay TRID Again

Posted by Lori Christenson on Jul 8, 2015 11:52:00 AM

The Consumer Financial Protection Bureau (CFPB) has issued its formal proposal to change to effective date of the TILA/RESPA Integrated Disclosure (TRID) rule to October 3, 2015. 


The implementation date had been moved due to an administrative error that would cause the implementation date to be postponed by 2 weeks.  The date was pushed another 2 months to allow for a smoother transition to the new rule.  The new implementation date was originally reported as October 1st but has been moved once again to be implemented on a Saturday, like the original implementation date.  This is to allow industry to launch new systems configurations and to allow for time to test systems.


Read More

CFPB Proposes Delay on TRID Implementation

Posted by Lori Christenson on Jul 1, 2015 12:21:00 PM

The Consumer Financial Protection Bureau (CFPB) has announced a proposed delay in the implementation date of TRID and the Know Before You Owe rule, moving the effective date to October 1, 2015. According to a statement by Director Richard Cordray, “we made this decision to correct an administrative error that we just discovered in meeting the requirements under federal law, which would have delayed the effective date of the rule by two weeks. We further believe that the additional time included in the proposed effective date would better accommodate the interest of the man consumers and providers whose families will be busy with the transition to the new school year at that time.” The proposal will be open for comment with a final decision to immediately follow.

Read More

Vague Grace Period for Enforcement of TRID is Granted

Posted by Lori Christenson on Jun 17, 2015 12:06:00 PM

The industry may now breathe a little easier when it comes to the Consumer Financial Protection Bureau (CFPB) enforcement of the TILA/RESPA Integrated Disclosure Rule, which was finalized in November 2013.  CFPB Director Richard Cordray sent a letter to members of Congress stating the CFPB “will be sensitive to the progress made by those entities that have squarely focused on making good-faith efforts to come into compliance with the Rule on time.” 

Read More

CFPB's 2015 Agenda

Posted by Lori Christenson on Jun 3, 2015 12:20:00 PM

As a part of the federal government’s Unified Agenda of Regulatory and Deregulatory Actions, the Consumer Financial Protection Bureau (CFPB) is required to publish a semi-annual update of their rulemaking agenda.  Below are the major initiatives that will be addressed this year in the mortgage industry:

Read More

CFPB Releases Reminder for Lenders about Public Assistance

Posted by Lori Christenson on May 20, 2015 1:52:00 PM

The Consumer Protection Financial Bureau (CFPB) is reminding lenders that not accepting public assistance income is a violation of the Equal Credit Opportunity Act (ECOA) and its implementing regulation, Regulation B.  The Equal Credit Opportunity Act states that a creditor cannot discriminate against an applicant because of income from public assistance.  The lender is not allowed to exclude or refuse vouchers from the Section 8 Housing Choice Voucher (HCV) Homeownership program as a source of income when approving a borrower. 

Read More

Proposed Changes to the S.A.F.E. Act

Posted by Lori Christenson on May 13, 2015 12:58:00 PM

H.R. 2121 has been introduced in the House of Representatives, and subsequently referred to the House Committee on Financial Services, to amend the Secure and Fair Enforcement for Mortgage Licensing Act of 2008 (S.A.F.E. Act). The proposed amendment, sponsored by Representative Steve Stivers (R-OH), would amend the S.A.F.E. Act to include an additional subsection referring to employment transition.  If passed, it would allow a Nationwide Mortgage Licensing System and Registry (NMLS) registered loan originator a temporary license, good for a 120-day period, for those moving between financial institutions or to another state.

Read More