Improving FHA Foreclosure Processes

first_img conveyance Federal Housing Administration FHA Fines and Penalties Foreclosure REO Servicing 2018-03-03 David Wharton Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago About Author: David Wharton Improving FHA Foreclosure Processes The Best Markets For Residential Property Investors 2 days ago Home / Daily Dose / Improving FHA Foreclosure Processes Demand Propels Home Prices Upward 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago in Daily Dose, Featured, Foreclosure, Government, Headlines, Journal, News, REO, Servicing Data Provider Black Knight to Acquire Top of Mind 2 days ago Share Save  Print This Postcenter_img Sign up for DS News Daily Demand Propels Home Prices Upward 2 days ago Tagged with: conveyance Federal Housing Administration FHA Fines and Penalties Foreclosure REO Servicing The Week Ahead: Nearing the Forbearance Exit 2 days ago Related Articles Servicers Navigate the Post-Pandemic World 2 days ago The Best Markets For Residential Property Investors 2 days ago Previous: The Best and Worst States for Property Taxes Next: Tiny Homes Could Help the Homeless Data Provider Black Knight to Acquire Top of Mind 2 days ago A new brief released by the Urban Institute explores ways to improve Federal Housing Administration (FHA) foreclosure timelines and conveyance processes so as to drive down costs and make things more efficient. The brief is the third in a series produced by the Mortgage Servicing Collaborative (MSC), convened by the Housing Finance Policy Center at the Urban Institute.This latest brief delves into the costs associated with servicing non-performing FHA loans, including the expenses related to both foreclosures and conveyance of the properties to HUD. The brief hinges on two notions: 1) discovering whether servicing non-performing FHA loans is more expensive than servicing non-performing GSE loans, and 2) discovering whether the FHA’s current foreclosure and conveyance processes create extra expenses.The study found that, indeed, foreclosing on FHA loans is “orders of magnitude more expensive than servicing loans backed by the GSEs”—three times as expensive, in fact, on average, as reported by servicers. The brief targets two major causes for these increased expenses: 1) “an inflexible foreclosure timeline and penalty system that does not improve outcomes,” and 2) “a property conveyance process that slows down resolution, which causes properties to remain vacant longer, which can adversely affect neighborhoods and increase maintenance and repair costs.”One of the primary drivers of these costs is the “interim penalties associated with failure to meet the FHA’s milestones in the foreclosure timelines,” according to data from MSC servicer members. According to the Urban brief’s data analyzed for 2015 and 2016 FHA claims, “43 percent of insurance claims received an interest curtailment penalty because of missed first legal action or reasonable diligence milestones.” As the Urban brief points out, the GSEs “ use milestones to track progress toward foreclosure, but missing a milestone in and of itself does not trigger a penalty.”The brief also found the FHA fees themselves to be “onerous.” According to the data, “the average first legal interest curtailment for loans that missed this deadline was $5,360 per loan, roughly 3 percent of an average FHA loan amount of $175,000.”Urban’s research also found high penalties when it came to conveyance. According to cited MSC servicer data, “the average per loan property preservation cost for FHA properties that were conveyed was $8,819, compared with $2,113 for nonconveyance routes.” For conveyance liquidations, surveyed servicers reported an average property preservation loss of $4,179. This works out to “ a loss rate of 47 percent on the $8,819 in expenses.”Urban’s brief recommends that the FHA change its foreclosure timelines to enact penalties and timelines that are more closely aligned with actual delays in the process. They suggest these changes could be enacted through a simple administrative rule change. They also recommend expanding the availability of conveyance alternatives and exploring other possibilities to improve the process.You can read the full Urban Institute brief by clicking here. March 3, 2018 3,751 Views Subscribelast_img read more

Editorial: Overcompensated Coal Executives Have Broken Trust With Employees

first_imgEditorial: Overcompensated Coal Executives Have Broken Trust With Employees FacebookTwitterLinkedInEmailPrint分享From the Casper (Wyo.) Star Tribune:Once, it was true that if you worked hard enough for a long enough time, your dedication would be rewarded. You earned your salary, and your benefits were there when you needed them.That’s no longer the case – at least not at America’s biggest coal companies, several of which have significant operations here in Wyoming.Almost 500 people who toiled for years at mines owned by Arch Coal and Peabody Energy were recently laid off. It would be easy to blame this on the dwindling demand for coal and other market factors.But that’s not the full story. While Wyoming coal country trembled, fearful of the industry’s future and its own, these producers’ CEOs and other executives profited richly.Alpha Natural Resources, Arch and Peabody paid their management teams $186 million in stock awards, incentives and other forms of compensation between 2012 and 2014. All three companies have since filed for bankruptcy protection – and their struggles are tied to the decisions of the executives, who in 2011 rushed to acquire mines to capitalize on strong demand for metallurgical coal. Critics say this was foolish, that these expensive executives should have known they were walking into a metallurgical market near its height.Soon enough, though, it appeared that they did know what would happen: “The behavior of these executives seems to me pretty outrageous. They could see the handwriting on the wall,” Gary Hufbauer, a senior fellow at the Peterson Institute for International Economics in Washington, D.C., told the Star-Tribune. “The numbers are there. They started paying themselves out way back in 2012 or early 2013 when the numbers were turning.”And those payments appear to have contributed to the severity of layoffs. For example, Alpha wants to slash retiree benefits for about 4,580 nonunion miners and their spouses. The would save roughly $3 million annually, or about 14 percent of the $20.8 million Alpha paid its management in 2014.Not as well-insulated were the Wyomingites who worked at the mines. Hundreds of households that depended on these once-reliable jobs are looking desperately for help and rethinking their futures. But the effects of the companies’ actions don’t stop at these miners or their communities. They will ripple across Wyoming, straining the resources of the state, its municipalities and its charities.Wyoming is in the process of diversifying its economy, and part of that should include looking for companies that prioritize all hardworking employees, not just the executives.Employment does have to adapt to some degree to the economic climate. As demand for coal dwindles, it makes sense that employment at mines would, too. But none of this should happen while management benefits so richly.These executives should have demonstrated good corporate citizenship by placing the needs of their hardworking employees ahead of their own desire for financial gain.But because they didn’t, Wyomingites are working to make sure these families have enough to eat and safe places to live. After that, the state’s network of resources, such as community colleges, are left to find ways to offer job-training opportunities, so the miners can redirect or reinvent their careers.The companies’ decisions have also served to break the trust miners once enjoyed with their employers. When companies did well, everyone prospered. Employees believed they had built a solid foundation of trust with their employers. That’s why it was all the more shocking when that foundation crumbled.A government watchdog agency and a group of former Alpha executives agrees. The U.S. Trustee, a division of the Justice Department, filed an objection earlier this year to Alpha’s plan to reward executives while recording steep losses and seeking to cut retiree benefits. Meanwhile, former Alpha CEO Michael Quillen, who is protesting the proposal with a group of other former executives, told the Star-Tribune the plan does not represent “the values the company was built on.”It also doesn’t represent the values the American dream was built on. As Wyoming continues to diversify its economy, it should look to welcome companies who know that success is built on the work of many people — not just those at the top.Full editorial: Editorial board: Coal payouts turn American dream upside downlast_img read more

It’s now or never for a third of traditional financial institutions

first_img ShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr continue reading » With most of the world’s economies showing clear signs of being in the late phase of the economic cycle, many traditional financial institutions are facing a critical juncture. Whether a recession or a prolonged stagnant period is in the cards, banks and credit unions can anticipate pressure on earnings and increasing risk due to continued pressure on margins and decreasing loan demand.Even under current conditions nearly three in five (60%) of financial institutions worldwide studied by McKinsey generate returns below their cost of equity. Further, more than a third (35%) are considered “challenged,” according to McKinsey’s analysis. Not by the usual reason of poor credit quality, but by their weak competitive situation shaped by geography, scale, differentiation and business model.What makes this scenario different from past economic cycles is that the normal pressures of a downturn are being compounded by the increasing threat posed by nonbank competition, both from fintech firms and big technology companies.last_img read more

New opportunities for women to improve world rankings

first_img11 Jan 2017 New opportunities for women to improve world rankings Women golfers playing in top English scratch events will have new opportunities to improve their world ranking in 2017. Existing 36-hole scratch events have been paired up to create five 72-hole tournaments and competitors will receive World Amateur Golf Ranking (WAGR) points. The timings and dates of the existing 36-hole events will not change, but a leaderboard will be created to show overall results for the paired tournaments. Rebecca Hembrough, the England Golf Women’s Performance Manager, said: “We are working hard to increase competitive opportunities for women and girl players in England and this is great news. All the clubs are fully supportive and equally as excited as us about the initiative.” The five 72-hole events for 2017 are: Comboy Leveret – Comboy Scratch at Delamere Forest, Cheshire, on 26 March; and The Leveret at Formby Ladies’, Lancashire, on 1 April. The Gold Rose – Roehampton Gold Cup at Roehampton, Surrey, on 1 April; and the Hampshire Rose at North Hants, Hampshire, on 9 April. Critchley Astor – the Critchley Salver at Sunningdale, Surrey, on 23 May; and the Astor Salver at The Berkshire on 7 June. Frilford Jackson – Frilford Heath Scratch, Frilford Heath, Oxfordshire on 2 June; and Bridget Jackson Bowl, Handsworth, Warwickshire on 4 July. Birkdale Putter – Pleasington Putter, Pleasington, Lancashire on 12 July; and Royal Birkdale Scratch, Royal Birkdale, Lancashire, on 25 August. Caption: Alison Hewson is England’s highest ranked player at 27th in the world (image © Leaderboard Photography).last_img read more

Westport Winery And Friday Harbor House Host Winemaker’s Dinner

first_imgFacebook3Tweet0Pin0 The Bluff Restaurant at the Friday Harbor House Resort is holding a winemaker’s dinner on Saturday, October 27 at 6 p.m. featuring Westport Winery, the 2012 Washington Winery to Watch. The winery’s co-owners Kim and Blain Roberts along with their son and winemaker Dana Roberts will be hosting this extravaganza. The Bluff’s chef Kyle Nicholson and sous chef Aaron Rock have created the menu around some of the winery’s current and future releases.For the first course the chefs will offer raw Pacific oysters on a sea bean fennel salad with tarragon mignonette caviar paired with Fleur de Lis Pinot Gris (2011). This will be followed by pan-seared Alaskan weathervane scallops on a Meyer lemon potato puree with local nori dust and chili oil paired with Going Coastal, the winery’s sparkling Gewurztraminer (2011). An intermezzo with cardamom bitters granita and cilantro iced tea will be accompanied by Shiver Me Timbers, a late harvest Riesling with passion, orange and guava. This fourth course features butternut squash ravioli and truffled house-made ricotta with hazelnut pesto and frizzled leeks paired with Smoky Nor’wester, the winery’s 2010 Sangiovese. The main course offers crispy duck breast with roasted tomato jam, carrot puree, and a chocolate demi paired with Swimmer’s Last Syrah (2010). This special evening will end with grilled local plum and almond financier alongside a Quail Croft chevre mousse served with Maritime Moscato (2011).San Juan Island is one of Washington state’s top destinations and well-known for its gorgeous fall weather. This is a rare and exciting opportunity to experience the island, the resort, an amazing dinner and some of your favorite wines, all in one place. The cost to attend this dinner is $80 per person. The resort has rooms available at a special rate to guests who wish to stay on property. For more information or reservations contact Brian Carlson at 360.378.8455 or via email at [email protected] Westport Winery is open daily from 11a.m. to 6p.m., with lunch from 11a.m. to 4 p.m. daily, and dinner to 8 p.m. on Friday and Saturday evenings. Westport Winery is located on the corner of Highway 105 and South Arbor Road. The Bluff Restaurant at Friday Harbor House Resort is open for dinner Wednesday through Sunday from 5 p.m. to 9 p.m. in the winter.last_img read more