The financial services industry has cheered a proposed reduction in the corporate tax rate, but a lower rate could force Fannie Mae and Freddie Mac to write down assets, increasing the odds that the companies will need Treasury support.
Brian Montgomery seems on his way to being confirmed to lead the Federal Housing Administration. But once he gets there, he may find it difficult to be as innovative as he was during his first stint as commissioner — particularly when it comes to reducing FHA premiums.
Conforming loan limits for mortgages bought by Fannie Mae and Freddie Mac will increase for the second consecutive year in response to the rapid rise in home prices, the Federal Housing Finance Agency said.
OMB Director Mick Mulvaney said he would "fix" the CFPB by ensuring it protected consumers without cutting off access to financial services. His comments came as a federal judge declined to rule yet on the legality of Mulvaney's appointment.
HomeStreet's CEO said mortgage expansion and bank acquisitions — concerns highlighted recently by Blue Lion Capital — are helping the company diversify.
A lawsuit by CFPB Deputy Director Leandra English against the Trump administration is expected to challenge Mulvaney's appointment on two counts: that the president would directly control an independent agency and that it violates the succession plans laid out in the Dodd-Frank Act.
The Michigan company, which lost more than $1.4 billion in the aftermath of the financial crisis, is trying to become more of a commercial lender. It recent agreement to buy a deposit-rich franchise in California could help it get there.