Category Archives: Servicing

PHH laying off more employees in New York

Given the headlines of late, it may be easy to forget that PHH Mortgage Corp’s landmark battle with the Consumer Financial Protection Bureau isn’t the only issue the company is facing.

The company is also in the middle of significant shift in its business, necessitated by substantial changes in its mortgage servicing operations.

Included among those changes was the August announcement that HSBC Bank planned sell the mortgage servicing rights on approximately 139,000 mortgage loans currently subserviced by PHH, on behalf of HSBC.

HSBC’s decision led to layoffs in PHH’s workforce in Amherst, New York in September, but according to a new report from the Buffalo News, PHH is preparing to layoff more employees in Amherst later this year.

Here are the details, from Buffalo News reporter Matt Glynn:

PHH Mortgage Corp. will lay off 69 employees in Amherst at the end of June and then exit the Wehrle Drive building it leases.

This is the third wave of layoffs the company has announced since last September. At the end of June, PHH will have about 30 employees left in the region. Those workers will telecommute, said Dico Akseraylian, a spokesman.

Article source: http://www.housingwire.com/articles/39638-phh-laying-off-more-employees-in-new-york

[CHARTS] Notably fewer rejections for mortgage refis as credit profiles improve

Although rejection rates for mortgage refinances dropped in last months of 2016 and beginning of 2017, consumers are also more discouraged about applying, a study from the Federal Reserve Bank of New York showed.

The rejection rate for those who applied for refis dropped from 23.6% in October 2016 to 10.8% in February, according to the Survey of Consumer Expectations Credit Access Survey. During that same period, the application rate fell slightly from 13.6% to 12.4%.

The drop could be due to the rising interest rates, which continue to discourage homeowners from refinancing.

This chart shows the change over time. While rejection rates had been climbing, October through February saw a drop as more applicants were accepted.

Click to Enlarge

NY Fed

(Source: New York Fed SCE)

The SCE Credit Access Survey queries respondents every four months about their experiences and expectations of applying for and obtaining credit. The SCE is a nationally representative, internet-based survey of a rotating panel of approximately 1,200 household heads. The survey is conducted on our behalf by The Demand Institute, a non-profit organization jointly operated by The Conference Board and Nielsen.

However, for mortgage purchase applications, the rejection rate continued to increase, rising to 13.3%, up from October’s 13% and following a year-long trend of increases. The application rate dipped slightly to 6.8%, down from October’s 7.6%.

Click to Enlarge

NY Fed

(Source: New York Fed SCE)

But for those that are refinancing, those ages 41 to 59 dropped to the least likely to apply for a refi with an application rate of 10.7%. This is down from having the highest application rate for refis in October at 18.3%.

Baby boomers, on the other hand, increased their market share once again as the application rate among those 60 or older rose to 14.7%, up from 7.7% in October.

Click to Enlarge

NY Fed

(Source: New York Fed SCE)

Perhaps also due to the rising in refinance applications among the older generation and the drop in younger generations, applications among lower FICO scores dropped significantly. For those with a FICO score 680 or lower, refi applications dropped from 15.5% in October to 7.1% in February.

Click to Enlarge

NY Fed

(Source: New York Fed SCE)

Article source: http://www.housingwire.com/articles/39619-charts-notably-fewer-rejections-for-mortgage-refis-as-credit-profiles-improve

Auction.com names Ali Haralson executive vice president of client management

Servicing industry veteran Ali Haralson has been named as Auction.com’s new executive vice president of client management. In her new role, Haralson will oversee growing market share for Auction.com while assisting the company’s clients better mitigate the risks associated with distressed assets, leading to improved financial outcomes and a reduction in the neighborhood blight.

Haralson, who has more than 20 years of experience in servicing, most recently served as the chief operations officer and a co-founder of Specialized Loan Servicing. Her prior experience also includes serving as senior vice president of loan administration for Olympus Servicing. Haralson will be based out of Auction.com’s Irvine, CA headquarters.

“Auction.com is committed to leveraging the power of the internet to provide our clients with access to a global, online marketplace that has transformed how real estate is bought and sold,” said Jason Allnutt, Auction.com’s general manager. “Our success is dependent on our ability to provide exceptional service and performance to our clients and that begins with having a talented, dynamic staff in place. I believe that Ali exemplifies those characteristics and we are excited to welcome her wealth of experience and leadership to our team.”

Ali-Haralson-Photo

Article source: http://www.housingwire.com/articles/39626-auctioncom-names-ali-haralson-executive-vice-president-of-client-management

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