MMag Interest Rate Markets May 15, 2008

• Philadelphia Fed`s Survey of Professional Forecasters Focuses on House Prices
The Federal Reserve Bank of Philadelphia released its Survey of Professional Forecasters today, which provides projections on a broad range of macroeconomic variables, including economic growth, inflation, and employment. -- Federal Reserve Bank of Philadelphia,Marilyn Wimp,Philadelphia PA 05/15/2008

• CCH White Paper Details Subprime Crisis, Wider Effects
CCH, part of Wolters Kluwer Law & Business, has published a white paper, http://business.cch.com/bankingfinance/focus/news/Subprime_WP_rev.pdf The Subprime Lending Crisis: Causes and Effects of the Mortgage Meltdown, by CCH Banking Law Analyst Katalina M. Bianco, JD. Wolters Kluwer Law & Business is a leading provider of research information and software solutions in key specialty areas for legal and business professionals. -- CCH, a Wolters Kluwer business,Neil Allen,Riverwoods IL 05/14/2008

• Bankrate: Fixed Mortgage Rates Steady While Adjustable Rates Fall
Fixed mortgage rates were largely unchanged this week. The average conforming 30-year fixed mortgage rate backtracked to 6.13 percent, according to Bankrate.com's weekly national survey of large lenders. The average 30-year fixed mortgage has an average of 0.40 discount and origination points. -- BankRate.com,Kayleen Keneally,North Palm Beach Florida 05/14/2008

• Realtors(R), Housing and Finance Experts Address Mortgage Crisis
With the goal of helping more families keep their homes rather than lose them to foreclosure, Federal Housing Administration Commissioner Brian Montgomery, Office of Federal Housing Enterprise Oversight Director James Lockhart and Harvard University Director and former House Financial Services Chairman Jim Leach addressed a crowd of more than 400 Realtors(R) at the National Association of Realtors(R) Midyear Legislative Meeting & Trade Expo today. -- National Association of Realtors®,Walter Molony,WASHINGTON, 05/14/2008

• Mortgage Applications Increase In Latest MBA Weekly Survey
The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending May 9, 2008. The Market Composite Index, a measure of mortgage loan application volume, was 674.4, an increase of 2.9 percent on a seasonally adjusted basis from 655.4 one week earlier. On an unadjusted basis, the Index increased 2.9 percent compared with the previous week and was down 1.1 percent compared with the same week one year earlier. -- Mortgage Bankers Association of America,Sarah Tinsley,Washington District of Columbia 05/14/2008

• A New Movement Toward Thrift: Leaders Launch Campaign to Confront the Debt Culture
A diverse coalition of leaders will launch a national campaign -- with a groundbreaking report, three new books, and artifact exhibit -- on Tuesday, May 13th at a conference in Washington, D.C. entitled `Confronting the Debt Culture` (www.newthrift.org). The Institute for American Values, New America Foundation, Demos, Institute for Advanced Studies in Culture, Public Agenda, and others, will release a new report, `For a New Thrift: Confronting the Debt Culture,` which proposes 5 major objectives and 19 specific initiatives to address today`s debt crisis and promote a new thrift culture that would promote savings and sustainability. -- Institute for American Values,Sheila Weber,,Washington 05/13/2008

• Statewide Coalition Testifies on Support of Governor Paterson`s Bill to Address New York State Foreclosure Crisis
At a New York State Senate Banks Committee hearing today, members of New Yorkers for Responsible Lending (NYRL) stated their strong support for Governor Paterson`s legislation to address New York`s foreclosure crisis. -- New Yorkers For Responsible Lending,Josh Zinner,New York NY 05/13/2008

• Charles Dumas Says the Time of Reckoning Has Come for China and America
Two years ago Charles Dumas foretold an economic crisis. He was right. Now, in the timely sequel to the prophetic Bill from the China Shop, he outlines alternative reckonings: devastating economic consequences or another path to greater global prosperity¡ -- Lombard Street Research:,Charles Dumas,Hong Kong 05/13/2008

• Commercial/Multifamily Originations Volume Hit Record in 2007 Despite Mid-year Slowdown
The commercial/multifamily originations market grew 19 percent in 2007, with mortgage bankers closing $507.7 billion in commercial/multifamily loans according the Mortgage Bankers Association's 2007 Commercial Real Estate/Multifamily Finance: Annual Origination Volume Summation. Increases were seen across most property types and most investor groups, and were led by increases in loans for office buildings and loans intended for commercial mortgage-backed security (CMBS), collateralized debt obligations (CDO) and other asset-backed security (ABS) conduits. Intermediated loan volume grew 15 percent between 2006 and 2007 -- Mortgage Bankers Association of America,Jason Vasquez,Washington District of Columbia 05/13/2008

• SNL Financial Releases Annual Performance Ranking of Top Thrifts
Washington Federal edges out Severn and Hudson City to top this year`s list -- SNL Financial,Adrienne Costello,Charlottesville Virginia 05/13/2008

• Grant America Program Approved by HUD
The only government grant program to be reviewed and approved for use in conjunction with FHA loans. -- Global Direct Sales, LLC,Scott Nash,Indian Island Maine 05/08/2008

• Mortgage Applications Decrease In Latest MBA Weekly Survey
The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending April 25, 2008. The Market Composite Index, a measure of mortgage loan application volume, was 567.0, a decrease of 11.1 percent on a seasonally adjusted basis from 637.6 one week earlier. On an unadjusted basis, the Index decreased 10.2 percent compared with the previous week and was down 14.2 percent compared with the same week one year earlier. -- Mortgage Bankers Association of America,Sarah Tinsley,Washington District of Columbia 05/01/2008

• ICBA Urges Quick Passage of First-Time Homebuyer Tax Credit
Washington, D.C. With new data showing home prices and sales continuing to plummet, the Independent Community Bankers of America (ICBA) urged Congress to quickly pass a first-time homebuyer tax credit as part of the pending economic stimulus legislation advancing in Congress. In March, the year-over-year median home price declined by the largest amount in nearly four decades, while home sales plunged to a 16-1/2 year low. -- The Independent Community Bankers of America,Bill Grassano,Washington dc 04/25/2008

• Home Appraisal Rules May Negatively Affect Consumers
Proposed home appraisal rules will drive up costs for homeowners and limit their choices -- CMPS Institute,Josephine Nicholas, 04/24/2008

• MBA and CMSA Oppose Creating Different Credit Rating Process for Structured Securities
The Mortgage Bankers Association (MBA) and the Commercial Mortgage Securities Association (CMSA) joined with the Real Estate Roundtable and the National Association of Realtors® to send a letter to Senate Banking Committee Chairman Christopher Dodd and Ranking Member Richard Shelby opposing proposals to differentiate between ratings for structured finance products and ratings for other asset classes, such as corporate and municipal bonds. The letter, sent to Senators Dodd and Shelby today, in advance of a Senate Banking Committee hearing tomorrow on Turmoil in U.S. Credit Markets: The Role of the Credit Rating Agencies, warns that differentiating between ratings would only serve to further erode investor confidence and threaten an already fragile economy. -- Mortgage Bankers Association of America,John Mechem,Washington District of Columbia 04/23/2008

• Mortgage Applications Decrease In Latest MBA Weekly Survey
The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending April 18, 2008. The Market Composite Index, a measure of mortgage loan application volume, was 637.6, a decrease of 14.2 percent on a seasonally adjusted basis from 743.4 one week earlier. On an unadjusted basis, the Index decreased 13.4 percent compared with the previous week and was down 3.2 percent compared with the same week one year earlier. -- Mortgage Bankers Association of America,Carolyn Kemp,Washington District of Columbia 04/23/2008

• Senate Banking Committee Chairman Discusses Industry Concerns on Rating Agency Reforms with SEC Chairman
The Senate Banking Committee yesterday held a hearing to discuss turmoil in the U.S. credit markets and the role of the credit rating agencies. During questioning with Chairman Christopher Cox of the Securities and Exchange Commission, Senate Banking Committee Chairman Dodd raised concerns regarding a proposal to provide a separate rating category for structured securities and referenced an April 21, 2008 joint letter from the Mortgage Bankers Association (MBA), the Commercial Mortgage Securities Association (CMSA), and The Real Estate Roundtable warning that differentiating between ratings would only serve to further erode investor confidence and threaten an already fragile economy. During this exchange, Chairman Cox indicated that the SEC will actively solicit industry comments for rating agency regulatory changes during the public comment period for new regulations, which are anticipated to be released in the summer/fall 2008. -- Mortgage Bankers Association of America,Jason Vasquez,Washington District of Columbia 04/23/2008

• Real Interest Rates Hit -12.55% As Inflation Explodes
Mike Larson examines what real interest rates are and what they mean for the economy. In this issue of Money and Markets, Mr. Larson takes a closer look at the real and nominal interest rates and how they can affect the economy. -- Weiss Research, Inc.,Mike Larson,Jupiter Fl 04/21/2008

• Bankrate: Inflation Concerns Nudge Mortgage Rates Higher
Fixed mortgage rates continue to hopscotch back and forth over the 6 percent threshold, with the average conforming 30-year fixed mortgage rate rising to 6.03 percent this week. According to Bankrate.com's weekly national survey of large lenders, the average 30-year fixed mortgage has an average of 0.31 discount and origination points. -- BankRate.com,Kayleen Keneally,North Palm Beach Florida 04/17/2008

• REFIs, FHA Lead Increase In Latest MBA Weekly Survey
The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending April 11, 2008. The Market Composite Index, a measure of mortgage loan application volume, was 743.4, an increase of 2.5 percent on a seasonally adjusted basis from 725.6 one week earlier. On an unadjusted basis, the Index increased 2.7 percent compared with the previous week and was up 16.4 percent compared with the same week one year earlier. -- Mortgage Bankers Association of America,Sarah Tinsley,Washington District of Columbia 04/17/2008

• Foreclosure Shorts
-- Bill Draving Company, Inc.,Bill Draving,San Antonio Texas 04/15/2008

• Fed’s Dangerous Mortgage Rules Harmful to Consumers
What every home owner and buyer needs to know about the Fed’s mortgage proposals -- CMPS Institute,Josephine Nicholas,Ann Arbor Mi 04/11/2008

• MBA Applauds Senate Passage of Housing Stimulus Legislation
Kieran P. Quinn, CMB, Chairman of the Mortgage Bankers Association today issued the following statement following the Senate's passage of housing stimulus legislation. -- Mortgage Bankers Association of America,John Ferber,Washington District of Columbia 04/11/2008

• MBA Issues Comments on Proposed HOEPA Rule
The Mortgage Bankers Association today filed comments with the Federal Reserve in response to the Board's proposed rule to amend Regulation Z under the Truth in Lending Act (TILA) and the Home Ownership and Equity Protection Act (HOEPA). In its comments, MBA commended the Board for its thoughtfulness and offered recommendations on how the proposed rule can be improved to better protect consumers without causing decreased credit availability and increased consumer costs. -- Mortgage Bankers Association of America,John Mechem,Washington District of Columbia 04/10/2008

• Mortgage Applications Increase In Latest MBA Weekly Survey
The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending April 4, 2008. The Market Composite Index, a measure of mortgage loan application volume, was 725.6, an increase of 5.4 percent on a seasonally adjusted basis from 688.3 one week earlier. On an unadjusted basis, the Index increased 5.7 percent compared with the previous week and was up 10.9 percent compared with the same week one year earlier. -- Mortgage Bankers Association of America,Sarah Tinsley,Washington District of Columbia 04/10/2008

• MBA's Kittle Testifies on FHA's Role in Current Mortgage Market
David G. Kittle, CMB, Vice Chairman of the Mortgage Bankers Association (MBA) and President of Principle Wholesale Lending, Inc. of Louisville, KY testified today before the Senate Appropriations Subcommittee on Transportation, Housing and Urban Development and Related Agencies. In his testimony, Mr. Kittle discussed the important role the Federal Housing Authority (FHA) will play in the current mortgage market turmoil. -- Mortgage Bankers Association of America,John Mechem,Washington District of Columbia 04/10/2008