MBA Annual Recap

Updates from GSEs

Ginnie

-	Revised their Risk Based Capital Requirements for their issuers and is extending the required implementation date to 2024
-	Review of Ginnie-Mae “RG” pools. These are re-securitizations of previously delinquent loans which were repurchased from their original pools during the pandemic. Loans in these “RG” pools are unmodified, keeping the original rate and term of the mortgage note.

Fannie/Freddie

Current and immediate future focus will be on

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Risk Management, in all aspects

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Liquidity

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Diversity in leadership

2023 initiatives

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Evaluate existing forbearance and foreclosure prevention programs for their current day relevance

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Develop diversity and equity projects to bridge the existing gaps

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Research viability of adding non-traditional income underwriting methods for conventional use (i.e. cashflow/bank statement)

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Focused review of Special Purpose Credit Programs submitted by individual lenders for purchase as well as development and roll out of Fannie/Freddie specific pilot SPCPs in 6 cities across country

FHFA

Announced their decision to discontinue use of the current FICO score and intent to begin utilizing the FICO 10-T and Vantage Score 4.0 which will take non-traditional debt payments into account (rent, utilities, etc.) Also moving from a tri-merge credit report requirement to accepting bi-merge reports.

Making pricing changes for super-conforming and 2nd home loans

Update from HUD