Safeguard Properties

Rodney E. Hood Announced as Acting Comptroller of the Currency

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Industry Update
February 7, 2025

Source: Office of the Comptroller of the Currency

The U.S. Department of the Treasury announced the appointment of Rodney E. Hood as Acting Comptroller of the Currency, effective February 10, 2025. U.S. Secretary of the Treasury Scott Bessent designated Mr. Hood pursuant to his authority in 12 U.S.C. 4.

“I am grateful for the trust of Secretary Bessent and will work diligently to promote a regulatory environment that is effective without being excessive,” said Mr. Hood. “I remain committed to a balanced framework—one that fosters innovation, expands financial inclusion, and ensures that all Americans have fair access to the financial services they need to thrive. I look forward to leading the dedicated career staff at the OCC, whose expertise and commitment are essential to maintaining a safe and sound banking system.”

Mr. Hood succeeds Acting Comptroller Michael J. Hsu, who has served in the role since May 10, 2021.

“I thank Mr. Hsu for his many years of dedicated public service and his commitment to strengthening the resilience of the U.S. banking system,” said Mr. Hood.

Mr. Hood was previously confirmed by the U.S. Senate in 2005 and again in 2019 to serve on the National Credit Union Administration Board (NCUA). In 2019, President Donald J. Trump designated him as Chairman of the NCUA Board, making Hood the first African American to lead a federal banking regulatory agency. While at the NCUA, Hood also served as a voting member of the Financial Stability Oversight Council, as the NeighborWorks America Board Chairman, and as Vice Chairman of the Federal Financial Institutions Examination Council.

Before public service, Mr. Hood held senior roles in retail finance, commercial banking, affordable housing, and community development in the private sector.

A North Carolina native, Mr. Hood holds a bachelor’s degree from the University of North Carolina at Chapel Hill.

 

For full report, please click the source link above.

 

Fannie and Freddie: Single Family Serious Delinquency Rates Increased in December

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Industry Update
February 4, 2025

Source: CalculatedRisk Newsletter

Freddie Mac reported that the Single-Family serious delinquency rate in December was 0.59%, up from 0.56% November. Freddie’s rate is up year-over-year from 0.55% in December 2023, however, this is below the pre-pandemic level of 0.60%.

Freddie’s serious delinquency rate peaked in February 2010 at 4.20% following the housing bubble and peaked at 3.17% in August 2020 during the pandemic.

Fannie Mae reported that the Single-Family serious delinquency rate in December was 0.56%, up from 0.53% in November. The serious delinquency rate is up year-over-year from 0.55% in December 2023, however, this is below the pre-pandemic lows of 0.65%.

The Fannie Mae serious delinquency rate peaked in February 2010 at 5.59% following the housing bubble and peaked at 3.32% in August 2020 during the pandemic.

These are mortgage loans that are “three monthly payments or more past due or in foreclosure”. Mortgages in forbearance are being counted as delinquent in this monthly report but are not reported to the credit bureaus.

For Fannie, by vintage, for loans made in 2004 or earlier (1% of portfolio), 1.47% are seriously delinquent (up from 1.44% the previous month).

For loans made in 2005 through 2008 (1% of portfolio), 2.08% are seriously delinquent (down from 2.09%).

For recent loans, originated in 2009 through 2023 (98% of portfolio), 0.51% are seriously delinquent (up from 0.48%). So, Fannie is still working through a handful of poor performing loans from the bubble years.

 

For full report, please click the source link above.

 

Mortgage Delinquencies Increase in the Fourth Quarter of 2024

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Industry Update
February 6, 2025

Source: Mortgage Bankers Association

The delinquency rate for mortgage loans on one-to-four-unit residential properties increased to a seasonally adjusted rate of 3.98 percent of all loans outstanding at the end of the fourth quarter of 2024, according to the Mortgage Bankers Association’s (MBA) National Delinquency Survey.

The delinquency rate was up 6 basis points from the third quarter of 2024 and up 10 basis points from one year ago. The percentage of loans on which foreclosure actions were started in the fourth quarter rose by 1 basis point to 0.15 percent.

“Although mortgage delinquencies rose only ten basis points in the fourth quarter of 2024 compared to one year ago, the composition of the delinquencies changed,” said Marina Walsh, CMB, MBA’s Vice President of Industry Analysis. “Conventional delinquencies remain near historical lows, but FHA and VA delinquencies are increasing at a faster pace. By the end of the fourth quarter, the spread between the FHA and conventional delinquency rates reached 841 basis points, while the VA and conventional spread was 208 basis points.”

Added Walsh, “Government loans are also rolling to later stages of delinquency. Compared to one year ago, the seriously delinquent rate rose seventy basis points for FHA loans and fifty-seven basis points for VA loans, but only two basis points for conventional loans.”

According to Walsh, while the labor market remains relatively strong and often tracks with mortgage performance, some of today’s headwinds include inflationary pressures, lower personal savings rates, natural disasters, increasing consumer debt, higher tax and insurance payments, and higher debt-to-income ratios. All of these factors may be impacting government borrowers to a greater extent than conventional borrowers.

 

For full report, please click the source link above.

 

Freddie Mac Announces 2024 SHARP Award Winners

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Industry Update
February 4, 2025

Source: Freddie Mac

Freddie Mac announced the nine winners of its 2024 Servicer Honors and Rewards Program (SHARP)SM, which annually recognizes mortgage loan Servicers for quality servicing, risk management and sustainable homeownership resulting in superior portfolio performance. The winners represent outstanding customer service and positive efforts to prevent and alleviate loan delinquencies. Rankings are automatically determined based on performance relative to other Servicers in each of the three rank groups.

“We’re proud to recognize and celebrate the success and outstanding work undertaken by this year’s SHARP winners,” said Mike Reynolds, Freddie Mac Single-Family Head of Servicing. “We thank our Servicers for their continued, steadfast dedication to homeowners in need of mortgage relief, including those impacted by hardships from natural disasters in the last year.”

2024 SHARP Award Winners:

Clients servicing 200,000 or more Freddie Mac mortgages

  • Gold: Mr. Cooper
  • Silver: PennyMac Corporation (sub-serviced by PennyMac Loan Services, LLC)
  • Bronze: Onslow Bay Financial LLC (sub-serviced by PHH Mortgage Corporation, LoanCare, LLC, Mr. Cooper and Flagstar Bank, National Association)

Clients servicing between 75,000 and 199,999 Freddie Mac mortgages

  • Gold: Marlin Mortgage Capital, LLC (sub-serviced by Mr. Cooper, Valon Mortgage, Inc and ServiceMac, LLC)
  • Silver: CrossCountry Mortgage, LLC (sub-serviced by Mr. Cooper)
  • Bronze: Provident Funding Associates, L.P.

Clients servicing between 20,000 and 74,999 Freddie Mac mortgages

  • Gold: Pingora Loan Servicing, LLC (sub-serviced by Mr. Cooper and Flagstar Bank, National Association)
  • Silver: MSR Asset Vehicle LLC (sub-serviced by PHH Mortgage Corporation)
  • Bronze: Union Savings Bank

SHARP is a rewards program based on the client’s Servicer Success Scorecard ranking. Servicers that have more than 20,000 Freddie Mac master-serviced loans are automatically enrolled in SHARP, which provides performance incentives through rewards and recognition.

 

For full report, please click the source link above.

 

Scott Turner Confirmed as Secretary of Housing and Urban Development

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Industry Update
February 5, 2025

Source: U.S. Department of Housing and Urban Development

Scott Turner was confirmed by the United States Senate to be the 19th Secretary of the U.S. Department of Housing and Urban Development (HUD). Secretary Turner was confirmed by a bipartisan vote of 55-44 and sworn in by Associate Justice of the United States Supreme Court, the Honorable Clarence Thomas.

“I am honored and humbled to serve the American people and the Trump Administration as Secretary of Housing and Urban Development,” Secretary Turner said. “On President Trump’s first day in office, he signed an executive order to lower the cost of housing and expand housing supply. As Secretary, I will lead the department in furthering these priorities.

“The path ahead of us presents an opportunity to restore HUD to its core mission of supporting strong and sustainable communities and quality, affordable homes — serving our nation’s most vulnerable. We must reduce burdensome regulations to make homeownership easier while unleashing prosperity that has been stifled in communities across the country for far too long. Housing goes beyond the four walls of a home; it helps build thriving communities and is the foundation of the American Dream.

“God blessed us with this great nation, and together, we can increase self-sufficiency and empower Americans to climb the economic ladder toward a brighter future.”

On January 16, 2025, Secretary Turner testified before the United States Senate Committee on Banking, Housing, and Urban Affairs. His full testimony can be found here.

Secretary Turner was confirmed by the United States Senate on February 5, 2025, to be the 19th Secretary of the U.S. Department of Housing and Urban Development (HUD). Secretary Turner previously led the White House Opportunity and Revitalization Council (WHORC), driving the Opportunity Zones Initiative. He also served as an Associate Pastor at Prestonwood Baptist Church, Founder and CEO of the Community Engagement & Opportunity Council, and a housing development executive at JPI. A lifelong Texan, Turner represented the 33rd District in the Texas State Legislature and played nine seasons in the National Football League (NFL).

 

For full report, please click the source link above.

 

Trump Names Treasury Secretary Scott Bessent Acting Director of CFPB

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Industry Update
February 3, 2025

Source: NBC New York

President Donald Trump has made Treasury Secretary Scott Bessent the acting director of the Consumer Financial Protection Bureau after firing former head Rohit Chopra over the weekend.

Bessent, a former hedge fund manager who was confirmed as head of the U.S. Treasury last week, will presumably lead the CFPB until a permanent pick is named.

“I look forward to working with the CFPB to advance President Trump’s agenda to lower costs for the American people and accelerate economic growth,” Bessent said in a CFPB statement released Monday.

Chopra, who was appointed by former President Joe Biden in 2021, was often at loggerheads with the U.S. banking industry after pushing to drastically rein in practices around credit card late fees and overdraft fees, among many other efforts. Trade groups representing banks fought these regulations in court, fending off rules that would’ve saved Americans billions of dollars in fees, but that the industry called poorly considered or unjustified.

Banking groups had expected Chopra to be fired as soon as Trump’s inauguration day, but Chopra remained on for nearly two weeks into Trump’s second term, continuing to fire off releases and weighing in on hot-button topics including whether banks unfairly closed accounts.

It wasn’t until Feb. 1 that Chopra confirmed he was stepping down from the agency. While Chopra’s term was scheduled to run for roughly another two years, a 2020 Supreme Court ruling gave the president the power to fire the agency’s head at will.

In a letter to Trump posted to social media platform X, Chopra said that he saw a path for the next CFPB leader to enact “meaningful reforms,” including a possible cap on credit card interest rates.

The CFPB was created in the aftermath of the 2008 global financial crisis, which was caused in part by banks’ irresponsible lending and securitization practices.

But the agency has since been targeted by trade groups who unsuccessfully argued that the CFPB’s funding violated the U.S. Constitution, and more recently by conservative figures including X owner and Trump advisor Elon Musk, who has called for the closure of the CFPB.

The Consumer Bankers Association said Monday it was “pleased” at Bessent’s appointment at the CFPB, and that Bessent should take steps to reverse “partisan policies” made under Chopra.

“We’re hopeful that Secretary Bessent will take into account the real-world ramifications regulations have on America’s leading banks, the millions of consumers they serve, and the economy as a whole,” said CBA President Lindsey Johnson.

 

For full report, please click the source link above.

 

Mortgage Delinquencies Basically Flat in December but Foreclosure Starts Jumped

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Industry Update
January 27, 2025

Source: Mortgage Orb

The national mortgage delinquency rate stood at 3.72% in December, a decrease of 0.60% compared with November but up 4.02% compared with December 2023, according to ICE Mortgage Technology’s latest First Look report.

As of the end of the month, there were about 2.016 million mortgages 30 days or more past due but not in foreclosure, a decrease of about 11,000 compared with the previous month but up 108,000 compared with a year ago.

Early-stage delinquencies were down about 3.6% in December compared with November,  while serious delinquencies continued their slow climb – up 5.7% compared to the previous month.

There were about 541,000 loans in serious delinquency, according to the report, an increase of about 29,000 compared with November and an increase of about 66,000 compared with December 2023.

There were about 31,000 foreclosure starts in December, a jump of 50% compared with November and up nearly 30% from a year ago.

The foreclosure pre-sale inventory rate was 0.35%, an increase of 3.72% compared with the month prior and down nearly 11% compared with a year ago.

As of the end of the month, there were about 192,000 properties in the foreclosure pipeline, an increase of about 7,000 compared with the previous month and down about 20,000 compared with a year earlier.

The monthly pre-payment rate was about 0.63%, down 8.43% – on rising rates – compared with November but up about 71% compared with December 2023.

 

For full report, please click the source link above.

 

Genessee County Land Bank Celebrates 1,000 Demolitions in 2024

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One Community Update
January 1, 2025

Source: www.abc12.com

The Genesee County Land Bank marked two decades of work in revitalizing vacant and underused property in 2024.

The agency is Michigan’s first land bank, originally founded in 2002 as the Genesee County Land Reutilization Council. Two years later, it became the Genesee County Land Bank, embarking on a mission to tackle blight.

Michael Freeman, the land bank’s executive director, emphasized the organization’s commitment to recovery and renewal.

“While we have lived in crisis, we’re coming out of that. We always have to be mindful of that. We can and will be better,” he said.

In the past year alone, Freeman said the land bank has made significant strides, demolishing or initiating the demolition of over 1,000 blighted structures.

“These are properties that when people left our community, they didn’t take them with them,” Freeman said, highlighting the importance of addressing these neglected sites.

According to the land bank’s annual report, 9,000 blighted structures have been demolished and $165 million has been secured for blight elimination over the last 20 years. More than 10,000 properties have been sold for reuse.

However, Freeman acknowledged the growing challenges for the land bank to continue demolishing and rehabilitating vacant structures.

“Now the cost of materials and labor has gone up exponentially, so that is what we are dealing with,” he said. “That is one of the big challenges.”

The land bank’s community-focused approach includes programs like Clean & Green, which has engaged over 800 volunteers in revitalization efforts.

“We are there to support neighborhoods,” Freeman said. “They have great dreams and a lot of passion for their communities. We want to be there and support them.”

Looking ahead, the land bank remains dedicated to reducing blight, with funding for demolition projects extending through 2026. Freeman expressed enthusiasm about the future.

“It’s the putting back, which I am more excited about,” he said. “But we do have to get rid of the blight first. That is one of the most critical things.”

As the real estate market and economy evolve, Freeman sees new opportunities for the land bank to contribute to housing solutions amid Michigan’s ongoing housing crisis.

“In the new year, we hope to address the best way to use the cleaned-up and now vacant lots,” he said.

The land bank also has plans for various types of multi-family housing and innovative preventative measures. However, Freeman also stressed the need for a comprehensive approach to address blight.

“What we are up against is that while we deal with the public side of blight, we need to create systems to hold people accountable on the private side to improve their properties and not just let them sit and languish,” he said.

Land bank crews will continue cleaning up illegal dumping sites in 2025. This is part of a three-year effort funded by the Centers for Disease Control and Prevention, which has led to the first robust study of illegal dumping nationwide.

As the Genesee County Land Bank celebrates its 20th anniversary, its leaders remain committed to fostering a vibrant and sustainable community, ensuring that the lessons of the past pave the way for a brighter future.

 

For full report, please click the source link above.

Monroe County Addresses Housing Issues with Creation of Land Bank

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One Community Update
January 22, 2025

Source: Rochester Business Journal

Monroe County will use $1 million in federal American Rescue Fund Act funding to create a land bank.

The Monroe County Land Bank Corp. (MCLBC) will work to eliminate unsafe conditions caused by vacant and abandoned properties while creating affordable homeownership in the 29 suburban and rural communities within the county.

Through the MCLBC, distressed properties will be acquired, rehabilitated and then sold.

“Vacant properties diminish the quality of life in our neighborhoods, posing risks to public safety, health and housing stability,” County Executive Adam Bello said in a news release.

Kevin Purcell, senior attorney at Empire Justice Center, has been named chair of the Monroe County Land Bank.

“Across New York State, land banks have proven to be a valuable resource to address vacant homes that have fallen into disrepair,” Purcell said. “The Monroe County Land Bank can and will play a role in helping return some of these properties back into productive use and therefore help alleviate the housing shortage our community faces.”

There are 29 land banks in the state, including the Rochester Land Bank Corp.

“Suburban and rural communities have long desired assistance with zombie properties, which pose significant health and safety risks to neighborhoods,” County Legislature president Yversha Roman said.

“The create of the Monroe County Land Bank is an innovative and practical way to resolve aspects of the housing supply shortage and affordability by rehabilitating abandoned properties and providing potential first-time homeowners access to quality properties without the significant financial hindrances they would experience elsewhere.”

 

For full report, please click the source link above.

Over $1.3 Million Awarded to Build and Rehab Homes, Tear Down Others in Allegany County

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One Community Update
January 24, 2025

Source: The Evening Tribune

The Allegany County Land Bank now has more financial resources than ever before in its quest to improve the local housing stock.

The Lank Bank has been awarded a $1.365 million grant from New York State Homes and Community Renewal (HCR), the non-profit announced Thursday.

The grant will be used to enhance the local housing stock, eliminate blight through strategic demolitions, and partner with local organizations to create affordable housing for residents. The grant marks the largest award the Allegany County Land Bank has ever received through the state’s Land Bank Initiative Program.

Jason Isaman, Executive Director of the Allegany County Land Bank, said the grant represents a “significant investment” in the county.

“This award allows us to make even greater strides in eliminating blight, stabilizing neighborhoods, and creating long-term housing solutions in collaboration with our local partners,” Isaman said in a release. “The impact of this funding will be felt throughout Allegany County for years to come.”

How Land Bank funding will be used in Allegany County

The non-profit said the funding from the Land Bank Initiative Program will be utilized to further three goals in Allegany County:

Remove blight through strategic demolitions, targeting unsafe and abandoned buildings that negatively affect the community.

Support local housing partners, including Friendship Revitalization and Economic Development, Andover Historic Preservation Corp, and Genesee Valley Habitat for Humanity, to rehabilitate and redevelop properties for affordable, attainable housing.

Strengthen local housing stock, making homes more stable, accessible, and sustainable for families across Allegany County.

What is the grant’s impact on Allegany County housing?

Allegany County Land Bank is dedicated to revitalizing vacant, abandoned, and tax-delinquent properties in Allegany County. It works with local partners to stabilize homes for rehabilitation, remove blight, and promote the creation of affordable housing options.

The Land Bank netted two earlier grants that supported the stabilization of homes for rehabilitation and the demolition of dilapidated properties, including one in Almond this winter.

The $1.365 million grant is nearly three times bigger than the Land Bank’s previous largest award. The Land Bank said the funding will position the non-profit to expand its efforts to include additional new home development, strategic demolitions and rehabilitation projects in partnership with local organizations.

“Today’s $1.3 million grant builds on two prior HCR Land Bank Initiative awards and will allow additional rehabilitation projects that improve neighborhoods for Allegany County residents,” said HCR Commissioner RuthAnne Visnauskas.

“Thank you to the Allegany County Land Bank Corporation for their partnership and to Governor Hochul for her commitment to investing in communities, increasing housing supply, and improving affordability for New Yorkers.”

 

For full report, please click the source link above.