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- Buddy Gonna Shut You Down
Buddy Gonna Shut You Down
By Jeff Walton & Kelly Guest
Table of Contents
CHATTER
Abusing the Bully Pulpit?
HATCH ACT VIOLATION? HUD Banner Irks Watchdog Group
Public Citizen filed a complaint late Wednesday against Kelly Loeffler, administrator of the Small Business Administration (SBA) and Scott Turner, head of the Department of Housing and Urban Development (HUD) for alleged “political messages” on official government sites regarding the shutdown.
FRUGAL FICO: Fair Isaac Unveils New Score Delivery Model
The company launched the FICO® Mortgage Direct License Program, tri-merge resellers have the option to calculate and distribute FICO Scores directly to their customers, eliminating reliance on the three nationwide credit bureaus. FICO claims the shift will drive price transparency and immediate cost savings to mortgage lenders, mortgage brokers, and other industry participants.
Under the new performance model, the royalty fee for the FICO Score will be $4.95 per score, which represents a 50% reduction in average per score fees into the tri-merge resellers, a reduction achieved by eliminating credit bureau mark-ups. A funded loan fee of $33 per borrower per score will apply when a FICO-scored loan is closed.
CREDIT REPAIR? MBA on FICO’s New “Alternative Pricing Models”
“While it remains to be seen if this will result in materially lower costs, MBA will monitor the implementation of this new program while continuing to call for reforms that support a better credit reporting system that promotes more competition, efficiency, and lower costs for consumers.” - MBA's President and CEO Bob Broeksmit, CMB
UNLOCKING RATE LOCK EFFECT? HW Reports on FAM/MOA "HomeSafe Second"
The "reverse second" is currently available in 15 states and to homeowners as young as 55.
The product is touted as allowing homeowners with low rates on first mortgages to tap equity and use the 2nd lien as a wealth-building tool.
UWM Drops $115M to Name Phoenix Suns Home "Mortgage Matchup Center."
Bad Acting Builders?
Hunterbrook Calls out LGI Homes, NMN Reports on D.R. Horton Suit
The investigation claims that LGI has been targeting low-income renters with deceptive ads promising unrealistically low prices, then pressuring them to buy expensive homes through highly scripted, aggressive sales tactics
Findings say LGI was advertising to renters with ads promising deceptively low prices that omit key costs like taxes, insurance, and HOA fees
Actual monthly payments are likely 30% to 70% higher than advertised prices, Hunterbrook found
LGI homeowners were four times as likely to lose their home to a foreclosure than a typical FHA borrower
On a similar note, National Mortgage News reports that D.R. Horton & DHI Mortgage are also facing a class-action suit alleging the builder and its mortgage subsidiary targeted prospective homebuyers with affordable monthly payment plans, but the company low-balled the true costs and excluded most of the required property taxes.
PILING ON: 5 States Sue Zillow and Redfin after FTC complaint over multi-family rental syndication deal. - HW
West Capital Lending Partners with MI-Based Mortgage Connections: HW
MOVING & SHAKING
Mr. Cooper CEO Jay Bray named President & CEO of Rocket Mortgage after closing of merger.
MBA Beefs Up Leadership:
Peter J. Grace, AMP has been promoted to Chief Administrative Officer and Senior Vice President of Industry Education and Technology.
Laura Hopkins, AMP has been promoted to Senior Vice President of Membership and Meetings.
John T. Mechem was promoted to Senior Vice President of Public Affairs and Marketing.
MBA Also Announced 6 Promotions:
Jonathan Kearns has been promoted to MISMO Vice President of Programs;
Jamey Lynch, AMP was promoted to Vice President of Political Affairs;
Kim Newell, CMP, CEM has been promoted to Vice President of Meetings Logistics and Sales;
Dawn Williams, AMP was promoted to Vice President of Conference Programs and Experiences;
Liz Facemire has been promoted to Associate Vice President of State Government Affairs;
Jacqueline (Jacky) Salazar, CCMS has been promoted to Associate Vice President of CREF.
West Capital Lending named Giorgio Bertuol as its new President of Sales (NMN).
HomeSmart named Stacey Onnen as new President.
loanDepot appointed Alec Hanson SVP of Production, West Division.
MARKET/INDUSTRY
No news is…? We're in a data deficit due to you-know-what in D.C., so Bill Bodnar focuses on what we might hear from the Fed speakers this week in his latest Master the Markets segment.
Mortgage Rates Increase: Freddie 10-2-25
The 30-year fixed-rate mortgage increased again this week but remains below its 52-week average of 6.71%.
Mortgage Applications Decreased 12.7% from One Week Earlier: MBA Weekly Survey for the week ending 9-26-25.
The Refinance Index decreased 21% from the previous week and was 16% higher than the same week one year ago.
The seasonally adjusted Purchase Index decreased 1% from one week earlier. The unadjusted Purchase Index decreased 2% compared with the previous week and was 16% higher than the same week one year ago.
How Many Buyers Have Bailed?
16% Said “Screw It”: Bankrate 2025 Home Affordability Survey
One in six (16%) of aspiring homebuyers have given up on purchasing a home in the past five years because they could not find anything they liked or could afford.
Among aspiring homeowners, just 7% are actively shopping for a home — searching for-sale homes in their area or attending open houses.
Gen Zers are the most likely to be shopping for a home, with 1 in 10 (9%) doing so, followed by millennials (ages 29-44) at 7%, Gen Xers (ages 45-60) at 7% and baby boomers (ages 61-79) at 5%.
“U.S. home affordability is at its worst level in decades.” Stephen Kates, Bankrate Financial Analyst
Slow Wealth Growth: S&P Cotality Case-Shiller Index 7-25
The U.S. National Index, the 20-City Composite, and the 10-City Composite continue to display growth with 1.7%, 1.8%, and 2.3%, respectively.
Housing wealth slipped again in real terms, with July’s 1.7% national gain lagging the 2.7% rise in consumer prices.
15 of 20 major metros fell month-to-month in July, underscoring broad cooling even during peak buying season.
PENDING SALES: NAR + Realtors Confidence Index Stats
Month-Over-Month
4.0% increase in pending home sales, with gains in the Midwest, South, West; Decline in the Northeast.
Year-Over-Year
3.8% increase in pending home sales; gains across all regions.
"Lower mortgage rates are enabling more home buyers to go under contract. In the Midwest, low mortgage rates combined with high levels of affordability are attracting more buyers compared to other regions." - NAR Chief Economist Lawrence Yun
Stats from August Realtors Confidence Index:
A Million is Now Measly
THE BAR IS HIGHER: $1M No Longer the Line for “Luxury Home” - Redfin
Redfin defines luxury homes as those estimated to be in the top 5% of their respective metro area based on prices of homes sold over a rolling 12-month period, and non-luxury homes as those estimated to be in the 35th-65th percentile.
Luxury home sale prices rose 3.9% year over year to a median $1.25 million, a record high for the month of August, but down from the all-time high of $1.35 million in March.
Luxury home prices grew nearly three times faster than non-luxury home prices, which increased 1.4% to a median $370,000.
AGENT ATTITUDES: Kaplan RE Education Survey
The licensing school conducted its first-ever agent poll, findings include:
Client Growth: Nearly half (48%) of real estate professionals surveyed anticipate expanding their client base within the next 6-to-12 months, signaling optimism in a market where interest rates may be declining.
44% see their number of clients remaining the same over the same time period; only 8% predict fewer clients for themselves.
Competition: The agents Kaplan surveyed were split in their concern about an economic downturn’s potential impact on their livelihood.
Nearly one in three (32%) are concerned that an increase in new real estate agents, a common occurrence when people lose their jobs in other industries during a recession, would make it even more competitive to secure new clients; 41% say they are unconcerned about this happening; the remaining 27% are unsure.
Most respondents plan to remain real estate agents over the next three to five years—42% said definitely, and 35% said probably.
Battle of the (Buying) Sexes
SOLO STATS: LendingTree Homeownership Stats on Single Women vs. Single Men
Overall, sole female applicants face higher denial rates at 15.7%, compared with 12.1% among sole male applicants.
U.S. Census Bureau data finds that single women who live by themselves are more likely than single men who live by themselves to own a home in 47 of 50 states. LendingTree study also finds that single women own about 2.72 million more homes than single men.
Women’s median weekly earnings are 83.6% of men’s - U.S. Bureau of Labor Statistics
