Lenders will be required to determine whether the net value in changing an existing loan is more than the anticipated recovery from foreclosure.

A copy of the memo, written by MBA president David Stevens, says the rules “will likely be proposed with some comment period.”

CMBS data provider Trepp said that only 26.3% of the loans that reached their balloon date paid off in July.

Analysts said that the recent trends in the auto ABS sector represent a normalizing lending market after many years of disruption.

The Federal Housing Finance Agency on Wednesday slammed plans by some local governments to use eminent domain to refinance underwater mortgages.

The bank plans to complete its first Ginnie Mae HECM MBS deal next month.

Refinancing and purchasing activity were both lower in the week ending Aug. 3.

Fannie and Freddie refis with LTV ratios above 125% surged in June as lenders were able to securitize and sell these severely underwater loans for the first time.

SunTrust Bank, one of the largest mortgage lenders in the U.S., is looking for a new executive to manage retail production after the departure of Martha Simmons Scott.

Fannie reported comprehensive net income of $5.4 billion in 2Q, a 74% improvement from 1Q and won’t require financial assistance from the U.S. Treasury.

The rating agency said that a number of positive factors should offset the setback including the record high 2011 harvest, among other things.