In today’s fast-paced world, the Mortgage Bankers Association (MBA) has outlined a clear set of priorities that need to be addressed urgently. Let’s delve into the specifics of these priorities and understand the importance they hold in shaping the future of housing finance.
Releasing the GSEs from conservatorship
- An explicit backstop must be established to ensure investor confidence.
- A level playing field should be maintained to prevent biases based on lender size or business model.
- The primary and secondary market functions must be clearly defined.
- FHFA should be granted regulatory enhancements to ensure effective oversight.
The MBA is poised to collaborate with the Trump administration and the 119th Congress to establish a new era of home finance, where the GSEs are no longer under conservatorship. This move aims to maintain the American housing finance system’s esteemed reputation globally.
Extending tax provisions
- Keeping the deferred tax treatment of mortgage servicing rights intact.
- Preserving the Section 199A pass-through deduction.
- Enhancing the Low Income Housing Tax Credit.
- Supporting measures like 1031 exchanges.
The MBA will actively engage with Congress to extend tax provisions set to expire by year-end. It’s crucial to monitor spending and avoid excessive Treasury obligations that could potentially drive up mortgage rates due to increased fixed income supply.
Trigger leads
Advocacy for a trigger leads bill will continue to ensure limited and controlled use of such leads. Building on past momentum, the MBA strives for the enactment of legislation to regulate trigger leads effectively and responsibly.
Credit scores
Addressing the transition to FICO 10 T and VantageScore 4.0 is a top priority. The MBA seeks to resolve outstanding issues and obstacles faced by its members, ultimately reducing unnecessary expenses for businesses and borrowers.
Regulation and affordability
President Trump’s commitment to reducing unnecessary regulations has been well-received by the MBA. By cutting red tape and enhancing federal housing programs, the focus remains on increasing housing affordability and accessibility for all.
In conclusion, these priorities form the foundation for transforming the housing finance landscape. Collaborative efforts between the MBA, Congress, and the administration are crucial to driving positive change and ensuring a sustainable and inclusive housing market for all. Let us work together to shape a brighter future for home finance.
Leave feedback about this