A proposal to introduce 50-year fixed-rate mortgages into the U.S. housing market has reignited debate over how best to address the nation’s affordability crisis. Proponents argue that longer loan terms could make homeownership accessible to more Americans by lowering monthly payments. However, a closer analysis reveals that the product offers limited real savings, significant long-term costs, and structural challenges for investors and the secondary market. The 50-year mortg

It’s the 100 th edition of these Musings, so it seems I need to write something special: something that is accessible and insightful to all readers and will provide deep meaning and energize your life. [1] At a minimum, this “Musing for the masses” will avoid using acronyms that only my mortgage industry peeps understand and refrain from discussing ongoing litigation implications. [2] I’m even going to spend some time talking about summer camp. So, in this “ Very Special”

As the mortgage industry closes out 2025, servicing has become a battleground defined by what many are calling the “recapture wars.” In a market shaped by volatility, shifting rates, and heightened customer expectations, retaining borrowers has never been more critical, or more challenging. This evolving landscape presents an opportunity to connect the dots across the mortgage ecosystem to help lenders and servicers operate with greater speed, efficiency, and intelligence. Th

As Jerome Powell’s term as Federal Reserve Chair nears its conclusion in May of next year, attention is shifting to who will lead the central bank into its next phase, and what that leadership could mean for the mortgage industry. The finalists reportedly include current Fed Governors Christopher Waller and Michelle Bowman, former Fed Governor Kevin Warsh, White House National Economic Council Director Kevin Hassett, and BlackRock executive Rick Rieder. Each brings distinct s

In today’s mortgage industry, the term “intelligent document processing” (IDP) often gets oversimplified. Many assume it’s simply about teaching machines to “read documents.” But true IDP, particularly at enterprise scale, is far more sophisticated. It represents a foundational shift in how lenders, servicers, and investors manage document-heavy workflows. At its core, IDP addresses one of the mortgage industry’s biggest bottlenecks: the inefficiency of handling, classifying,

For decades, FICO has been the dominant force in credit scoring, central to the U.S. mortgage ecosystem since the introduction of its score in 1986. It has long drawn both scrutiny and reliance from the industry, regarded as a gatekeeper to credit access for millions of consumers. But a major structural shift is now underway: FICO has announced a direct licensing model that will bypass the traditional credit bureaus and instead work directly with credit reporting agencies (CR

Earlier this year, around the time tariffs were originally announced on "Liberation Day," bonds were defying logic and leaving even seasoned traders scratching their heads. Today, things make a little more sense, but only just. Yields have fallen, MBS price discovery is less of a problem, and a clearer trading range has developed, yet investors are still wrestling to interpret a Federal Reserve that seems both cautious and conflicted. At the heart of this story lies the term

The news out this week is that D.R. Horton is acquiring SK Builders . So yes, the nation’s largest builder is expanding its presence in the fast-growing South Carolina markets. Despite what President Trump has to say about builders stepping up their game, the question those of us in the biz are asking is, “Are homebuilders really stalling, or are high rates to blame?” For years people have pointed out inventory issues, but those seem to be behind us. In the first quarter of t

Vendor management is a cornerstone of risk management for mortgage lenders, ensuring operational stability and regulatory compliance in a...

“Breaking” mortgage litigation news I’m not a news reporter [1] (and these Musings are not legal advice), but here I am reporting on the...

In the first Voice of the Industry , David Spector, Chairman and CEO of Pennymac, discussed his path from early beginnings on Wall Street...

Yes, the Federal Open Market Committee cut its overnight fed funds rate last week, prompting banks to reduce their prime rates, and the...

I’ve been in mortgage since 1991. Rates were north of 10%, “apply now” meant stacks of paper, and the concept of consumer-permissioned...

After years of mounting pressure and advocacy, the Homebuyers Privacy Protection Act (commonly referred to as the “trigger lead bill”)...

I’ve been tracking Kristin Messerli's  NextGen HomeBuyer research for five years, and this year’s Financial Literacy Edition  is the...

After talking with and interviewing hundreds of mortgage professionals, I can say with certainty: the loan officers who win in this...

Ten Keys to Survival 1. Preserve capital. 2. Maintain maximum liquidity. 3. If not profitable, cut expenses down to where you break even....

We have seen too many banks and credit unions exit mortgage banking, usually at exactly the wrong time. But the good news is that many...