MBA making strides in State and Federal Legislation
Senate and Assembly approve State AMC Licensing Bill–Awaiting Governor Cuomo’s signature
June 21, 2018: Both branches of the NYS Legislature approved the long sought after AMC licensing bill, as required by Dodd-Frank. When approved, all 50 states will be compliant by having passed legislation that establishes guidelines for Appraisal Management Companies, a federal mandate effective August 2018.
By regulating AMCs, in a manner consistent with federal guidance, New York State will continue with business as usual, with no disruption to consumers, lenders, appraisers or AMCs. However, should Governor Cuomo not enact the AMC minimum standards, the ability of the state’s consumers to access the affordable mortgage programs of the federal government will be jeopardized and force all bank and non-bank mortgage lenders that use AMCs to serve the appraisal needs of New York homebuyers to create new business models to facilitate Federally Related Mortgage Transactions. This would unnecessarily increase consumers’ costs and needlessly disrupt New York’s residential marketplace.
Regulatory Relief Legislation receives Trumps approval
May 24, 2018: President Trump signed S.2155, the Economic Growth, Regulatory Relief and Consumer Protection Act. The full House passed the bill earlier in the week by a vote of 258-159. This legislation is unchanged from that which passed the Senate in March by a filibuster-proof bipartisan margin of 67-31. This legislation contains a number of MBA-supported provisions, such as:
- SAFE Act amendments to provide 120 days of transitional authority for MLOs to originate when leaving a depository to join a sponsoring non-bank (or when crossing state lines);
- Applying TILA consumer protections to PACE/energy efficiency mortgage products;
- Added safeguards to protect veterans, surviving spouses and service members who utilize the VA Home Loan program’s IRRRL refinancing product;
- An improved, more workable regulatory regime for the eligibility of High Volatility Commercial Real Estate (HVCRE) construction loans; and,
- Partial TRID and HMDA relief
Thank you to those who took action on these important issues! Your advocacy makes a difference.
Brian Montgomery is confirmed as FHA Commissioner
May 23, 2018: The Senate approved Brian Montgomery as Assistant Secretary for Housing and FHA Commissioner, ending a nine-month process that saw his nomination repeatedly held up by Senate rules and a backlog of other Trump Administration nominations. Twenty-five Democrats joined 49 Republicans in approving Montgomery.
The Mortgage Bankers Association and other industry trade groups had pushed hard for Montgomery’s approval. “MBA commends the Senate for confirming Brian Montgomery to lead the Federal Housing Administration,” Stevens said. “His experience, knowledge and ability will ensure his success in this position. MBA fully supports FHA’s efforts to assist low and moderate income Americans and first-time homebuyers. We look forward to working with Brian Montgomery and the FHA team, and continuing to work with Secretary Ben Carson, to ensure they succeed in their mission.”
This will be Montgomery’s second stint as FHA Commissioner, having previously served from 2005 to 2009, under both the George W. Bush and Obama Administrations. During that period, MBA and other industry trade groups said in a March letter to Senate leadership, “he realized the immense counter-cyclical benefits that FHA can provide in the middle of the housing crisis. He also led HUD’s response to Hurricane Katrina and chaired the Hurricane Recovery and Response Center at HUD headquarters.”
“Brian brings a wealth of housing knowledge and experience to HUD having held this position in two previous administrations, and we are excited to welcome him back to the Agency,” said HUD Secretary Ben Carson in a statement. “FHA’s work is critical to HUD’s mission of advancing sustainable homeownership opportunities and quality affordable housing for all Americans. Brian understands this better than anyone and will be ready on day one to address the challenges of today’s housing market.”
“I’m honored to have the opportunity to serve with Secretary Carson and the team at HUD to further equal access to affordable rental housing and homeownership opportunities and seek solutions to restore vitality to the housing market,” Montgomery said in a statement.
Source: MBA Newslink
Mike Sorohan firstname.lastname@example.org
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