Welcome

FHA, VA, and USDA are significant sources of home mortgage finance for first time homebuyers, veterans, and deserving households that are under-served segments of the market. Ginnie Mae MBS is the primary outlet for those loans. Ginnie Mae depends on approved issuers to create and service the MBS. Ginnie Mae also depends on the value of MSRs to help protect it and taxpayers from counterparty risk with respect to issuers/servicers. Currently, the market for Ginnie Mae MSRs is thin and the prices are depressed. The symposium will delve into what is causing the current market conditions for Ginnie Mae MSRs and what can be done to preserve value and liquidity for all market participants, including servicers, investors, and others.

• Richard K. Green, Senior Advisor for Housing Finance, HUD

The View from Ginnie Mae and MBA

Ted Tozer, President of Ginnie Mae will talk about Ginnie Mae’s concerns with recent trends in servicing ownership since Basel III and concerns Ginnie Mae has with those trends. Dave Stevens, President and CEO, Mortgage Bankers Association will discuss the natural evolution of a mortgage banker from simply originating loans to servicing those loans, recent increases in servicing costs, the drivers that have caused some entities to limit their servicing business, and the barriers to entry to potential new servicers.

• Ted Tozer, President, Ginnie Mae
• Dave Stevens, President and CEO, MBA

Break

Liquidity Needs of the Housing Finance Industry

• Dr. Karen Dynan, Assistant Secretary for Economic Policy, Chief Economist, U.S. Department of the Treasury
  Click here to view Dr. Dynan's powerpoint presentation. A PDF version is available here.
• Karen Pence, Adviser, Division of Research and Statistics, Board of Governors of the Federal Reserve System.
  Click here to view Karen Pence's powerpoint presentation. A PDF version is available here.
• Nancy Wallace, Lisle and Roslyn Payne Chair in Real Estate and Capital Markets, Haas School of Business, University of California, Berkeley
  Click here to view Nancy Wallace's powerpoint presentation. A PDF version is available here.
• Warren Kornfeld, Senior Vice President, Moody’s
  Click here to view Warren Kornfeld's powerpoint presentation. A PDF version is available here.

Will the need for substantial amounts of working capital by independent mortgage bankers put the housing market at risk, and how can that risk be mitigated? What does the research reveal? Will banks return to the market? Will credit behind the ‘new’ IMBs stick in different rate or economic environments? Can we see a liquidity crisis coming and how? Importance of the depth of capacity in the servicing sector? What can the government accomplish through its policies?

• Dr. Karen Dynan, Assistant Secretary for Economic Policy, Chief Economist, U.S. Department of the Treasury
• Karen Pence, Adviser, Division of Research and Statistics, Board of Governors of the Federal Reserve System
• Nancy Wallace, Lisle and Roslyn Payne Chair in Real Estate and Capital Markets, Haas School of Business, University of California, Berkeley

Working Lunch

The Mortgage Banking Industry Lens

How do the financing needs and sources of funding for independents versus banks differ? Do we have sufficient servicing capacity to maintain the liquidity and health of the industry? How viable are servicers if refis curtail and delinquencies climb, and is there a break point? What impact is the recent trend of Department of Justice actions against servicers under the False Claims Act having on the market? To what extent have new government rules and enforcement actions impacted the cost to service both current and delinquent loans? What can the government do to stimulate more servicing capacity and more depth and liquidity in the market for Ginnie Mae MSRs?

• Dave Motley, President, Colonial Savings
• Sanjiv Das, CEO, Caliber Home Loans
• Ramon Gomez, Executive Director, JPMorgan Chase
• Mark Jones, President and Co-Founder, Amerifirst Home Mortgage  

Discussion Wrap-Up: Sustaining a Robust Market for MSRs with Diverse and Stable Market Participants

A roundtable discussion of where we go from here and will consider questions such as: What’s keeping participants away from market, and what can we do about it. What are the primary concerns of regulators? Is the current state of the MSR market a direct result of new rules and enforcement actions? What are the primary concerns of issuer/servicers? And what are the solutions – more rules, more tools or a combination of both?

• Seth Sprague, Senior Vice President, Phoenix Capital