Page 26 - February 2018 Disruption Report Flip Book

FANNIE MAE
JAN.U-FAERBY. 2018
“It’s an unintended consequence of the tax bill rather than falling into the bailout narrative,” said Joe Ventrone, VP of the National Association of Realtors.
Although the tax law required Fannie Mae—and many other companies—to write down its DTA, over the long term companies’ earnings will result in higher earnings due to the lower tax rates provided by the tax reform bill. For 2018, Fannie expects its “effective tax rate” will be 20%. (Inside Mortgage Finance, Paul Muolo, 02/14/18; HousingWire, Jacob Gaffney, 02/14/18; Press Release, Fannie Mae, 02/14/18)
Delivering better lending with Fannie Mae
Fannie Mae has approved the use of tech company Blend’s asset verification reports for the Desktop Underwriter (DU) validation service, a component of GSE’s Day 1 CertaintyTM program. Blend is the first end-to-end platform that allows lenders to validate their loans automatically under Fannie’s Day 1 CertaintyTM. Blend’s platform decreases processing and underwriting time and reduces costs for lenders, while providing borrowers a more seamless experience.
“Our relationship with Fannie Mae lets us offer lenders seamless integration with Day 1 Certainty right out of the box—there are no additional borrower or lender actions required to realize the benefits,” said Brian Martin, head of Blend’s business development team. “Everyone involved will benefit from reduced paperwork, significantly lower risk, and an accelerated mortgage process. Our work with Fannie Mae will continue to target a more frictionless process that better serves borrowers.” (Press Release, Blend, 02/13/18; HousingWire, Kelsey Ramirez, 02/13)
Airbnb, Fannie Mae and three major lenders have launched new initiative to support Airbnb hosts
Airbnb, Fannie Mae and three major lenders haven launched an initiative to consider home sharing as a tool for earning extra income when its time for the Airbnb host to refinance their home. Under the new initiative:
• Airbnb hosts in the United States can apply to refinance their mortgage with Quicken Loans, Citizens Bank, or Better Mortgage.
• When hosts apply, they can include their Airbnb Proof of Income with their application, enabling the lender to consider Airbnb income when processing the application.
“Technology is at the heart of everything we do at Quicken Loans, so it is a natural fit for us to partner with one of Silicon Valley’s most innovative companies,” said Quicken Loans CEO Jay
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