Hi, I’m Adam DeSanctis. This is The Mortgage Minute, the latest news from the Mortgage Bankers Association. Last week, Federal Reserve Vice Chair, Michelle Bowman, stayed in a fireside chat at Georgetown University. That the Federal Reserve is actively working with the FDIC and OCC on a revised Basel three endgame proposal that could be released as soon as later this year. You may recall the MBA LED the industry during the Biden administration in calling for significant changes on the flawed July, 2023 proposal, which included a sharp increase in risk rates for single family mortgages and higher capital on mortgage servicing assets and warehouse credit lines. We also testified in front of Congress on this issue, sent letters and had several conversations with regulators. More recently, this May, we sent a letter to the banking agencies requesting review of key risk-based capital reforms sought by MBA to strengthen the mortgage market. Among other things, this UD calling for a reduction of the punitive 250% risk weight on MSAs and calling for a reduction in the a hundred percent risk weight for warehouse lines of credit to match the risk weighting on the mortgage collateral securing the line. We look forward to the revised Basil three endgame proposal whenever it comes, and we’ll continue to advocate for a bank capital framework that ensures safety and soundness without reducing mortgage market participation, and thus limiting choice and increasing costs for consumers. That’s it for this week. Thank you for listening.
Adam DeSanctis, VP, Communications at Mortgage Bankers Association
As a strategic public affairs and communications executive with nearly two decades of experience, Adam has deep expertise in strategy, management, and media relations. He is widely regarded as an expert in a variety of communications, including advocacy, brand, executive, crisis, grassroots, and social media. In his career, he has been the MBA spokesperson on a wide variety of real estate research and advocacy-related issues, promoted MBA research and advocacy efforts to financial, political, and trade industry media and on MBA’s social media channels, and secured media opportunities for MBA leadership on key real estate trends and issues, generated media coverage for MBA’s research and data on mortgage applications, credit availability, homebuilder applications, mortgage forbearance/delinquencies, commercial real estate originations, and forecasts, and other industry analysis, developed key strategic initiatives for MBA’s organizational public affairs plan, media relations and member communications support for mPower, MBA’s Opens Doors Foundation and MBA’s Diversity, Equity, and Inclusion programs.