Monthly Archiv: May, 2021

ADP: Hiring Surges in June

first_img Demand Propels Home Prices Upward 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago in Featured, Headlines, Market Studies, News Home / Featured / ADP: Hiring Surges in June Derek Templeton is an attorney based in Dallas, Texas. He practices in the areas of real estate, financial services, and general corporate transactional law. His experience includes time as an Attorney Adviser for the U.S. Small Business Administration and as General Counsel for a nonprofit organization in Dallas. A self-avowed “policy junkie,” he has a keen interest in the effect that evolving federal policy has on the mortgage, default servicing, and greater housing industries. Servicers Navigate the Post-Pandemic World 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Share Save Tagged with: ADP Bureau of Labor Statistics Job Outlook The Best Markets For Residential Property Investors 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago  Print This Post Data Provider Black Knight to Acquire Top of Mind 2 days ago Demand Propels Home Prices Upward 2 days agocenter_img Related Articles July 2, 2014 660 Views Employment in the private sector rose in June at the highest rate in nearly two years, according to the ADP National Employment Report issued Wednesday for the month of June. By ADP’s calculation, private sector employment rose by 281,000 new jobs created, surpassing most already optimistic projections.The increase represents a gain of 102,000 private sector jobs over May’s 179,000 job increase, signaling that employers are accelerating their hiring as demand continues to increase. The report, which is derived from ADP’s actual payroll data, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.Mark Zandi, chief economist of Moody’s Analytics, said, “The job market is steadily improving. Job gains are broad based across all industries and company sizes. Judging from the job market, the economic recovery remains fully intact and is gaining momentum.”Of particular note to the housing industry, construction payrolls added 36,000 new jobs. Professional businesses services saw the greatest increase, clocking in at a 77,000 job gain.”The June jobs number is a welcome boost,” said Carlos Rodriguez, president and chief executive officer of ADP. “The number of construction jobs added was particularly encouraging, representing the highest total in that industry since February of 2006.”The report could be a good omen for the Obama Administration as it seeks to reassure the American public that the economy is not in danger of giving back recent gains after a lackluster first quarter of 2014. The government issued jobs report from the Bureau of Labor Statistics, encompassing both the public and private sector job rolls, is due out Thursday.The median economist job growth prediction for June, in the Bloomberg monthly survey, forecasts a growth of 205,000 new jobs. Economists also predict that the unemployment rate will hold steady at 6.3 percent. If these numbers hold, it will be a signal to investors and consumers alike that economic fears that discourage spending and investment are unfounded at this point in time. Governmental Measures Target Expanded Access to Affordable Housing 2 days ago ADP: Hiring Surges in June The Best Markets For Residential Property Investors 2 days ago Previous: Delinquency Write-Off Rate Continues to Drop Next: Servicing Temporarily Restricted for Nationstar Last Year Sign up for DS News Daily Data Provider Black Knight to Acquire Top of Mind 2 days ago About Author: Derek Templeton ADP Bureau of Labor Statistics Job Outlook 2014-07-02 Derek Templeton Subscribelast_img read more

Brighter Outlook for Economy, Job Market Push Consumer Confidence to Seven-Year High

first_imgHome / Daily Dose / Brighter Outlook for Economy, Job Market Push Consumer Confidence to Seven-Year High Demand Propels Home Prices Upward 2 days ago Brighter Outlook for Economy, Job Market Push Consumer Confidence to Seven-Year High The Best Markets For Residential Property Investors 2 days ago January 27, 2015 995 Views The Best Markets For Residential Property Investors 2 days ago Previous: Wilson & Associates Names New Shareholders, Hires CFO/COO Next: Watt Insists 3 Percent Down Payment Loans Are Not Riskier Than Those With Lower LTVs Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Tory Barringer began his journalism career in early 2011, working as a writer for the University of Texas at Arlington’s student newspaper before joining the DS News team in 2012. In addition to contributing to DSNews.com, he is also the online editor for DS News’ sister publication, MReport, which focuses on mortgage banking news. Share Save Tagged with: Conference Board Consumer Confidence Jobs Unemployment Servicers Navigate the Post-Pandemic World 2 days ago  Print This Postcenter_img Data Provider Black Knight to Acquire Top of Mind 2 days ago About Author: Tory Barringer in Daily Dose, Featured, Market Studies, News The Week Ahead: Nearing the Forbearance Exit 2 days ago Sign up for DS News Daily Subscribe Data Provider Black Knight to Acquire Top of Mind 2 days ago Consumer confidence touched its highest point in more than seven years in January as Americans expressed a much rosier outlook for the economy and the job market.The Conference Board said Tuesday that its monthly Consumer Confidence Index rose to 102.9 this month from an upwardly revised 93.1 in December.According to the group, January’s reading was the highest since August 2007, when the index was at 105.6.”A more positive assessment of current business and labor market conditions contributed to the improvement in consumers’ view of the present situation,” said Lynn Franco, director of economic indicators at the Conference Board. “Consumers also expressed a considerably higher degree of optimism regarding the short-term outlook for the economy and labor market, as well as their earnings.”The survey’s index measuring sentiment about present-day conditions rose more than 10 points from December, hitting 112.6, the Conference Board said. The number of respondents saying business conditions are currently good rose nearly four points to 28.1 percent, while the share of those saying jobs are plentiful climbed nearly three points to 20.5 percent.The survey’s Expectations Index also improved, increasing to 96.4 from 88.5 in December. Looking ahead, 18.4 percent of consumers expect business conditions to improve, up from 17.8 percent previously.Meanwhile, 16.7 percent expect more jobs in the months ahead (up from 14.6 percent), while an even 20 percent anticipate growth in their incomes (up from 16.2 percent).The Conference Board’s index isn’t the only measure of consumer attitudes to see improvement this month. The University of Michigan/Thomson Reuters consumer sentiment index rose to an 11-year high in a first-look January reading, and economists expect it will stay where it is for the final report, which is due Friday. Demand Propels Home Prices Upward 2 days ago Related Articles Servicers Navigate the Post-Pandemic World 2 days ago Conference Board Consumer Confidence Jobs Unemployment 2015-01-27 Tory Barringerlast_img read more

Harvey Update: GSEs Announce Moratorium

first_imgSubscribe Demand Propels Home Prices Upward 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Tagged with: GSEs Harvey Update: GSEs Announce Moratorium in Daily Dose, Featured, Foreclosure, Government, Headlines, News GSEs 2017-08-29 Joey Pizzolato Share Save Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Home / Daily Dose / Harvey Update: GSEs Announce Moratorium Servicers Navigate the Post-Pandemic World 2 days ago Previous: Counsel’s Corner: Matthew J. Richardson Next: Buffett: Economy Will Hurt if Uninsured Harvey Losses Top $150 Billion Data Provider Black Knight to Acquire Top of Mind 2 days ago Demand Propels Home Prices Upward 2 days agocenter_img Governmental Measures Target Expanded Access to Affordable Housing 2 days ago About Author: Joey Pizzolato Related Articles The Best Markets For Residential Property Investors 2 days ago Joey Pizzolato is the Online Editor of DS News and MReport. He is a graduate of Spalding University, where he holds a holds an MFA in Writing as well as DePaul University, where he received a B.A. in English. His fiction and nonfiction have been published in a variety of print and online journals and magazines. To contact Pizzolato, email [email protected] Fannie Mae will be instituting a 90-day eviction suspension as well as a 90-day foreclosure sale suspension in areas located in FEMA-declared disaster zones. Homeowners in these areas may also qualify for a temporary suspension or reduction of their mortgage payment for up to six months.“Our thoughts are with the families in the path of this powerful and catastrophic storm. We continue to monitor the situation in the affected areas,” said Carlos Perez, SVP and Chief Credit Officer at Fannie Mae. “The storm while weakened, continues in many areas and it is simply too early to provide any data or assessment about the scale or scope of damage resulting from Hurricane Harvey. Preliminary assessments of actual damage at this point may be inaccurate and potentially misleading. We will continue to work with our Single-Family servicers to communicate our policies and ensure borrowers have access to the information and resources they need to help manage their housing challenges.”Freddie Mac issued a similar moratorium—the GSE will suspend evictions and foreclosure sales within the disaster zone for 90 days, and will allow extended forbearance and repayment plans for up to 12 months. Borrowers will not need prior approval for the extension, and servicers have been authorized to verbally grant forbearances to borrowers inside the disaster zone.”We’re committed to ensuring that homeowners receive the mortgage assistance they need to overcome the devastating tragedy of Hurricane Harvey,” said Yvette Gilmore, Freddie Mac’s VP of Single-Family Servicer Performance Management. “Once they’re out of harm’s way, homeowners should contact their servicer. They may be eligible for forbearance on mortgage payments for up to one year if their mortgage is owned or guaranteed by Freddie Mac.”Rain continues to fall over the Houston metro as Harvey stretches toward Louisiana, and as Perez says, it is too early to tell the extent of the damage that the storm will have on the area. Melissa Mimms, a Realtor and Houston native, understands that fact. When DS News asked her how she thought it would affect the housing market, she said. “I was here during Ike. We lost power. We had flooding in areas that traditionally flooded. This event is very different from any event we’ve ever had in Houston, so it’s hard to compare it to anything that’s ever happened here.”Mimms remains optimistic, though. “The Houston market has been resilient through many different hurricanes and tropical storms, like Ike and the Memorial Day floods that we had last year. What’s going to happen, I think, is Houston is going to bounce back. I don’t expect it’s going to be very far from where we were before this event happened, but it’s hard to tell this early on.” The Week Ahead: Nearing the Forbearance Exit 2 days ago The Best Markets For Residential Property Investors 2 days ago  Print This Post Data Provider Black Knight to Acquire Top of Mind 2 days ago Sign up for DS News Daily August 29, 2017 1,817 Views last_img read more

Home Mortgage Disclosure Act Rules, Data Security Top Concerns for Lenders

first_img Previous: Foreclosures, Short Sales Down Once Again Next: Unloading Inventory Sign up for DS News Daily The Best Markets For Residential Property Investors 2 days ago in Daily Dose, Featured, Market Studies December 20, 2017 2,057 Views  Print This Post Demand Propels Home Prices Upward 2 days ago The Best Markets For Residential Property Investors 2 days ago Aly J. Yale is a longtime writer and editor from Texas. Her resume boasts positions with The Dallas Morning News, NBC, PBS, and various other regional and national publications. She has also worked with both the Five Star Institute and REO Red Book, as well as various other mortgage industry clients on content strategy, blogging, marketing, and more. Share Save Home Mortgage Disclosure Act Rules, Data Security Top Concerns for Lenders The Week Ahead: Nearing the Forbearance Exit 2 days ago Related Articles Demand Propels Home Prices Upward 2 days agocenter_img About Author: Aly J. Yale Servicers Navigate the Post-Pandemic World 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Compliance data breach HMDA Risk Management Wolters Kluwer 2017-12-20 Aly J. Yale Tagged with: Compliance data breach HMDA Risk Management Wolters Kluwer Home / Daily Dose / Home Mortgage Disclosure Act Rules, Data Security Top Concerns for Lenders Banks and credit unions are markedly more worried about regulatory compliance and risk management, according to new data. The results of the Wolters Kluwer Regulatory and Risk Management Indicator revealed that overall risk management concern is up 13 percent over the year. Regulatory concerns are up 3 percent for the same period.According to the Indicator, which polled more than 600 banks and credit unions across the country, top regulatory concerns include the fair lending exam, new Home Mortgage Disclosure Act rules, and the ability to track, maintain, and report to regulators. Just under 50 percent of respondents said they’ve noticed increased scrutiny based on their most recent fair lending exam, while HMDA changes came in as the single-biggest concern across the board.As for risk management, cybersecurity and data security topped the list, with a whopping 83 percent of those surveyed saying they’re either “concerned” or “very concerned.” IT risk and regulatory risk also came in high.According to Timothy R. Burniston, Senior Adviser and Principal Regulatory Strategist at Wolters Kluwer, 2017’s many data breaches are likely to blame.“These results—compiled against a backdrop of highly publicized data breaches at well-known entities, and at a time when financial institutions are preparing for the implementation of the most significant set of HMDA changes in several decades—drove the increase in concerns expressed in this year’s survey,” Burniston said.On the compliance front, respondents were mostly concerned with optimizing their compliance spend, reducing exposure to financial crime, and managing their compliance monitoring and testing efforts.“These responses, when viewed collectively, reinforce for financial institutions the strategic imperative of having a proactive, well-staffed and supported corporate compliance program that operates across the three lines of defense —the business units, along with compliance/risk and audit areas—in tandem with an overarching risk management framework integrated with all lines of business,” Burniston said.To see the full results of the Indicator, visit WoltersKluwerFS.com/Indicator. Data Provider Black Knight to Acquire Top of Mind 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Subscribelast_img read more

CFPB’s Laurie Maggiano: Looking Back at an Industry Icon

first_img Demand Propels Home Prices Upward 2 days ago CFPB Consumer Financial Protection Bureau in memorium laurie maggiano Video Spotlight 2018-01-08 David Wharton Servicers Navigate the Post-Pandemic World 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago  Print This Post Governmental Measures Target Expanded Access to Affordable Housing 2 days ago in Daily Dose, Featured, Government, News Related Articles Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Previous: Powell Was Hesitant About Fed MBS Purchases in 2012 Next: U.S. Remains Most Stable Destination For Foreign Investors Data Provider Black Knight to Acquire Top of Mind 2 days ago Tagged with: CFPB Consumer Financial Protection Bureau in memorium laurie maggiano Video Spotlight January 8, 2018 1,588 Views Servicers Navigate the Post-Pandemic World 2 days ago The Best Markets For Residential Property Investors 2 days ago Subscribe Home / Daily Dose / CFPB’s Laurie Maggiano: Looking Back at an Industry Icon Demand Propels Home Prices Upward 2 days ago Share Save About Author: David Wharton The Best Markets For Residential Property Investors 2 days ago Sign up for DS News Daily CFPB’s Laurie Maggiano: Looking Back at an Industry Icon Sad news broke this past weekend with the announcement that industry icon Laurie Maggiano had passed away unexpectedly. Maggiano was Servicing and Secondary Markets Program Manager at the Consumer Financial Protection Bureau (CFPB). Having served more than four years at the CFPB, she was a nationally recognized authority on default management and foreclosure prevention.Prior to her role at the CFPB, Maggiano worked as Director of Policy, Office of Homeownership Preservation at the U.S. Department of the Treasury and Acting Director of Single Family Asset Management at the U.S. Department of Housing and Urban Development. In 2011, she was honored with The Five Star Institute’s Lifetime Achievement Award, an event commemorated in the video above.Five Star Institute President & CEO Ed Delgado said of Maggiano’s death: “I am deeply saddened by the news of Laurie’s passing. She was a gifted and talented professional, dedicated to public service. But more importantly she was a loving mother and grandmother. I am proud that we shared a special friendship. She will be missed.”last_img read more

First-Time Mortgage Default Rates Going Against Trends

first_img Demand Propels Home Prices Upward 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Default rates rose for first time mortgages rose for the third month in a row, according to the latest S&P Dow Jones Indices and Experian released through October 2019 for the S&P/Experian Consumer Credit Default Indices. Despite this rise in mortgage defaults, the indices shows that the composite rate was unchanged at 0.93%, as other forms of credit fell that month. The bank card default rate fell 44 basis points to 2.88%. The auto loan default rate was down two basis points to 1.03%, and the first mortgage default rate increased four basis points to 0.77%.Three of the five major metropolitan statistical areas (“MSAs”) showed higher default rates compared to last month. New York showed the largest increase, up 11 basis points to 1.07%. The default rate for Dallas rose four basis points, to 0.97%, while the rate for Miami was up one basis point, to 1.31%. The level for Los Angeles dropped seven basis points to 0.65%, while the rate for Chicago was two basis points lower, at 1.17%.The previous release from S&P/Experian Consumer Credit Default Indices saw the first mortgage default rate increased four basis points to 0.73% in September 2019.In an effort to further reduce future defaults on FHA-insured mortgages, the Federal Housing Administration (FHA) has signaled that it may tighten credit, noting that the debt-to-income (DTI) ratio for FHA-insured loans has been consistently increasing for six years. In a new report, Urban Institute examined  how important DTI ratios in predicting a borrower’s ability to make on-time mortgage payments, and how debt burden impacts ability to repay FHA mortgages.According to Urban, DTI ratios are much less significant predictors of loan performance than FICO scores and that many high-DTI loans have strong FICO scores. Additionally, Urban’s analysis found that higher-DTI loans do not always have higher serious delinquency rates, and 5.6% of loans with DTI ratios ranging from 0 to 35% have been seriously delinquent at 60 months of age, compared with 7.6% of loans with DTI ratios of 35–45. But for loans with DTI ratios greater than 50, the D90+ rate at 60 months is 6.9%, lower than those with DTI ratios of 35–45. About Author: Seth Welborn Tagged with: default Delinquency Governmental Measures Target Expanded Access to Affordable Housing 2 days ago November 21, 2019 2,304 Views Servicers Navigate the Post-Pandemic World 2 days ago  Print This Post Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Share Save default Delinquency 2019-11-21 Seth Welborn Home / Daily Dose / First-Time Mortgage Default Rates Going Against Trends First-Time Mortgage Default Rates Going Against Trends in Daily Dose, Featured, Investment, News Seth Welborn is a Reporter for DS News and MReport. A graduate of Harding University, he has covered numerous topics across the real estate and default servicing industries. Additionally, he has written B2B marketing copy for Dallas-based companies such as AT&T. An East Texas Native, he also works part-time as a photographer. The Week Ahead: Nearing the Forbearance Exit 2 days ago The Best Markets For Residential Property Investors 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Previous: Opportunity Zones Paying Dividends for Home Investors Next: Coalition Seeks $2B to Fund Affordable Housing Projects The Best Markets For Residential Property Investors 2 days ago Sign up for DS News Daily Related Articles Demand Propels Home Prices Upward 2 days ago Subscribelast_img read more

Motor City’s Foreclosure Payment Purgatory

first_imgSign up for DS News Daily Subscribe Related Articles in Daily Dose, Featured, Foreclosure, News Motor City’s Foreclosure Payment Purgatory Demand Propels Home Prices Upward 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Share Save Data Provider Black Knight to Acquire Top of Mind 2 days ago  Print This Post About Author: Seth Welborn Servicers Navigate the Post-Pandemic World 2 days ago Tagged with: Detroit tax foreclosure Seth Welborn is a Reporter for DS News and MReport. A graduate of Harding University, he has covered numerous topics across the real estate and default servicing industries. Additionally, he has written B2B marketing copy for Dallas-based companies such as AT&T. An East Texas Native, he also works part-time as a photographer. center_img December 5, 2019 1,311 Views Home / Daily Dose / Motor City’s Foreclosure Payment Purgatory Despite programs aimed at reducing property tax foreclosures in the city, around one in four Detroit homeowners owes more in delinquent property taxes than they did three years ago, The Detroit News reports.Detroit’s plans included payment plans with lower interest rates and an extended five-year repayment deadline, however, the plans have kept thousands in a “payment plan purgatory” that likely will lead to the loss of their homes without more help.Though officials have praised the plan for keeping homeowners in their homes, and have reduced Detroit’s foreclosures from a record high 9,111 occupied homes in 2015 to 514 this year, many have found that the plans simply extend their deadline.”We are seeing the unintended consequences today,” former Wayne County Chief Deputy Treasurer David Szymanski told Detroit News. “We certainly didn’t want it to be a Band-Aid.”In a report earlier this year, Quicken Loans stated that, as of last year, 21% of homeowners were unaware their property was behind on property taxes, and another 61% of renters in tax-delinquent properties were unaware of the home’s tax status.According to the Quicken Loans, the efforts of the Quicken Loans Community Fund and its Neighbor to Neighbor partners led to 4,136 occupied homes being pulled from the Wayne County tax foreclosure auction.“As Detroit comes back, we need to do everything we can to make sure those who stayed in our city through good times and bad are able to stay in their homes,” Detroit Mayor Mike Duggan said. “We are seeing real progress in tax foreclosure reductions that impact all of our neighborhoods, and through programs like Neighbor to Neighbor, we will continue this important work in close partnership with the community.”Detroit is facing other foreclosure issues as well. The city still faces other foreclosure-related challenges. According to GOBankingRates and data from Zillow, 34.4% of homes are currently underwater, and the median home value at the Detroit-Warren-Dearborn metro-area level is $161,300, far below the national median of $226,300. GOBankingRates puts Detroit second on its list of U.S. cities most likely to enter a housing crisis. Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Detroit tax foreclosure 2019-12-05 Seth Welborn Data Provider Black Knight to Acquire Top of Mind 2 days ago The Best Markets For Residential Property Investors 2 days ago The Best Markets For Residential Property Investors 2 days ago Previous: GSE Reform: ‘Lots of Work Remains’ Next: Housing Insurers Made to Stay Demand Propels Home Prices Upward 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days agolast_img read more

Redefining Property Preservation Contract Work

first_img Data Provider Black Knight to Acquire Top of Mind 2 days ago Demand Propels Home Prices Upward 2 days ago The Best Markets For Residential Property Investors 2 days ago Tagged with: Contract preservation Property Preservation Redefining Property Preservation Contract Work Contract preservation Property Preservation 2019-12-09 Seth Welborn December 9, 2019 1,887 Views Share Save Previous: Gazing Into the Crystal Ball: 2020 Housing Next: Banking Committee Approves HUD’s Nomination of Brian Montgomery The Week Ahead: Nearing the Forbearance Exit 2 days ago Jerry Mavellia has more than 20 years’ REO property management, property preservation, and construction experience. Mavellia successfully built an organization of over 800 employees and 30 field offices across the country. He managed all iterations of the HUD single-family management program dating back to 1993. Mavellia also led the Fannie Mae REO Field Service Contract Team, which scored No. 1 in service nationally for 36 consecutive months. He has trained and mentored vast numbers of contract, project, quality assurance, and field managers across the industry, as well as recruited and tutored countless small businesses that are successful field service providers today. Servicers Navigate the Post-Pandemic World 2 days ago About Author: Louis Salerno, Esq. in Daily Dose, Featured, News, Print Features Servicers Navigate the Post-Pandemic World 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Home / Daily Dose / Redefining Property Preservation Contract Work  Print This Post Related Articles Sign up for DS News Daily Demand Propels Home Prices Upward 2 days ago The Best Markets For Residential Property Investors 2 days ago About Author: Jerry Mavellia Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Editor’s note: This feature originally appeared in the December issue of DS News.Property Preservation Business Owners (PPBO) hire independent contractors for a large percentage of field services performed for government and commercial contracts. These contracts have strict performance standards, which PPBOs must adhere to in order to be deemed “in compliance.” National PPBOs service assets country-wide, therefore, it is impossible for them to rely only on employees to fulfill obligations under their contracts.Invariably, conflict arises between PPBOs and their independent contractors about compensation, scheduling, the scope of work, and efficiency of effort. It is not unheard of for independent contractors to have opinions about the way they are treated in the industry, and a strong belief that the PPBOs are getting rich on the backs of their work.The Department of Labor, the IRS, and state workforce agencies have been cracking down on businesses that are believed to be misclassifying employees as independent contractors. The housing market is cyclical, as evidenced during 2007–2009. As the crash worsened and foreclosures increased tenfold, PPBOs were flooded with work, requiring a commitment to extraordinary measures just to keep up with demand. During the crisis, there was an explosion of new players in the field, but this has since settled down with consolidation and attrition in the industry.As the inventory of foreclosed assets have decreased, PPBOs have ventured into new areas of revenue generation. Much has changed in the area of property preservation for PPBOs to survive in this new environment, and we need to take our heads out of the sand and embrace the opportunity for reinvention that is compatible with the modern changes taking place in America’s workforce.The Lay of the LandThe United States has experienced the longest period of sustained economic growth in several generations due to innovative business models that combine ideas, technology, and talent to create something new. Many of these business models did not exist prior to the recession of 2007–2009. Businesses have adopted machine learning, artificial intelligence, and robotics to increase efficiency and spur growth. Today’s economy enjoys conveniences and on-demand functionality that are different than just a few years ago. This new paradigm is called the “gig economy.” Central to how the gig economy works is how labor is managed. States such as California and Massachusetts are leading the way in defining this new economy.Assembly Bill 5 in California addresses a complicated question with a simple three-pronged test. The question is whether a person doing a task is to be classified as an employee or as an independent contractor. The answer addresses every element of labor and employment law including hours of work, wages, income tax, unemployment insurance, workers’ compensation, and mandatory sick leave.This ABC test, as it has been called, looks at autonomy (Prong A), meaning the worker must be free from “control and direction” by the employer over how and where they do the work. Secondly, the worker must perform work outside the employer’s “usual course of business” (Prong B). Finally, the worker needs to operate as “customarily engaged in an independently established trade, occupation, or business” (Prong C). The PPBO’s vendor agreement must prove all three prongs.Penalties can be severe. Employers who incorrectly classify workers must pay the unpaid state income tax, unemployment insurance, and disability insurance that it would have paid were the contractor an employee. The IRS can charge back FICA and payroll taxes. California intends to collect an estimated $7 billion annually from businesses that have evaded paying these payroll taxes. This legislation is guaranteed to start a national debate over how industrial era labor laws need to be rewritten to reflect 21st century nuances and concerns.How prevalent is independent contractor misclassification? The New York Labor Department completed more than 12,000 audits and investigations in 2014, resulting in more than $40 million in unpaid unemployment contributions. Similarly, Massachusetts audited more than 18,000 businesses in its last reported year and recovered $15.6 million from companies found to have misclassified independent contractors.In 2004, Massachusetts passed legislation that mandates the ABC test. Since then, the state has seen a lot of litigation over Prong B, the “usual course of business” rule, and it’s still not clear where the Prong B line is drawn. As a result, some companies have ceased doing business in the state and others have turned to hiring companies that have their own employees rather than individuals who may not meet the test.The Massachusetts statute is over 10 years old and never anticipated the gig economy. Since 2010, we have seen a loss in job security and pensions. In its place, workers hold multiple 1099 jobs. So long as PPBOs’ clients (financial institutions and government agencies) require adherence to strict performance standards, they will remain vulnerable to penalties under this new legislation. Laws such as A.B. 5 will presume workers are employees, entitled to all protections and benefits, unless they meet strict criteria as truly independent contractors.The Gig Economy ImpactThe focus on the gig economy has obscured the more widespread impact of the new law in traditional businesses, perhaps such as ours, where workers have been misclassified for years. Hundreds of thousands of construction workers, janitors, truckers, and others now paid as independent contractors may be entitled to earn minimum wage and overtime, receive unemployment insurance and family leave, and have bargaining rights.This new economy is allowing independent contractors to organize, creating an opportunity for states like California to establish a mechanism for Uber and Lyft drivers to unionize under the auspices of a state labor board, which could be extended to oversee union activity. The result may have crippling effects for PPBOs and their business model.At the 2019 Five Star Conference in Dallas, a panel discussed the strengthening of vendor relations in today’s market, but there was no clear mandate as to what this means. Taking a “wait and see” approach will only spell disaster. If we wait to see the effect, it will already be too late. We call upon all property preservation leaders to join together and draw a roadmap to guide the industry through this newly changing labor landscape.It has been estimated that, in order to comply with the new law in California, which takes effect on January 1, 2020, it would cost Uber $507 million and Lyft $290 million. Uber, which insists that its drivers don’t qualify as employees, has said it will force them to make claims for employment status individually. Together, these companies have committed $90 million to financing a 2020 ballot initiative to overturn the law, a quest that faces dubious prospects.What the rideshare industry is considering (and what PPBOs should start thinking about) is giving drivers greater benefits. Even after signing the bill, California’s governor continues to attempt to forge some compromise that might create a third category of worker—not a traditional, full-time employee, but rather an independent worker with certain enforceable rights and benefits.All of these scenarios suggest a rethinking about the role states play in protecting workers’ rights and economic security. As union membership declined, states have been the mechanism to ensure benefits including higher minimum wages, access to affordable health care, and portable retirement plans.Unless immediate attention is given to this problem, our industry may face huge losses that will have broad ramifications. A coalition of labor groups in New York has already proposed legislation modeled on the A.B. 5, and Gov. Andrew Cuomo has indicated support, saying he “does not like to lag California in anything.”PPBOs can create practical and sustainable independent contractor business models by re-examining those relationships. Such efforts can substantially increase their level of compliance and decrease or even eliminate misclassification exposure. For some companies, the quickest way is to reclassify independent contractors as employees or redistribute them with staffing companies. For those companies that wish to retain their independent contractor business model, compliance may come in the form of allowing the restructuring, re-documenting, and re-implementing of their independent contractor relationships consistent with applicable federal and state laws.In the end, if our industry is to remain profitable and continue to service banks and the government, we must lead the way by changing how we staff contracts. We propose that together, as an industry, we dedicate our talents and resources towards establishing practices that will act as a successful business model in the face of newly changing labor laws in the 21st century. Louis Salerno, Esq. represents numerous property preservation companies and is Chief Legal Counsel toGuardian Asset Management. From 2010 to 2014 Salerno was General Counsel at Asset Management Specialists. His background is as a corporate attorney who spent more than 20 years in Washington, D.C., practicing government contracts, vendor management, and employment law. A graduate of Villanova University School of Law, Salerno is a former Assistant Attorney General for the State of Ohio. Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Subscribelast_img read more

Senate Leaders Reach Deal on $2T Stimulus Package

first_img The Best Markets For Residential Property Investors 2 days ago Related Articles Mike Albanese is a reporter for DS News and MReport. He is a University of Alabama graduate with a degree in journalism and a minor in communications. He has worked for publications—both print and online—covering numerous beats. A Connecticut native, Albanese currently resides in Lewisville. The Best Markets For Residential Property Investors 2 days ago Previous: Bouncing Back from Bankruptcy Next: GSEs Launch Mortgage Deferment Programs Servicers Navigate the Post-Pandemic World 2 days ago Coronavirus Stimulus package 2020-03-25 Mike Albanese March 25, 2020 2,030 Views Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago  Print This Post in Daily Dose, Featured, Government, Newscenter_img Servicers Navigate the Post-Pandemic World 2 days ago Subscribe Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Demand Propels Home Prices Upward 2 days ago About Author: Mike Albanese Tagged with: Coronavirus Stimulus package Senate Leaders Reach Deal on $2T Stimulus Package Share Save Home / Daily Dose / Senate Leaders Reach Deal on $2T Stimulus Package Numerous reports say Senate Democrats and Republicans have agreed to a stimulus package that totals more than $2 trillion early Wednesday morning. “At last we have a deal,” Senate Majority Leader Mitch McConnell said Wednesday on the chamber’s floor, according to Bloomberg. “I’m thrilled that we’re finally going to deliver to the country.”Bloomberg reports Senate Democratic leaders Chuck Schumer called it an “outstanding agreement.” McConnell is still drafting the legislation and the Senate will need to vote on it Wednesday. The bill would still have to pass the House before it can be signed by President Donald Trump. According to reports, the plan includes about $500 billion that will be used to back loans and assistance to companies, with also $50 billion for loans to U.S. airlines and state and local governments. It also has more than $350 billion in aid to small businesses and $150 billion in aid for hospitals. Bloomberg reports the package provides direct payments to lower-and-middle incomes Americans of $1,200 for each adult and $500 for each child. Unemployment insurance will also be extended by four months. CNN reports that Americans who earn $75,000 in adjusted gross income would get direct payments of $1,200 each and married couples would get $2,400 each. Single Americans making more than $99,000 will be phased out of the payment plan and $198,000 for couples without children. Talks of a stimulus deal on Tuesday gave stocks their highest percent gains since 1933. The Dow Jones on Tuesday rose 11%—2,112.98 points—to 20,704.91. The S&P 500 grew 9.4% and had its best day since 2008. The Nasdaq Composite increased 8.1% for its best day since March 13. Both the Dow and S&P 500 were coming off their lowest levels since late 2016.CNBC states the Dow fell 582.05 points, or 3%, on Monday to a new three-year low. It was on pace for its worst calendar month since 1931. Sign up for DS News Daily Demand Propels Home Prices Upward 2 days agolast_img read more

Derry police in Flag protests warning

first_img Derry police in Flag protests warning WhatsApp Facebook Pinterest Police in Foyle says they are investigating all crime and disorder linked to the flag protests and have arrested 3 people and reported 7 to the PPS to date.In a statement, the police say they understand the frustration of the community at the ongoing protests and that they are doing their utmost to police the protests with minimum disruption to the wider comunity.Police in Foyle say their priorities are to protect the public, preserve public order, uphold the human rights of all and gather evidence of any wrongdoing with a view to prosecuting anyone who breaks the law.They say that where the law is broken or a parade/ procession takes place unnotified they gather evidence with a view to identifying offenders with law breakers being brought before the courts.The Chief Constable has called for protestors to take a step back and think about the potential consequences of their actions for the wider public and themselves.Police ask for the  support and patience of local representatives and residents as they work to manage the ongoing protests around the Union Flag and urge all public representatives to work together to bring the protests to a conclusion. Google+ Previous articleTest results in horse meat controversy due todayNext articleDonegal forester appeals again for government not to sell Coilte lands News Highland Google+ By News Highland – January 17, 2013 Twitter WhatsApp Newscenter_img LUH system challenged by however, work to reduce risk to patients ongoing – Dr Hamilton Twitter Pinterest Facebook Three factors driving Donegal housing market – Robinson RELATED ARTICLESMORE FROM AUTHOR Guidelines for reopening of hospitality sector published Calls for maternity restrictions to be lifted at LUH Almost 10,000 appointments cancelled in Saolta Hospital Group this week Business Matters Ep 45 – Boyd Robinson, Annette Houston & Michael Margeylast_img read more