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(got cash?) Fitch: G-SIFIs Need to Raise $566B Ahead of Basel III – BY: TORY BARRINGER – Fitch Ratings recently published a report estimating that 29 global systemically important financial institutions (G-SIFIs) may need to raise about $566 billion in common equity in order to satisfy new Basel III capital rules by the end of 2018. – The M Report

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Credit Unions Originate Record Number of Mortgages - BY: RYAN SCHUETTE – The M Report

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Glass-Steagall – Who’s right?
1. Reinstating an Old Rule Is Not a Cure for Crisis – By ANDREW ROSS SORKIN – NY Times

2. Bringing Back Glass-Steagall Would Rebuild Shattered Confidence In Wall Street – Sy Harding – Forbes

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Prices Show Strongest Year-to-Year Gain in 6 Years: NAR – BY: MARK LIEBERMAN – Existing-home sales rose to 4.62 million (seasonally adjusted annualized rate) in April from a downwardly revised March rate of 4.47 million, the National Association of Realtors (NAR) reported Tuesday. Economists had forecast the April sales pace would be 4.66 million. The median price of an existing home climbed 10.1 percent to $177,400 from $161,100 in April 2011, the strongest year-to-year gain since January 2006. The median price in April reached its highest level since July 2010 when it was $182,100. – more – DS News
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(has link to Jim Milstein’s plan) Could Fannie and Freddie Pay Back Taxpayers Someday? – By Alan Zibel – Wall Street Journal
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Michelle Meyer: This One Key Thing Is Holding Back The Housing Market – Mamta Badkar – … because lending to lower quality borrowers remains tight: … the FHA is willing to lend to scores as 620 with only 3.5 percent down which seems like it should be able to cover a large part of the universe and help to support housing demand. But in reality if you look at the credit scores of the loans they’re actually making, it’s much higher, an average of about 720. So there is not much lending going on to the lower quality borrowers … So I would expect to see credit remain tight certainly in the near term. … – Business Insider 
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(strange logic and obsession of the 1%) The 1 Percent Is Buying Up All Of The Low End Real Estate – Gary Anderson, Strategic Default Books – … A questions is whether the hedge funds will be stuck after the next bubble or if they will try to sell high to the renters with easy terms. I tend to think selling high to the renters will be the way they deal with serious rises in house prices going forward. … – Business Insider
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Fortress Seeks Servicing Rights From $4 Trillion Sale: Mortgages – By John Gittelsohn – Fortress Investment Group, whose funds own 77 percent of mortgage servicer Nationstar Mortgage Holdings Inc., is leading the race for $4 trillion in home loan collection rights as banks exit the business – more details – Bloomberg Businessweek

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(Dimon the reason?) Three U.S. senators target bankers’ role at Fed – by Mark Felsenthal – (Reuters) – Three U.S. senators on Tuesday proposed legislation barring bankers from serving on the boards of the Federal Reserve’s 12 regional banks, saying the practice poses dangerous conflicts of interest that are highlighted by the recent trading loss of JPMorgan Chase & Co. … It is unclear whether the legislation will gain any traction in the Senate, and aides said they were unaware of any companion bill currently in the House of Representatives. …

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FDIC Sues Megabanks Over Securitization Appraisals – By Jeff Horwitz – The Federal Deposit Insurance Corp. has sued Bank of America, Citigroup, JPMorgan Chase and other banks for a cumulative $92 million in damages on mortgage-backed securities, alleging that shoddy appraisals and other underwriting defects tainted their sale. The litigation stems from the FDIC’s role as receiver for Illinois’ Strategic Capital Bank and Citizens National Bank, both of which failed in 2009 – Mortgage Servicing News
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Housing chief leaves Morgan Stanley to launch buy-to-rent fund – Posted by jgaffney – Reuters exclusive: Oliver Chang, head of U.S. housing strategy at Morgan Stanley, who has written more about foreclosed homes as an investment opportunity than any other Wall Street analyst, is leaving his firm to start his own buy-to-rent housing fund. – Housingwire

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Affordability Reaches All-Time High Again: NAHB/Wells – BY: ESTHER CHO – With low rates and low prices, homeowner affordability continues to hit record levels, reaching another high during the first quarter of 2012, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI). During the previous record-breaking 2011 fourth quarter, 75.9 percent of homes sold were affordable to median-income earners. For this most recent quarter, HOI data showed 77.5 percent of all new and existing homes sold were affordable to families earning the national median income of $65,000. – DS News

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