A report from the Orange County Register. "Impac Mortgage temporarily shut lending operations and furloughed 333 workers due to market turmoil tied to the novel coronavirus. The Irvine-based company, one of the few non-traditional lenders that survived the mortgage collapse of the Great Recession, suspended lending as of March 30. Impac filed a layoff notice with the state on April 18 saying its employees were in 'temporary layoff' status. So-called 'non-bank' lenders and mortgage servicers have seen cash flows squeezed and mortgage investors scared off. These gyrations hurt a lender like Impac that made more than $1 billion in non-traditional mortgages — through both mortgage brokers and directly with its CashCall brand — in each of the past two years."

"'While mortgage markets may appear to be normalizing, the industry, most acutely for non-bank mortgage originators and servicers, continues to manage to the uncertainties of the various initiatives promulgated by the U.S. federal government, the Federal Reserve and other state and local governmental and quasi-governmental agencies relating to economic stimulus, mortgage principal and interest forbearance, liquidity and origination and servicing practices,' an update from Impac stated. 'Until the industry achieves clarity on these items, the company’s lending activities will remain on hold.'"

"The losses by lenders such as Impac put parts of the housing market at risk. It’s especially true in high-price markets like California where non-traditional lender — who can make larger loans to buyers with less-conventional incomes — have been a noteworthy slice of the homebuying business."

From Bloomberg. "The wealthiest, most-reliable mortgage borrowers in the U.S. are hearing an unfamiliar word from lenders: No. The global pandemic has flipped the mortgage market upside down, turning the industry’s most-valued customers into risky bets. When the rich lose income and stop paying, costs for lenders are magnified because the loans -- known as jumbos since they are bigger than most conventional mortgages -- don’t have the government to backstop losses."

"In Southern California, Damon Germanides, a broker at Beverly Hills-based Insignia Mortgage, said he is still closing a lot of loans. It’s just getting harder to get them across the finish line. A Los Angeles homebuyer he’s working with may fall short of qualifying for a mortgage, despite good credit and owning a business that’s doing well during the pandemic because it’s deemed 'essential,' Germanides said. The borrower was ready to pony up 20% of the home’s value for the down payment, but he now probably needs to offer 30%."

"'A month ago, he was a no-brainer,' Germanides said. 'Now he’s 50-50.'"

"Banks including Truist Financial Corp. and Flagstar Bancorp Inc. also have pulled back by limiting refinancings, suspending their purchases of new loans made by correspondent lenders or pulling short-term credit lines from smaller mortgage companies they fund that make jumbo loans. Much of this pullback is because investors who’d normally buy these loans no longer want them, said Stanley Middleman, chief executive officer of Freedom Mortgage Corp., one of the nation’s biggest home-lending companies."

"'Whether the assets are good or not good is irrelevant because there’s no liquidity to buy them,' he said."

From KAGS TV in Texas. "Bryan College Station is home to many students and local families as well. With people losing jobs and schools moving online, the housing market may face fluctuations different from what it is used to. While the demand for renting property may have slowed down, things look a little different on the buying side. 'As of right now, I’m still seeing a very steady pace like last year and the year before,' said 12th Mortgage Loan Officer, Summer Handy. 'Here in the differences and challenges that we’re seeing is that we have extra hoops to jump through. With unemployment with the constant changing up of how many people’s jobs are affected, then we’re having mortgage constraints.'"

From Fox Business on Illinois. "Michael Jordan owns at least five homes, two of which are up for sale. The first home Jordan is selling is located in Highland Park, Illinois, just north of Chicago. The massive, 32,683-square-foot home is listed for $14.9 million. While the nearly $15 million price tag may sound expensive, it’s an almost 50 percent price cut from the original listing price of $29 million from when the home first hit the market in 2012, according to Zillow. Since then, the property has seen a few discounts to its current price, failed to sell at auction and moved brokers."

The Wall Street Journal. "Many U.S. landlords whose commercial tenants are asking for rent relief due to the coronavirus pandemic are acquiescing, though some are asking for proof of financial strain before delaying or even forgiving payments. Real-estate advisers, property managers and lawyers say they are fielding inquiries from tenants, landlords and lenders about ways to strike rent- and mortgage-relief deals given the closures of nonessential stores and the resulting economic downturn."

"'At the end of the day, it still comes down to the landlord’s lender not wanting to see the property foreclosed,' said Andy Graiser, co-president of A&G Real Estate Partners, a Melville, N.Y., commercial real-estate advisory firm. 'The landlord wants occupancy. The tenant wants to do business; they don’t want to go out of business.'"

"Landlords of retailers are normally used to striking lease-restructuring deals, but landlords of other businesses aren’t, said Matthew Bordwin, principal and managing director at Keen-Summit Capital Partners LLC, a real-estate brokerage and investment banking firm. 'More people jumped on the not-paying bandwagon than landlords anticipated,' Mr. Bordwin said. 'They are being overrun with non-payment of rents.'"