Investors are showing strong demand for non-agency MBS, leaving leaders of issuers optimistic.

Recent cases involving subprime auto lender Tricolor and auto parts manufacturer First Brands prompted the initiative.

Pending proposals from the Fed would impact MBS market; Moody’s looks to rate securitizations of home equity loans.

Lower interest rates and potential policy changes are expected to help drive an increase in prepayment activity this year.

A change in how MBS deals are rated led to more than 1,000 upgrades for tranches of deals backed by HELs and seasoned mortgages.

SFA’s new director of advocacy comes from CSBS; Ginnie adjusts platinum MBS pooling; earnings per share at Orchid Island Capital up in fourth quarter; Setpoint to acquire due diligence provider.

Fitch held on to the top ranking in ABS ratings through the first nine months of 2025. Kroll stretched its lead in RMBS ratings.

The securitization rate for residential mortgages originated during the third quarter was near the same level seen in 2019. Meanwhile, the share of GSE-eligible mortgages that flowed into MBS increased.

The non-agency mortgage-backed security market in 2026 is expected to grow with predictions of record issuance volumes.

Adoption of portable mortgages would be difficult under current practices in the secondary market. An official at Intercontinental Exchange believes that tokenization could address the issue.