Volume 2015 - Number 14
April 17, 2015
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Overall non-agency MBS issuance dipped slightly in the first quarter of 2015, but the jumbo mortgage sector hit its biggest production volume since the financial crisis in late 2008, according to a new Inside MBS & ABS analysis and ranking. A total of $21.94 billion of non-agency MBS were issued during the first three months of this year, down 0.2 percent from the fourth quarter. The lion’s share of these deals were backed by seasoned loans, either ... [Includes two data charts]
Deal Agent Seen as ‘Centerpiece’ of the Benchmark Non-Agency MBS Transaction Treasury Is Helping to Facilitate
In an effort to convince large investors to buy AAA tranches of non-agency MBS, the benchmark transaction under development with help from the Treasury Department will include a deal agent or transaction manager. “Part of the centerpiece [of the non-agency MBS benchmark transaction] is around the role of a new player in these transactions, an independent deal agent that represents the interests of the investors,” said Michael Stegman, counselor to the Treasury ...
The market impact of high prepayment speeds in recent months has been muted due to the Federal Reserve’s large holdings of agency MBS serviced by nonbanks, according to industry analysts. However, the increased presence of nonbank servicers in agency MBS has prompted adjustments by investors. Loans in agency MBS serviced by Quicken Loans and Provident Financial, among other nonbank servicers, have recently been prepaying at ...
The Blackstone Group Buys a Mortgage Lender and Eyes Another as It Ponders Move Into Residential MBS
The Blackstone Group, an investment banking powerhouse, has purchased Gateway Funding Services, Horsham, PA, and plans to use the nonbank as its platform to ramp up originations, servicing investments and MBS issuance, according to industry officials familiar with the situation. As Inside MBS & ABS went to press this week, the Blackstone Group had not responded to a media inquiry on the matter. Gateway also could not be reached, but according to ...
High guarantee fees and loan-level pricing adjustments charged by Fannie Mae and Freddie Mac are not enough to counteract lingering MBS investor mistrust and draw private players back into the housing finance market, according to a top industry official. “The Federal Housing Finance Agency seems to believe that by raising costs for loans purchased or guaranteed by the government-sponsored enterprises, they can lure private sector capital back to the mortgage market ...
The Community Home Lenders Association wants a portion of the quarterly profits that Fannie Mae and Freddie Mac give to the Treasury Department put in a reserve account to help smaller mortgage lenders, according to a recent letter the trade group wrote to Treasury Secretary Jack Lew. The group contends that the Preferred Stock Purchase Agreement funds should be set aside in a reserve account to capitalize a cash window for smaller mortgage lenders that would ...
Vintage prime adjustable-rate mortgages went delinquent at a rate 30 percent higher when they were securitized privately, according to an economist with the Federal Reserve System. The study was based on mortgages originated in 2005 and 2006, at the height of the aggressive underwriting in the non-agency mortgage market. “We find that private-securitized loans perform worse than observably similar, non-securitized loans, which provides evidence for adverse selection ...
One page of issuance data.
- Top Players 4Q14
- Agency Channel Analysis: 2014
- GSE Seller Profile: 4Q14
- GSE Private Mortgage Insurance Profile 4Q14
- Mortgage Profitabiilty 3Q14
Most Popular Stories
- Jumbo MBS Issuance Reaches Post-Crisis High
- What Were Hearing: Concern Over LPMI Discounting? / RoundPoint Still Hunting for a Suitor / A Book out on Seterus? / When Fannie Almost Bought Litton / loanDepot Claims Its Among the Fastest
- No G-Fee Hike but GSEs LLPAs Rise for Cash-Outs, Conforming Jumbos
- Credit Union Share of Residential Production Hits a Record 9.45 Percent
- Texas Depository Purchases 15-Year-Old Nonbank Mortgage Firm