Bank of Hope anticipates three-year earn-back period following sale of low-yielding MBS; Figure touts strong demand for HELOC securitization; Wells transferring some non-agency MBS servicing to Shellpoint; Hooters whole-business securitization downgraded again.

Stop-advance standard for non-agency MBS under consideration; EJF Capital works with Third Coast Bank on another CRT; MISMO proposes standards for electronic HELOCs.

As the housing shortage persists, home equity has been increasing, creating opportunities for lenders.

Non-agency securitization of home equity loans resumed its rising trajectory after slumping in the fourth quarter of 2024. Rocket was the top issuer in the first quarter, focusing on closed-end second liens. (Includes two data tables.)

The subservicing solution is designed to manage the unique challenges of servicing home equity lines of credit.

The amount of available home equity ticked down during the fourth quarter and lenders saw a fall in demand from homeowners for home equity loans. Still, for the full year, home equity lending increased by 10.8%. (Includes three data tables.)

Fed reduces redemption cap for Treasury securities, allows agency MBS runoff to proceed; Annaly to issue securitization with HELOCs; non-agency MBS term financing transaction from PIMCO.

The investment in the Figure Connect loan marketplace will be used for the purchase of non-agency assets.

Issuance of both closed-end second liens and home equity lines of credit declined in the fourth quarter. For the full year, securitization of home equity loans dwarfed 2023. (Includes two data tables.)

KBRA forecasts that non-agency securitizations of HELOCs and CES loans will increase next year.