Economic uncertainty will require mortgage companies to be more flexible in how they scale their operations.

Rick Jones, a longtime industry lawyer, wants commercial MBS participants to strike a grand bargain, including changes to servicing practices and moves to increase demand from investors.

Western Alliance Bancorp, Phoenix, appears to be one of the largest lenders in the space.

Shellpoint handled servicing on 32.3% of the non-agency MBS issued during the third quarter. (Includes data table.)

Servicing outstanding on 1-4 family mortgages increased by an estimated 0.8% during the third quarter. Ginnie servicing grew at more than twice that pace, fueled by refinance originations. (Includes two data tables.)

The total amount of nonprime servicing handled by a group of 20 specialists continued its upward trend, unbroken since 2020. (Includes data table.)

Investments in customer service can help both borrowers and servicers, according to industry participants. Servicers are using AI and other tech to help borrowers and potentially generate recapture business.

Jumbo servicing portfolio volume was nearly unchanged from the second quarter to the third. Larger banks saw declines in portfolio sizes. (Includes data table.)

Investments in technology are helping Mr. Cooper reduce its servicing costs and allowing the industry’s largest servicer to place competitive bids on servicing portfolios.

A new study from J.D. Power showed that mortgage servicers could better meet customer demands by implementing online chat and AI technologies into their workflows.