The outlook for Fed action is largely positive for MBS investors, with interest rate volatility expected to decline. Still, rate cuts will introduce a risk that has been limited for years: prepayments.

The loans backing the security were originated by A&D or its third-party correspondents.

The new $413.41 million MBS includes loans underwritten to bank statements and debt service coverage ratios.

Note: Truist Bank upped its Ginnie pass-through investment by $9.84 billion to $22.56 billion.

To this point, Acra has contributed to MBS from others and sold off its non-QM production as whole loans.

Ginnie Mae issuers produced $38.15 billion into mortgage-backed securities in July, an 8.3% increase from the previous month. (Includes two data tables.)

The executive president of the Mexican Association of Retirement Fund Administrators noted that some Mexican investors see U.S. MBS as a riskier investment than U.S. Treasuries.

Among the top 10 GSE loan sellers in July, just one was a federally insured depository: U.S. Bank.

Finally, a true bond market rally and lower mortgage rates! Well, don’t bet the bank quite yet.

The move is meant to keep FHA multifamily loans for new construction competitive with those from other programs.