When times get tough, the smart money starts to find ways to save money any way it can. If you’re SFR REIT Invitation Homes, prepaying an outstanding MBS is one way to go.
The tide may be turning for MBS-gobbling real estate investment trusts. If you’re an investor looking for a buy-low, sell-high trade, this may be it. That is, as long as rates don’t reverse course and head higher. Meanwhile, it’s almost a year since SoFi became an FDIC-insured bank.
Issuance of Ginnie Mae single-family mortgage-backed securities dropped 5.6% in November as refinances hit their lowest level in more than three years. (Includes two data charts.)