Some delinquent loans have been removed from MBS trusts before completing their modification trial periods.

Non-agency MBS on offer in recent weeks include deals backed solely by mortgages originated by a Community Development Financial Institution, non-agency mortgages for investment properties and proprietary reverse mortgages.

Steven Abrahams of Amherst Pierpont Securities believes FHA might use surplus MMI funds to subsidize first-time homebuyers and other traditionally underserved communities.

Federal oversight is still needed to monitor the systemic risks to the housing-finance system, according to two separate reports from the Government Accountability Office and the Congressional Budget Office.

JPMorgan Chase was in a league of its own in the prime non-agency mortgage-backed securities market last year, with more than double the volume of its nearest competitor. (Includes three data charts.)

The first non-agency MBS issued by a Community Development Financial Institution includes loans that didn’t require verification of borrower income or employment.

Recent non-agency MBS include the year’s first expanded-credit MBS, plenty of prime deals and even a security with proprietary reverse mortgages.

Six issuers offered expanded-credit MBS in recent days, ending a nearly 30-day pause in issuance. Loans in the deals have seasoned for longer than the turn times seen for prime non-agency MBS.

Head of investment strategy at Amherst Pierpont Securities said changes to FHA premiums based on the MMIF capital ratio had big impacts on prepayments following the Great Recession.

Fed Chair Jerome Powell told the Senate Banking Committee that the central bank could begin to reduce its portfolio of Treasuries and mortgage bonds later this year.