Firms active in nonprime servicing increased their portfolios by 7.5% on an annual basis in 2021. Servicers also are turning to loan modifications as forbearance plans end. (Includes data chart.)

While delinquencies on non-QMs spiked in the early days of the pandemic, many of those borrowers returned to making payments or cured their debt without the loan holders suffering large losses.

Aggregation of non-agency mortgages isn’t generating the types of returns seen in 2021, but it’s still a good business, according to officials at MFA Financial.

AG Mortgage Investment Trust acquired $2.5 billion of non-agency loans last year, about half of them during the fourth quarter. The REIT is targeting returns of around 15% from non-agency MBS issuance.

Spreads on non-agency MBS issued early this year were wider than the pricing seen near the end of 2021. Industry participants witnessed volatility in the broader financial markets along with an increase in the supply of non-agency MBS.

Commercial mortgage trading is a market that flies under the radar of most residential broker/dealers. RAMS has decided to make the leap.

Both the new capital rule and updated eligibility requirements for GSE seller/servicers could affect participants.

Nonbank boosters continue to fear Ginnie Mae’s final capital rule may not accurately reflect the intrinsic value of MSRs. Others fear it could be too soft.

Fed Governor Christopher Waller says asset sales are “a conversation for another day.”

Momentum for aircraft securitizations won’t come until late 2022, according to Fitch. Sanctions on Russia and damage to planes in Ukraine could sink certain deals.