SEC approves Better-Aurora merger; FICO increasing mortgage revenue as originations decline; Rithm to spin off most of its origination/servicing business; impact of revised capital requirements for large banks.

New business and MBS issuance jumped in the second quarter. However, those upticks didn’t account for the spike in profitability at Fannie Mae and Freddie Mac. (Includes data chart.)

Real estate investment trusts are optimistic about the agency MBS market even with anticipated short-term volatility amid turmoil in the banking industry.

In a reversal of strategy, regional banks plan to place as much as 70% of their mortgage originations in the secondary market.

The privately-owned financial services company has been offering subprime auto ABS for decades.

There’s an MI-linked CRT from Essent, a seasoned CRT from Freddie Mac and a non-agency deal from Jefferies; Goldman to issue commercial MBS with Amazon shipping facilities.

The proposal would change risk weights for mortgages in bank portfolios based on LTV ratios. Close to 20% of mortgages not sold by banks in 2022 had LTV ratios for which higher capital requirements would apply.

As the CFPB reassesses its loan originator compensation rules, it took novel actions against lenders for LO comp practices.

Fannie and Freddie both shifted from a provision for losses in the first quarter to a benefit in the second. Almost all of that improvement took place in the enterprises’ single-family businesses.

Buydowns of interest rates on mortgages continue to be a valuable tool for lenders and homebuilders looking to compete in the current high interest rate environment.