The $269.29 million jumbo mortgage-backed security that Shellpoint Partners plans to issue next week will be the first to include certain recommendations from the RMBS 3.0 project, according to the Structured Finance Industry Group. Eric Kaplan, a managing director at Shellpoint, helped launch the SFIG’s RMBS 3.0 effort. The representations and warranties on Shellpoint Co-Originator Trust 2015-1 will include a mandatory review upon ... [Includes three briefs]

The monitor of a $2.0 billion settlement involving Ocwen Financial revealed last week that the nonbank was found to have failed another metric under the settlement. However, the monitor noted that Ocwen has worked to address many of the issues that have dogged the company over the past year. The monitor re-tested Ocwen on a number of metrics under the settlement due to concerns that were raised about the integrity of the servicer’s internal review group ...

The serious delinquency rate on subprime mortgages continued to improve in the second quarter of 2015 while the amount of subprime mortgages outstanding also dwindled. An estimated $330.0 billion in subprime mortgages were outstanding as of the end of the second quarter of 2015, according to Inside Nonconforming Markets. The volume was down by 14.5 percent compared with the second quarter of 2014. In that time, the serious delinquency rate ... [Includes one data chart]

Despite former Federal Housing Finance Agency Acting Director Ed DeMarco's call for comprehensive reform of the nation's housing finance system and Fannie Mae and Freddie Mac, the analysts at Compass Point Research & Trading remain convinced "that there is neither the legislative capacity nor political will to address housing finance reform in this Congress."

More than a year after the Consumer Financial Protection Bureau’s standards for qualified mortgages took effect, originations of near-prime non-QMs remain limited. However, industry participants are optimistic that originations will pick up and Lone Star Funds recently jolted the sector with a non-agency mortgage-backed security. The $72 million non-agency MBS from Lone Star was backed by non-QMs originated by Caliber Home Loans, a lender owned by the private-equity firm ...

Investors have a lot more to worry about these days than the collateral damage stemming from problems in Greece and China and a bumpy U.S. stock market. Ratings analysts indicate some new energy-related risks – most notably earthquakes near “fracking” sites and a plunge in the price of oil – have emerged as potentially significant challenges to investors in real estate and to mortgage lenders. Analysts at Standard & Poor’s said in a recent client note that earthquakes in proximity to fracking sites introduce a unique risk factor into the investment equation for those with a stake in real estate located in affected regions. “In particular, determining whether or not earthquake coverage is...

On Wednesday, Freddie Mac announced that it guaranteed its second multifamily small balance loan securitization. The government-sponsored enterprise expects to guarantee approximately $109 billion in SB Certificates and plans to price them next week.

Fannie Mae and Freddie Mac continue to increase their focus on the multifamily segment, which generated growing income for the two government-sponsored enterprises during the second quarter. Freddie Mac’s comprehensive income for multifamily grew by $102 million to $366 million for the second quarter. The increase was primarily due to higher unrealized gains on available-for-sale-securities. New purchase volume remained...

Two more long-running legacy MBS lawsuits were resolved last week after defendants Goldman Sachs and Deutsche Bank separately agreed to settle with plaintiffs. The NECA-IBEW Health & Welfare Fund, a union pension fund in Decatur, IL, is seeking preliminary court approval of a $272 million settlement with Goldman Sachs on behalf of entities that purchased MBS issued by defendant GS Mortgage Securities and which Goldman underwrote. If approved, the settlement would put...

Fannie Mae on Thursday unveiled that Lone Star (LSF9 Mortgage Holdings) was the sole winning bidder on its second sale of non-performing mortgages. The auction was marketed in late July and is expected to settle Sept. 25.