FHA Commissioner Dana Wade has questioned the increase in loan limits, saying the agency has been put in a position of insuring a segment of borrowers who are better served by conventional lenders.
In areas where home price appreciation rises faster than conforming loan limits, Redwood's network of correspondent lenders gives it an edge in the jumbo loan market.
If not for the surge in originations and refi income, the delinquencies and defaults seen this spring could have caused some mortgage companies to fail, according to Federal Reserve Governor Michelle Bowman.
FHFA Director Mark Calabria and Treasury Secretary Steven Mnuchin seem to have different motives to take the GSEs out of conservatorship. However: Will they be able to reach an agreement soon?