There’s more than $50.0 billion in capital ready to acquire new nonprime home loans, including non-qualified mortgages, according to Dan Perl, chairman and CEO of Citadel Servicing, a nonprime lender. “Liquidity is abundant,” he said last week at the California Mortgage Bankers Association’s Western Secondary Market Conference in San Francisco. “There is a ready market for this and I couldn’t say that two years ago.” William Pendleton, a senior vice president of portfolio lending at Caliber Home Loans, said...
One of the largest players in the "new" nonprime mortgage industry is Citadel Loan Servicing, Irvine, CA, which now has a portfolio totaling $600 million.
Panorama Point Partners this summer participated in what it calls a “significant” capital raise for Alterra Home Loans, a Las Vegas-based nonbank started by Hispanic-Americans that’s been on a production tear the past four years, growing originations by upwards of 250 percent every 12 months. If all goes well, AHL hopes to fund $1.3 billion of residential mortgages in 2016, 70 percent of it to minorities, a large chunk of them Hispanics. In short, Alterra sees gold in ...
In the next year or so, a changing environment will remain the norm in the mortgage industry, where participants can expect impending interest-rate increases, new product offerings, increasing competition, new servicing business models, and continued regulatory scrutiny, according to a new PricewaterhouseCoopers (PwC) study. To address flat production volume and shrinking margins, lenders will need to cross-sell products, and concentrate on reducing ...
The dramatic expansion of the credit box for loans sold to Fannie Mae and Freddie Mac in the first quarter of this year held steady in the second quarter, according to a new Inside Mortgage Trends analysis of mortgage-backed securities data. In the first quarter, the share of purchase loans sold to the government-sponsored enterprises with credit scores ranging from 620 to 699 jumped by nearly 7 percentage points to 21.4 percent. The low-score share ... [Includes one data chart]
Fannie Mae and Freddie Mac processed a huge increase in single-family business through their mortgage-backed securities platforms in July, according to a new Inside The GSEs analysis and ranking.Total single-family MBS issuance hit $83.27 billion in July, a solid 9.3 percent increase from the June. It was the biggest monthly output for the two GSEs since August 2013, when they had a combined $98.83 billion in single-family MBS issuance. Most of the gain came from a 15.3 percent jump in purchase-mortgage business in July. But the flow of refinance loans also increased, by a more modest 3.6 percent, from the previous month.
Overall, Fannie Mae’s bottom line was bolstered by a strong quarter for originations: $510 billion in the second quarter compared to $380 billion in the first, according to Inside Mortgage Finance.
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