“By contrast, the 2017 HECM portfolio has a negative capital ratio of 19.84 percent and a negative economic net worth of $14.5 billion,” HUD said in its summary.

More M&A deals are expected in the quarters ahead…

Upon Cordray’s announcement, Rep. Hensarling declared: “We are long overdue for new leadership at the CFPB, a rogue agency that has done more to hurt consumers than help them…”

Correspondent programs are most dominant in the FHA market, perhaps reflecting a preference among large producers to have recourse…

Today, just three depositories remain among the top 25 HECM lenders: First Bank (ranked 16th at mid-year), The Federal Savings Bank (19th) and Quontic Bank, FSB (21st).

Also likely to pass: a bill that would exempt from property appraisal requirements a mortgage of $250,000 or less if it appears on the loan creditor’s balance sheet for at least three years…

PIMCO also has been buying non-agency mortgages, holding the paper in one of the funds it manages.

Some $28.61 billion of non-government-insured higher-priced mortgages were originated in 2016, up 28.9 percent from the previous year…

However, a source familiar with the matter stressed that the GSE is merely considering a construction-to-perm product and nothing more.

Mortgages aggregated by Shelter Growth account for 43.5 percent of the collateral.