There were no seismic shifts in the demographics of the mortgage-servicing business during the third quarter of 2017, although a new Inside Mortgage Finance ranking and analysis revealed an unexpected decline in the total holdings of the top servicers and a shift in composition. The top five shops held a whopping $3.716 trillion of servicing on their books at the end of September, down 0.2 percent from the previous quarter. The only top-five servicer to ... [Includes two data charts]
In an attempt to help its smaller seller/servicers achieve better pricing on coissuance transactions, Fannie Mae will launch a new “Servicing Marketplace” designed as an upgrade to an existing program that some say was seldom used. The new platform allows sellers to choose a Fannie-approved coissuance servicer and commit to sell servicing rights at the same time they sell the loan into a Fannie mortgage-backed security. All transactions are on a bifurcated basis; that is, the seller is still ...
In a well-telegraphed move, federal regulators this week proposed reduced capital requirements for bank holdings of mortgage servicing assets, including mortgage servicing rights. The proposal issued late last week was part of an effort to “simplify” servicing-related capital requirements for all but the largest banks. The proposal would eliminate a 10 percent common equity tier 1 capital deduction threshold that currently applies to MSAs and certain other assets. Instead, a 25 percent deduction ...
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