It’s a new year and MSR sales are already beginning to heat up. But who will the most active buyers be in 2024? Count on Mr. Cooper, JPMorgan and private-equity-backed investors.

The Supreme Court will hear a case on whether national banks are required to follow state requirements to pay interest on funds in mortgage escrow accounts. A ruling in favor of national banks could lead to an unlevel playing field, according to state regulators.

The Financial Stability Oversight Council’s annual report included four recommendations to address concerns about risks from nonbank mortgage servicers.

Whole-loan portfolios among insured depositories grew 1.1% during the third quarter, while those institutions pared their servicing-for-others activity by 0.2%. (Includes two data tables.)

Finance of America is ready to unload the last remains of its MSR portfolio. But it comes at an interesting time: Rates continue to fall, thus impacting asset prices.

Subservicing volume declined during the third quarter, which might explain some of the recent consolidation in the space.

Black Knight didn’t receive all of the damages it sought from PennyMac while the nonbank servicer is now free and clear to use proprietary technology that’s less expensive than Black Knight’s offerings.

The servicing side of the business continues to be a source of strength for mortgage bankers fortunate enough to own MSRs. Sales have been strong throughout most of 2023, just not as strong as last year.

When interest rates were low, escrow accounts were an afterthought in terms of MSR values. Now that interest rates are elevated, banks are seeing strong earnings from funds held in escrow accounts.

With the supply of MSRs expected to grow, there are concerns that prices won’t hold up. Meanwhile, the CFPB is considering incentives for lenders to retain servicing.