Regulatory oversight of nonbank mortgage lender/servicers has increased in recent years, but most of the actions have been uncoordinated. In the latest move, FHFA proposed financial standards for GSE seller/servicers.

The trend toward servicing outsourcing is continuing amid an MSR sale boom that could gain steam in the quarters ahead. (Includes data chart.)

Bidders continue to sidle up to the MSR auction bar as interest rates move higher. Are premium prices beginning to waiver? We’re not there yet but sometimes the market can turn on a dime.

The servicer will pay $1.5 million to settle a class action alleging it recorded phone conversations with mortgagors without their consent.

Sales of mortgage servicing rights have been nothing short of stunning the past five quarters. Can the good times last? Yes, if prepayment speeds cooperate.

FHFA is reportedly working to re-propose updated financial eligibility requirements for Fannie/Freddie seller/servicers. The changes had been put on the back burner at the start of the pandemic.

Overall, mortgage delinquencies at the end of 2021 had returned to levels seen before the pandemic. Serious delinquency rates are elevated compared with the days before the coronavirus. (Includes data chart.)

Wells Fargo still ranks as the top mortgage servicer, but its industry-leading portfolio fell below the $1 trillion mark. (Includes three data charts.)

If rates keep rising, owners of MSRs can mark up the value of this esoteric asset when reporting first-quarter results. As for the fourth quarter of 2021, conservatism was the watchword.

Mortgage servicing rights may not seem like a particularly tempting investment. But in these turbulent times they’re attracting new interest from the private equity world.