Mr. Cooper Group, already the largest primary servicer, increased its servicing volume by 2.8% during the third quarter while the amount of servicing outstanding grew by 0.8%. (Includes three data charts.)

Why might some MSR buyers pay more for recent higher-coupon portfolios than their peers? They’re confident they can recapture the customer when a refi is “in the money.”

Holders of mortgage servicing rights marked down the assets at the end of September amid a decline in interest rates. Lower rates reduce the value of MSRs by incentivizing refis.

This year will yield fewer sales than the two previous years but those were aberrations. Small MSR portfolios are available, but nothing in the “mega” $10 billion range.

It’s no surprise that Ginnie, and nonbank servicers, saw the biggest gains in the agency MSR market in the third quarter. Freedom Mortgage made noise growing its portfolio by nearly 20%. (Includes two data tables.)

Onity owns roughly $123 billion of MSR and has a growing subservicing business. But still, the market treats its stock like a leper. Might de-leveraging help?

Falling interest rates are never good for the value of mortgage servicing rights. But with so many MSR owners keeping their 3% to 4% rights of 2020 and 2021 and selling the rest, marks for the third quarter of 2024 could be benign.

A Fed board member recently outlined plans for re-proposing bank capital requirements. The FDIC appears to be running into complications.

The GSEs have slowly been losing share in the servicing market since March 2022. In the second quarter of 2024, Ginnie Mae and the non-agency sector gained more servicing share. (Includes two data tables.)

At mid-year, Cenlar remained the largest subservicer in the land, but growing one’s book of contracts is getting more challenging. Meanwhile, PennyMac Financial wants to be a significant player. (Includes data table.)