The loan limit reduction under consideration by the Federal Housing Finance Agency wouldn’t have a major impact on the volume of agency MBS issuance, but industry analysts say prepayment rates on outstanding agency MBS could slow. Mortgages with loan balances greater than $417,000 accounted for 7.9 percent of the $327.76 billion in Fannie Mae and Freddie Mac production in the second quarter of 2013. And mortgages with balances of between $400,000 and $417,000 accounted for a 7.2 percent share, though a significant portion of those originations were in areas with high-cost loan limits and would likely still be eligible for sale to the government-sponsored enterprises. Analysts at Barclays Capital said...

Investors are eager to get their hands on upcoming risk-sharing deals from Fannie Mae and Freddie Mac even though Freddie’s recent deal was unrated. According to interviews with investors in Freddie’s $500 million Structured Agency Credit Risk bond, 50 different companies bought into the deal with “at least 20 different investors in each tranche,” according to confidential research on the transaction supplied to Inside MBS & ABS. “Word has gotten around...

Although "legacy" GSE buyback requests are declining, Freddie Mac is paying close attention to more recent production.

Fannie Mae and Freddie Mac may take action to recover deficiencies from a defaulting mortgage borrower if permitted by federal or state law.

With mortgage refinance activity flagging in the wake of a spike in interest rates that began months ago, the Federal Housing Finance Agency this week launched a campaign to get more mileage out of the Home Affordable Refinance Program. (Includes one data chart.)

The FHFA’s HARP outreach effort includes public service announcements by Mike Aubrey, a real estate agent based in North Potomac, MD. He stars in a reality TV show, “Power Broker,” that premiered on HGTV in July

Fannie Mae and Freddie Mac are continuing to work on revised eligibility standards for mortgage insurance companies that likely will reduce the 25-to-1 maximum risk-to-capital ratio enjoyed by guarantors that cover their loans. Some type of guidance is expected, at least from one of the GSEs, by the end of October.

The common securitization platform project being overseen by the Federal Housing Finance Agency has picked the Maryland suburb of Bethesda as its home, according to industry officials briefed on the situation.

The Federal Housing Finance Agency this week issued a final rule requiring annual stress tests for Fannie Mae, Freddie Mac, and the Federal Home Loan Banks, as mandated under the Dodd-Frank Act.

Fannie Mae’s inadequate internal controls on outsourced servicer reimbursements – and late-to-the-party oversight by the Federal Housing Finance Agency – cost the GSE $89 million in overpayments last year, according to a recent report by the FHFA Office of Inspector General.