Fannie and Freddie can keep more of what they earn thanks to a new Treasury/FHFA edict, but buying stock in the two companies remains a dicey proposition.

Even though the Fifth Circuit Court of Appeals agreed that the structure of the FHFA is unconstitutional, GSE shareholders have petitioned for a Supreme Court review of their case.

Based on reports from non-QM lenders Angel Oak and Citadel, the third quarter was a strong one for most originators. Meanwhile, the Ditech wind-down is almost over.

In addition to making a decision on how DTI ratios should factor into determining QM status, the CFPB is being asked to endorse an automated underwriting system for the same.

The FHFA is doing its best to make certain the expansionist tendencies of Fannie and Freddie are held in check. Also, a crackdown on g-fee “deals.”

Experts doubt the non-agency market can pick up the slack of any reduction in the GSEs’ business once the qualified mortgage “patch” expires.

Dealing with the risks in Fannie Mae’s and Freddie Mac’s portfolio is more complicated than simply reducing the footprint of the government-sponsored enterprises, FHFA Director Mark Calabria told IM&A.

FHFA Director Mark Calabria this week ended a pilot program that allowed the GSEs to extend lines of credit to nonbanks pledging servicing rights as collateral.

The CFPB received numerous comments on its plan to adjust standards for qualified mortgages. However, industry stakeholders are divided on what steps the bureau should take.

As most observers expected, the Treasury reform plan leaves most of the important details for Congress or the Federal Housing Finance Agency to figure out.