Non-agency industry participants are speculating how the non-qualified mortgage market would react if the government-sponsored enterprises go private.

Fannie’s CAS and CIRT volumes fell sharply in the third quarter. Freddie STACR issuance was up from a weak second quarter, but ACIS volume was down 56.2%. (Includes data table.)

A letter last week from Senate Republicans bolstered the Structured Finance Association’s push for banking regulators to reassess the punitive weighting of the p-factor in securitization as part of a planned re-proposal of the Basel Endgame rule.

In the third quarter of 2025, Ellington Financial was active with non-qualified mortgage securitizations.

Vista Index Services plans to release an index next month that will give investors an opportunity to hedge against delinquency risks in Ginnie MBS, rather than selling securities if there’s a downturn.

Issuers of consumer loan ABS are increasingly using VantageScore 4.0 because it detects potential delinquencies better than Classic FICO, according to officials at VantageScore.

The special servicing rate for office and mixed-use property loans held in commercial MBS saw the largest monthly deterioration.

The Fed’s shift to rate cuts is helping to increase demand for agency MBS. And other activity at the federal level has prompted a reduction in volatility, providing stability for investors.

With the near-term outlook hazy for the government’s SNAP food assistance program as the shutdown drags on, any reduction or end to payments could add to the mounting financial pressures recipients already face, putting pressure on ABS performance.

While the Fed is moving away from purchases of agency MBS, portfolio managers at PIMCO believe additional purchases are warranted. In the meantime, the GSEs are increasing their investments.