The special servicing rate for loans backing commercial MBS declined for the seventh consecutive month in April, with the hard-hit lodging sector showing the most improvement.
Demand has been booming for single-family rental properties over the past year. Amherst Residential saw an 85% year-over-year increase in applications for rental homes.
As the FHFA cracks down on investor-loan volume, opportunities are being created anew. Also, FHFA, apparently, is losing sleep over GSE CMBS. (That’s correct.)
As much as $20 billion of GSE-eligible mortgages could go into non-agency MBS annually due to new restrictions on GSE acquisitions of mortgages for investment properties and second homes.
MBS trading is drifting lower in a rising rate environment, but the outlook remains cloudy as mortgage bankers wonder how many more months they have left before refis drain for good. Or will they?