Performance on non-agency MBS has improved after the spike in late payments seen in the spring. However, borrowers who are still delinquent could prompt losses for investors.

The FHFA’s capital requirements include relatively harsh treatment of credit-risk transfer transactions from Fannie and Freddie but that view could change under the Biden administration.

Wall Street’s mind has been put to ease regarding an expedited conservatorship exit for Fannie and Freddie but concerns remain.

Fannie’s new REMIC election for its multifamily MBS will not change their basic structure. The asset will remain as a single-class pass-through security is-sued through a trust agreement.

Democrats said the Treasury’s decision to end the TALF facility at the end of the year was a political move to prevent the incoming Biden administration from stabilizing the economy.

Overall, Ginnie’s financial statements were represented fairly in all material respects, an independent auditor found.

The increase in the maximum loan limit reflects a 7.42% growth in the seasonally adjusted housing price index in 2020.

Three new non-agency MBS were introduced in the market recently. Two of the deals are backed by mortgages for investment properties.

As president, Joe Biden will have to negotiate with both sides of Congress, limiting sweeping policy changes, according to industry analysts.

The FHFA went from allowing 18.0% capital reduction for CRT under the re-proposed rule to less than 17.1% under the final version. That means the answer may be “ no.”