The fight between WeWork and its tenants has cast doubt on the company’s ability to pay rent, which in turn will impact billions of dollars in commercial MBS.

Since March, spreads between SOFR and the three-month LIBOR have widened to roughly 80 basis points. The five-year average, which the ARRC recommends as a “spread adjustment,” is only 27 bps.

Will the FHA hike premiums as a way to allay forbearance risk on Ginnie Mae-backed loans? Probably not, but it’s an option.

As the COVID-19 economic picture worsens, the GSEs are getting more discerning about what type of loans they will purchase.

It’s not final yet, but servicers stand to make at least $500 per unit to handle GSE loans that need to be deferred because of COVID-19-related hardships.

The coronavirus laid waste to Fannie’s first-quarter profit but those costs were offset by a $637 million gain in the fair market value of its CRT. But not for long.

As the Federal Reserve works to get TALF up and running, industry participants hope more types of assets are added to the mix.

Semper Capital has agreed to pay $375,000 to settle charges that it inflated the value of certain investments in its non-agency MBS fund.

The increase, though, is relatively modest compared to expectations, as more borrowers likely became 30-day delinquent on May 1.