Some lenders suggest that while jumbo lending with loan brokers is viable, retail originations tend to be more attractive.

The sale is notable not only for its size, but for the fact that MBS and Morvest – partners on this auction – don’t normally sell servicing rights as part of their advisory practices.

The latest tally from Inside The GSEs has Fannie and Freddie repaying all of their borrowings from the U.S. Treasury plus an additional $50.6 billion – money that has gone directly into the government’s coffers.

MBA continues to believe that, given the lack of reserves, eventually the GSEs will need to take a draw from Treasury, said Dave Stevens.

There has long been a concern in the market that if either GSE has a negative net worth, that investors will stop buying their MBS, which would cause the home buying process in America to crumble.

The red ink marks the first time in four years that the government-sponsored enterprise booked a quarterly loss.

In a recent letter to HUD Secretary Julian Castro, 69 House members called for policy changes that would relax FHA restrictions to facilitate the purchase and sale of condominiums.

Keep in mind that hedging can be a tricky business, whether you're a GSE or not...

Among the top five contributors to jumbo MBS, all were nonbanks, except First Republic.

The remaining principal balance of securitized VA loans was $426.8 billion, up 5.1 percent from the prior quarter.