A total of $33.16 billion of commercial MBS including agency MBS backed by multifamily mortgages were issued during the third quarter of 2013, a new Inside MBS & ABS analysis reveals.
Expect an across the board reduction in Fannie Maes and Freddie Macs conforming loan limits sometime next spring, said Edward DeMarco, acting director of the Federal Housing Finance Agency, during a speech late this week. DeMarco telegraphed his loan limit decision for 2014 which he will announce in late November during remarks at a daylong conference sponsored by Zillow and the Bipartisan Policy Center. While the new limits will be announced in late November, the traditional timing of the announcement, the agency will give sellers six months to implement them. Any reduction would be...
Bank of America is putting up a strong defense and plans on whittling down the settlement price in a Federal Housing Finance Agency non-agency MBS fraud case against the company, sources close to the matter told Inside MBS & ABS. One official close to the due-diligence team working for BofA said the regulator seeks a $13 billion payment to settle charges that the bank and two companies it bought during the housing meltdown Countrywide Financial Corp. and Merrill Lynch sold faulty nonprime MBS to the government-sponsored enterprises. This source, who spoke under the condition his name not be published, said...[Includes one data chart]
Investors shying away from new jumbo MBS have expressed strong interest in the risk-sharing transactions offered by Fannie Mae and Freddie Mac. Demand for the transactions has been so high recently that some analysts are recommending that investors could see better returns from vintage non-agency MBS. Fannie Mae said about 75 investors initially bought into the $675 million in non-guaranteed bonds it offered, and Freddie Mac said about 50 investors initially bought into the $500 million in non-guaranteed bonds it offered. The deal has been very well received...
Shellpoint Partners this week pulled the plug on its second jumbo non-agency MBS issuance of the year and will instead sell the mortgages as whole loans. Shellpoint Asset Funding Trust 2013-2 was initially offered as a $308.64 million deal in September. The company then reduced the offering to a $250.85 million securitization with a number of tweaks aimed at attracting investors. In the end, the company couldnt structure...
Roughly 4,100 people have registered to attend the annual convention of the Mortgage Bankers Association, which launches Sunday night in Power City USA.
Speaking at the Bipartisan Policy Center in Washington Thursday afternoon, FHFA Acting Director Edward DeMarco gave no hint how much of a reduction might be in store. He also took no questions from the audience.
As directed by the Federal Housing Finance Agency, Fannie Mae and Freddie Mac this year established a three-year sunset period for most reps and warrants on loans with perfect payment histories.
California was the biggest source of private MI loans for Fannie Mae and Freddie Mac, but the state doesnt dominate the GSE insured market the way it does in other measures.
U.S. prosecutors estimate that Fannie Mae and Freddie Mac lost almost $850 million (gross) from Countrywide's "Hustle" program. However, at the time, BofA didn't even own CFC.