The share of Ginnie Mae loans in forbearance declined as of Dec. 6, but red flags remain as the economy continues to stagger.

Spreads between mortgage rates and interest paid on MBS have fallen to about 75 basis points. The long-term average is closer to 110 bps.

As the clock winds down on the Trump White House, the GSE regulator continues to pull levers. Just not the big one. Credit: Steve Mnuchin.

The MBS market can expect a push from increased availability of mortgages and improvements to ABS performance.

More non-agency originations, lower market share of non-QMs and securitization of riskier loans are likely consequences of the CFPB’s new QM standards.

Several factors will support new loan credit quality next year, including re-covering CRE fundamentals, capital market liquidity, demand for real assets and some degree of conservatism in underwriting, said Moody’s.

Hard-money servicer FCI is looking for more MBS assignments and is hopeful about 2021. Meanwhile: concerns over bids in the scratch-and-dent market?

Word is out: Money can be made in the Ginnie EBO space. The strategy is attracting investment funds but it’s not as easy as you might think.

The deal bears many of the characteristics of previous front-end credit-risk transfer deals that PennyMac entered into with Fannie Mae.

Speakers at this year’s ABS East conference — held online — focused on how the coronavirus impacted assets and the outlook for 2021.