By examining how well LIBOR has correlated over time with actual bank funding costs, Federal Reserve economists have demonstrated the London rate is no better at this task than risk-free rates like SOFR.

Look for originations and securitizations to thrive the rest of the year. As for 2021, the non-QM market could be strong.

The average daily trading volume in MBS continues to head south as new creation proliferates and investors worry about the Dow blowing up again.

There’s a lack of standardization among non-agency MBS servicers regarding reporting of loans in forbearance. Investors are having difficulties understanding what exactly servicers are doing.

Rating services are requiring higher credit enhancement levels and taking negative actions on outstanding deals due to problems stemming from the coronavirus. Fitch finalized new criteria for residential MBS late last week.

The Financial Stability Oversight Council wants to take a close look at the secondary mortgage market but isn’t letting on about its agenda. Maybe a “housing czar” will come out of this, some wonder.

With overnight funding in the agency repo market hovering around 15 basis points and term repo rates a shade above the one-month LIBOR, yields for agency mREITs could edge upward, KBW analysts predict.

The $413.3 million commercial MBS backed by a portfolio of hotels was originally announced in February but postponed due to market volatility caused by the coronavirus pandemic.

Ginnie Mae will soon start accepting electronic promissory notes and other digitized loan files as collateral for its MBS program.

The company believes delivering loans to agency MBS helps it be a “high velocity, capital light and cash generating” operation. This year, the firm has held mortgages on its balance sheet for as few as eight days.