Daily MBS trading has been on the rise since April, a positive sign. It seems some investors are willing to buy and hold, but fear over what the Fed might do next rules the roost. 

Since the beginning of quantitative tightening in June, the Federal Reserve has been able to shed less than 20% of the agency MBS it had planned by this date. 

Another bank is poised to depart as a Ginnie servicer, this time in the multifamily sector. Say goodbye to Midland States, which is off-loading $2.3 billion in Ginnie MF MSRs.

Secondary market loan pricing depends on market timeframes, roles, pull structures and other esoteric economic components.

New York-based Basis Multifamily Finance becomes the first minority/women-owned business enterprise in Fannie Mae’s Delegated Underwriter and Servicer Program.

The Federal Reserve hiked rates by another 75 basis points. But Chair Jerome Powell said the time to begin selling the Fed’s MBS holdings “is not close.”

When Ginnie released its new capital eligibility standards this past summer, nonbanks far and wide were not happy. The agency later extended the implementation deadline until late 2024, but some shops are pondering their options. Ocwen is one of them.

Servicers will now have a shorter wait time to deliver reperforming loans back into Ginnie MBS, and the loans will no longer have to go into special RG pools. The changes are aimed at increasing liquidity for Ginnie issuers. (Includes data chart.)

Wide swaths of traditional MBS buyers are sitting on the sidelines, avoiding acquisitions. One possible explanation: concern over prepayments.

Thanks to MBS-to-Treasury spreads busting their straitjackets, it’s been a tough row to hoe for MBS owners, particularly REITs. But signs of improvement could be on the horizon.