The Fed is allowing its holdings of agency MBS to run off and many other big players in the MBS market appear to be close to tapped out.

It’s not clear how the Federal Housing Finance Agency’s decision to cut the DEI and ESG programs at the GSEs will impact MBS issuance.

First-quarter earnings reports suggest the reduced size of Fannie Mae’s guarantee book of business may be impacting its market share vis a vis Freddie Mac.

Issuance of new residential MBS, commercial MBS and ABS in early 2025 declined about 9% from the fourth quarter, although most sectors were up compared to a year ago. Monthly trends in March were mixed. (Includes three data tables.)

New issuance was up in all the major food groups last year: residential MBS, commercial MBS and ABS. But overall quarterly volume slipped late in 2024.

The securitization rate for residential mortgages hit an estimated 68.6% in the third quarter, as more conventional-conforming loans flowed into GSE MBS.

Some experts think FHFA’s stability capital buffer has helped Freddie surpass Fannie in both loan purchases and securitizations.

More and more industry insiders believe the Trump administration will attempt to release Fannie and Freddie from conservatorship.

New capabilities added to Freddie Mac’s basic ML-deal will allow corporate CUSIPs to be converted to municipal CUSIPs without impacting the tax-exempt status of the securities.

The REIT pooled nine multifamily affordable commercial real estate loans in a $384 million securitization.