Three non-agency MBS hit the market this week and more deals are in the pipeline.

More nonbanks are ready to take the HELOC plunge, using the MBS market as leverage. Among them: Homebridge and Angel Oak.

Securitization rates increased for GSE-eligible loans, government-insured mortgages and non-agency mortgages. While bank demand for jumbos is declining, the vast majority of the loans don’t go into MBS. (Includes data table.)

Figure is expected to issue its third HELOC MBS of 2023 and will provide loans to an upcoming Saluda Grade issuance.

Proposed capital requirements for large banks would create “perverse incentives” for banks regarding securitization activity, according to a new analysis by the Securities Industry and Financial Markets Association.

Industry analysts are projecting an increase in securitization of home equity loan products in 2024.

CalCon Mutual Mortgage plans to issue a $576.2 million non-agency MBS with mortgages eligible for sale to the GSEs. It will be the first non-agency MBS from the issuer.

The SEC has finalized a rule prohibiting certain conflicts of interest in the securitization market. Industry participants are largely happy with changes in the final version of the rule.

The red-hot vehicle ABS market saw intense competition between S&P and Fitch for ratings supremacy. Kroll rode the resurgent ECM MBS market to boost its share of rated issuance. (Includes two data tables.)

Hildene Capital Management formed a “strategic relationship” with CrossCountry Mortgage in late 2022, with the lender delivering non-QMs to the asset manager for securitization.