Declining home prices have MBS investors worried about potential losses and downgrades. Officials from rating services said their assessments include significant stresses.
The saga of non-QM lender Sprout Mortgage continues. The now-defunct shop is the target of a new lawsuit filed by a warehouse lender. Meanwhile, Sprout is trying to place unsold whole loans.
Credit Suisse settles legacy non-agency MBS lawsuit; Fannie and Freddie to publish aligned social disclosures for single-family MBS; bank trade groups seek change in FHFA’s capital treatment relating to access of FHLBs; Ginnie portal to re-open Oct. 25; aviation ABS investors in holding pattern on collateral in Russia.
Production of non-agency MBS suffered a third-straight sharp decline in quarterly issuance. The biggest hit was in the prime RMBS sector, where jumbo securitization dropped and GSE-eligible activity nearly disappeared.
A trial that started in September after years of delays ended with a settlement. Bank of America agreed to pay $1.84 billion to settle claims tied to non-agency MBS issued by Countrywide Financial prior to the 2008 financial crisis.
The Sprout Mortgage saga continues. Word on the street is that the now-defunct company is looking to sell off somewhat seasoned loans with a UPB of roughly $320 million.
Angel Oak’s REIT saw its share price fall to a 52-week low of $8.73 a unit this week. The problem? Rising rates and a tough whole-loan market. Still, the non-agency MBS player has secured new financing.
SFA is seeking feedback on revisions to TRID Grid for residential MBS; timeshare ABS properties and borrowers are under evaluation following Hurricane Ian.
Agency single-family MBS production continued to erode in the third quarter despite a modest pickup in purchase loans. Meanwhile, issuance fell sharply in the commercial MBS and ABS markets. (Includes three data charts.)
RSS