Redwood Trust has been issuing non-agency MBS on its Sequoia shelf via private securitizations with minimal disclosures. The collateral in the deals is similar to typical Sequoia issuance but the securitizations receive sub-AAA ratings due to their structures.

In a high-rate environment, debt service coverage ratios determine the size of an agency refinance. Those loans may not be large enough to cover the inflation-driven debt of many multifamily properties.

Mortgage industry analysts ponder the impact of new Fannie Mae and Freddie Mac disclosures on the MBS and credit-risk transfer markets.

Even when excluding a large issuance in the first quarter of seasoned closed-end second liens, securitizations of home equity loans declined on a quarterly basis in the second quarter. (Includes three data files.)

The Basel re-proposal from federal bank regulators includes provisions that would limit mortgage warehouse lending and securitization by banks, according to industry participants.

FHFA plans to issue a proposed rule regarding credit-risk retention and the SEC is working toward a proposal to encourage issuance of publicly registered MBS and ABS.

A proposal to revise Basel capital requirements for banks included some provisions that could have a negative impact on credit-risk transfer activity, according to industry participants.

Figure issued a fully pre-funded securitization with HELOCs, with the firm touting the effort as an alternative to the agency TBA market.

Excluding a one-off $5.69 billion issuance from Chase, securitization of home equity loans declined during the first quarter. Activity involving closed-end second liens held up while HELOC issuance fell. (Includes three data tables.)

The rapid rise in investor interest for home equity loan securitizations has drawn parallels to the rise of non-QM MBS post the 2008 crisis.