California, already the largest state in terms of jumbo originations, increased volume by 50% in 2019. Overall, jumbo originations increased by 37% last year. (Includes data chart.)

The CFPB is hoping that by removing a firm debt-to-income ratio metric from QM qualification standards, lenders will come up with new techniques to qualify borrowers.

Under the proposal, some 147 smaller banks and credit unions won’t have to maintain an escrow account for higher-priced mortgage loans.

Regulators delay review of risk-retention requirements for securitized mortgages; Wells Fargo updates underwriting standards for jumbo mortgages originated through the retail channel.

The proposal could eliminate GSE eligibility as a standard for a loan to be deemed a qualified mortgage. The regulator aims to level the playing field between the non-agency market and Fannie/Freddie.

Eleven expanded-credit MBS have been introduced since June 15, with a total unpaid principal balance of $3.4 billion.

Three prime non-agency deals were brought to market at the end of June. One of them is backed by GSE-eligible investment-property loans.

The naysayers doubt nonbank originators and servicers have sufficient capital and liquidity to weather a storm.

A recent cash infusion will help MFA Financial revive its first ever non-QM MBS. The deal had been put on hold because of the pandemic.

Sales of non-QMs at distressed prices accounted for a large share of the nearly $65 million loss Impac took in the first quarter.