After a lull in December, issuers are bringing non-agency MBS to the market. Redwood Trust is planning a deal with seasoned mortgages while New Residential has an expanded-credit MBS.

While 12 firms are deemed as acceptable by Fitch Ratings to review loans in MBS rated by the agency, two firms, SitusAMC and Clayton, handled nearly all reviews in recent years.

LendSure launches bridge loan product; Sprout hires Ron Krueger as senior vice president; DBRS Morningstar outlines rating criteria for reverse mortgages; Fitch upgrades its servicer ratings of BSI Financial Services.

A non-agency MBS from Provident suggests better execution for GSE-eligible mortgages in the non-agency market. But analysts don’t expect a flood of non-agency MBS with GSE-eligible loans.

Expanded-credit MBS issuance looks likely to increase again in 2020, but not at the exponential growth rate seen since the sector emerged in 2015. A major variable is how the CFPB will address the QM patch.

The bank has suspended a non-QM loan program due to issues with policies and practices. The program accounted for the bulk of the firm’s originations.

Federal regulators are considering changes to risk-retention standards for mortgages delivered into non-agency MBS.

Originations of ARMs increased during the third quarter but they didn’t keep pace with total first-lien production, prompting a loss of market share for the sector. Wells remained the top ARM lender. (Includes data chart.)

IO lending increased in the third quarter, with First Republic leading the pack. The bank held nearly $30 billion of IOs in portfolio as of September-end. (Includes data chart.)