Originations of jumbo mortgages declined across the three production channels in 2017, with retail posting the biggest decline, according to an Inside Nonconforming Markets analysis of survey responses to affiliated publication Inside Mortgage Finance. The survey respondents reported $234.21 billion in jumbo originations, down 18.0 percent from 2016, which represented about 79.4 percent of the total jumbo market. Among respondents, retail production ... [Includes one data chart]

A subsidiary of Annaly Capital Management plans to issue a non-agency mortgage-backed security with a mix of seasoned mortgages. The $327.16 million OBX 2018-1 Trust will include loans that have seasoned for an average of four years and mortgages that were called from non-agency MBS issued in 2005. The newer loans have a total unpaid principal balance of $121.86 million. Some 11.4 percent of them include interest-only features. Non-qualified mortgages account for ...

Originations of interest-only mortgages declined for many of the major players in the sector in 2017, according to a new ranking and analysis by Inside Nonconforming Markets. The declines were well beyond the slowdown in the overall volume of originations seen during the year. Among the top 15 IO lenders, six had lower production volume in 2017, with annual declines ranging from 6.7 percent to 61.1 percent. According to estimates by ... [Includes one data chart]

Impac Mortgage Holdings will continue to focus on originating non-qualified mortgages after a change in leadership at the nonbank. Joseph Tomkinson, the longtime chairman and CEO of Impac, is scheduled to step down in July, with George Mangiaracina taking over as CEO. Mangiaracina has been an executive vice president and managing director at Impac since early 2015. Since then, Impac has boosted its non-QM production while focusing on refinances of conforming mortgages ...

The Senate last week approved a regulatory relief bill that would grant qualified mortgage status to certain loans held in portfolio by smaller banks even if the mortgages would otherwise be non-QMs. The portfolio QM provision also has support in the House, but it has prompted concerns from some industry analysts. Moody’s Investors Service noted that if the provision becomes law, small banks won’t have to meet certain documentation requirements included in the Consumer ...

Angel Oak Prime Bridge, a lender offering short-term financing for house flippers, hopes to increase originations this year by more than five times the volume it produced in 2017. AOPB had more than $130.0 million in originations in 2017, according to Robert Malcahy, a senior vice president at the lender. He said the originations were focused in the Southeast. “In 2018, we have an expanded footprint and product offering targeted volume over $700.0 million,” Malcahy said ...

JPMorgan Chase is set to issue another non-agency mortgage-backed security mixing jumbo mortgages and loans eligible for sale to the government-sponsored enterprises. DBRS, Moody’s Investors Service and S&P Global Ratings assigned preliminary AAA ratings to the planned $866.07 million JPMorgan Mortgage Trust 2018-3 this week. Some 1,348 loans will be included in the issuance, divided nearly evenly between jumbo mortgages and loans eligible for sale to the government-sponsored ...

Angel Oak Capital Advisors is preparing to issue its first non-agency mortgage-backed security of the year backed by non-qualified mortgages, according to documents filed with the Securities and Exchange Commission. Tiptree has an agreement to sell jumbo lender Luxury Mortgage in the second half of this year. The buyer and purchase price weren’t disclosed. Citadel Servicing recently loosened underwriting standards on a number of its nonprime ... [Includes four briefs]

Overall production of government-insured loans fell in all three origination channels in the fourth quarter as refinancing continued to decline in 2017. A survey of FHA, VA and rural housing lenders showed originations in retail, correspondent and broker conduits totaled $248.9 billion, down 11.8 percent from 2016. Correspondent production suffered the biggest quarterly decline, 14.9 percent from the third to the fourth quarter. Production in this channel also declined 4.8 percent for the full year. Approximately $139.3 billion of FHA and VA loans came through this channel last year. Notwithstanding the decline, the correspondent share of government-insured lending grew to 56.0 percent in 2017, up from 51.9 percent in 2016. Brokers saw their share of the government-insured market rise to 10.0 percent, even as quarterly and year-over-year originations declined by 2.0 percent and 10.7 percent ,,, [ Charts ]

Home Equity Conversion Mortgage lenders ended 2017 on a positive note, thanks to a relatively strong fourth quarter, according to an analysis of FHA data. Total reverse mortgage originations rose 3.0 percent from the third quarter to end the year with $18.4 billion in overall HECM production. This was up 23.2 percent year-over-year. Purchase HECMs accounted for 76.2 percent of reverse mortgage originations in 2017. Adjustable-rate HECMs comprised 89.3 percent of loans made. Meanwhile, HECM mortgage-backed securities issuance totaled $2.25 billion in the fourth quarter, buoyed by $1.35 billion of HMBS issued in December, Ginnie Mae data show. The top five HMBS issuers accounted for $5.72 billion or 31.1 percent of all HMBS issued in 2017. American Advisors Group remained the dominant HECM lender in 2017, producing $2.8 billion over the 12-month period, which represented a ... [ Chart ]