Mortgage servicing transfers are likely to continue, particularly to nonbanks like Ocwen and Nationstar, with modest effect on most non-agency deals, according to a new study from Barclays Securitized Products Research. Researchers said the valuation effect of these servicing transfers is generally modest for most senior securities, with the exception of some that are likely to benefit from certain factors. Investors should also be aware of potential forbearance-related write-downs in these transferred deals, which may adversely affect subordinate bonds in the structure, they cautioned. The study attributes...

Redwood Trust is about to have company from other real estate investment trusts looking to issue non-agency jumbo mortgage-backed securities. Two Harbors Investment will issue its first jumbo MBS later this month, and PennyMac Mortgage Investment Trust plans to issue a security by the end of September. Redwood helped revive non-agency jumbo MBS issuance beginning in 2010 and has been active in the sector ever since. Following the financial crisis, no other REITs joined Redwood even though ...

FBR notes that a key provision in the draft QRM rule is that any mortgage securitized by Fannie or Freddie is automatically a QRM.

The publicly traded REIT is jumping into the jumbo MBS market with its first deal. Many of the loans come from nonbanks.

Any private label mortgage seized through the use of eminent domain will not be eligible for FHA coverage, HUD hints in a new letter.

The market did not react kindly to PennyMac's announcement about selling more shares of common stock.

Fannie sold $2.2 billion of non-agency assets in the first half of the year. Meanwhile, Freddie sold at least $1 billion of non-prime MBS in May.

Is the warehouse market about to open up to select hard money lenders? Perhaps, but it won't be a tidal wave.

According to a new letter obtained by Inside Mortgage Finance, HUD says it is uncertain whether any new loan created under the controversial eminent domain plan would qualify for FHA insurance.

The Department of Justice and the Securities and Exchange Commission filed similar lawsuits this week against Bank of America regarding an $855.67 million non-agency jumbo MBS issued in January 2008. The lawsuits claim that BofA failed to disclose key facts regarding one of the last jumbo deals to be issued before the securitization market essentially closed in 2008. BofA counters that the securities were sold to sophisticated investors that had “ample access” to the underlying data. BofA was the issuer of the security in question – Banc of America Mortgage 2008-A Trust – as well as the originator, servicer, sponsor and depositor, and affiliated entities managed the transaction. The regulators allege...