Originations of non-qualified mortgages by Impac Mortgage Holdings declined in the second quarter of 2016 after rising steadily since the nonbank launched its non-QM program in 2014. Company officials pointed to low interest rates and demand for refinances of conventional mortgages for the decline. Impac originated $60.3 million in non-QMs in the second quarter, down from $74.0 million in originations in the first three months of the year. “Demand for non-QM loans has ...

Freddie Mac’s efforts to reduce holdings of nonprime mortgages and nonprime mortgage-backed securities are proceeding at a faster pace than efforts at Fannie Mae, according to a new analysis by Inside Nonconforming Markets. The government-sponsored enterprises had a combined $161.12 billion in nonprime holdings as of the end of the second quarter of 2016, down 6.3 percent from the first quarter and down 20.4 percent from the second ... [Includes one data chart]

S&P Global Ratings upgraded servicer ratings for Ocwen Loan Servicing to average from below average this week. Ocwen’s stock price increased significantly after the upgrade because of ratings clauses in Ocwen’s subservicing agreements with New Residential Investment. S&P downgraded Ocwen’s servicer ratings in June 2015 and if the ratings weren’t raised by April 2017, New Residential could transfer the subservicing to a different company. As of the end of ...

While private mortgage insurance on new non-agency mortgage originations has been minimal since 2008, some industry participants project that private MI will play a role in the non-agency mortgage-backed security market going forward. “Mortgage insurers may get more involved with the private-label market, and this may be another source of third-party oversight,” Morningstar Credit Ratings said in a recent report. “While it is too early to predict the investors’ response to ...

Underwriting standards for jumbo non-qualified mortgages were largely unchanged in the second quarter of 2016 compared with the previous period, according to the Federal Reserve’s senior loan officer opinion survey. Some 53 respondents didn’t change their underwriting standards for the loans compared with the previous quarter, while three respondents loosened underwriting for the loans “somewhat” and two tightened somewhat. Four of the ... [Includes two briefs]

The fear is that loan pricing will be worse and loan-to-value ratios will be more restrictive.

S&P said the upgrade was prompted by improvements to Ocwen’s “control environment,” among other items…

Redwood is working to increase investments in first-loss risk on loan pools delivered to Fannie Mae and Freddie Mac.

TIAA is headed by Roger Ferguson, former vice chairman of the Federal Reserve Board.

Higher net worth requirements coming on GSE loans?