Non-agency mortgage-backed securities investors do not have enough confidence to allow for accelerated reform of the government-sponsored enterprises, according to Michael Berman, chairman of the Mortgage Bankers Association. The key is the private markets have spoken that they dont have confidence, Berman said last week in...
Hoping to capitalize on the growing market for special servicing, Walter Investment Management announced last week that it plans to acquire Green Tree Credit Solutions. Walter said it will purchase the special servicer for $1.065 billion and Walter will have to drop its status as a real-estate investment trust. Green Tree currently services...
The slow charge-off of home-equity mortgages outstanding, a concentration among the top four banks, and the strong performance of the mortgages have combined to hinder loss mitigation activities. At the end of 2010, $1.30 trillion in home-equity lines of credit, closed-end second liens and unused HELOC commitments were... [Includes one data chart]
The Home Affordable Modification Program continues to be criticized for the pace of activity, but one segment of the market has embraced HAMP: servicers with loans in portfolio. While HAMP accounted for 27.0 percent of all mods completed by major banks and thrifts in the fourth quarter of 2010, HAMP accounted for 50.2 percent of...
Fitch Ratings proposed major revision of the ratings process for jumbo mortgage-backed securities could pose obstacles to the resumption of non-agency MBS issuance, according to the Mortgage Bankers Association. Under Fitchs proposal, jumbo MBS ratings would be tied to home prices and potentially require...
Citing improved conditions for legacy non-agency mortgage-backed securities, the Federal Reserve this week auctioned off $1.33 billion in non-agency MBS acquired from American International Group. Information on the winning bids will be made public in three months but analysts suggest that...
Despite heavy refinance activity, declining house prices and the lure of the government-backed securitization market, banks and thrifts managed to increase their retained first-lien mortgage portfolios in 2010 including a measurable jump in the fourth quarter... [Includes one chart and one graph]
Originations of non-agency jumbo mortgages increased by 36.4 percent in the fourth quarter of 2010 compared with the previous quarter, according to a new ranking and analysis by Inside Nonconforming Markets. Meanwhile, officials at Redwood Trust have urged banks to ... [includes one graph and one chart].
Once major supporters of alternative mortgages, Fannie Mae and Freddie Mac now proudly tout their preference for plan vanilla mortgages. Michael Williams, Fannies president and CEO, said the GSE is setting new standards for credit quality in the mortgage industry with the shift in acquisition activity... [includes one chart]