Redwood took a $943 million loss in the first quarter amid volatility from the coronavirus. The REIT laid off about 35% of its employees in April, among other adjustments.

Profit at Velocity Financial declined in the first quarter and half the staff was temporarily furloughed. Still, the firm plans to issue an MBS in the coming weeks and get back on track.

Lenders that focus on residential investment properties continue to originate loans, albeit with tighter standards and at higher interest rates.

SLS settles foreclosure issue; KBRA places non-agency MBS on watch for downgrades; Provenance blockchain platform facilities loan sales.

Sprout Mortgage, the third-ranked expanded-credit lender in 2019, has restarted non-QM lending, but with tighter underwriting standards.

Underwriting standards are tighter and there are fewer lenders in the market, but jumbo mortgages are still being originated.

The resumption of non-agency MBS deals backed by newly originated loans came from an unexpected source: a reverse mortgage lender.

The CFPB likely will propose revisions to QM standards in May. Feedback from non-agency participants could be minimized as the market for non-QMs collapsed recently.

A cap imposed by the Fed on Wells’ portfolio was a major factor in its decision to stop originating jumbos through correspondents.

Following in the footsteps of Wells, a handful of correspondent aggregators have suspended originations of jumbo mortgages. Underwriting standards for the loans also have tightened.