A handful of lenders continue to originate non-qualified mortgages while the major players in the market pause production.

First Republic Bank doesn’t plan to chase market share even as other jumbo lenders tighten underwriting standards.

Velocity Financial was increasing originations and income, then the coronavirus hit, halting issuance of a planned MBS and prompting the need for additional capital.

Fitch proposes changes to MBS rating criteria; Ocwen faces NYSE delisting; Nationwide Equities launches non-agency reverse mortgage.

The major producers of non-QMs suspended originations in March and, with the market paused, layoffs have started.

The top five producers of jumbos continue to offer the mortgages. The production picture is less clear at nonbanks, which don’t have portfolio capacity.

Originations of both ARMs and IOs increased in the fourth quarter and in all of 2019. Growth among IO lenders even outpaced the increase in total first-lien originations. (Includes two data charts.)

Non-QM MBS forum delayed; Patch rebrands as Noah and continues to offer home-equity sharing product; originations up and income down at fix-and-flip lender Sachem Capital in 2019; Anchor Loans taps former Radian executive as COO; Velocity late filing annual report due to coronavirus.

As the financial impact of the coronavirus spreads, some lenders have suspended non-QM originations and others have repriced products.

More trouble for Sterling: DOJ is now investigating the bank’s non-qualified-mortgage origination practices.