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

Forbearance on non-agency mortgages is on the rise, presenting liquidity risk for servicers. Federal agencies have yet to offer a helping hand.

Delinquencies on non-agency mortgages are likely to increase due to the coronavirus, with the largest impact expected on non-QMs.

Non-agency loans account for about 30% of all residential mortgages outstanding and, unlike with servicing for the GSEs or government-insured mortgages, there’s no standardization in how servicers will respond to borrowers facing financial difficulties tied to the coronavirus.

Nearly all the firms in a group of 30 servicers increased their jumbo portfolio in 2019. Chase and Truist were the only ones to see a decrease. (Includes data chart.)

As has been the norm post-crisis, subprime servicing portfolios declined for most players in 2019. Ocwen remained the largest processor in the pack. (Includes data chart.)

SEC to meet MBS issuers; HPS acquires Citadel; Anworth plans non-QM MBS; Quontic streamlines non-QM refis; Ocwen takes a loss on servicing for New Residential.

There are no easy solutions as servicers work to move non-agency ARMs from LIBOR to a different reference rate.

At least eight expanded-credit MBS rated by DBRS Morningstar suffered losses in the second half of 2019. Investors, though, were protected due to high credit enhancement levels.