On the supply side, there were $5.63 trillion of single-family MBS guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae outstanding at the end of September.

Non-cash financing was used on 72.4 percent of home purchases in November, based on a three-month moving average.

Lenders funded an estimated $20 billion of new home-equity lines of credit during the third quarter, a 17.6 percent gain from 2Q, according to IMF.

Loan Care Servicing, an affiliate of Black Knight Financial, subserviced $110.0 billion at Sept. 30, up 47.4 percent from a year ago.

Lenders are likely to shift some of their business away from the government-sponsored enterprises and into the non-agency market in the coming years, regardless of GSE reform efforts, according to a report released this week by the Congressional Budget Office. “With house prices expected to trend upward, the balance sheets of lenders and investors should improve, as should borrowers’ financial positions,” the nonpartisan provider of analysis for Congress said. “Consequently, CBO projects that private companies will become more willing to make new loans and demand lower fees to compensate for the credit risks they take, which will reduce Fannie Mae and Freddie Mac’s pricing advantage over their private competitors.” If the private sector bears more mortgage credit risk, the CBO said...

Based on the upward production trend over the last three quarters, it appears the private MIs are on their way to a strong close at year-end.

More than half of Fannie’s MBS flow in November came from refinance loans, the first time since March that purchase mortgages accounted for less than half of its business.

The subordinated debt deal will double the capital base of Skyline Lending.

As of September 30, banks and thrifts held $15.50 billion in repurchase reserves, most of it tied to Fannie/Freddie loans.

Bank and thrift MSR holdings peaked at $5.977 trillion back at the end of 2009.