“Patch” loans, cash-out refinances, investment loans and second family homes constitute more than 50% of the dollar volume of Fannie and Freddie MBS issuance.
Fannie continued to wind down its portfolio of nonperforming and reperforming loans, in compliance with FHFA directives; Freddie released two structured pass-through certificates with yields ranging from 2.47% to 5.22%.
The bureau’s proposed rulemaking could apply to nearly a third of the mortgage loans purchased by the GSEs. Industry observers wait to see if it impacts access to credit for low- and mid-income borrowers.
The GSE is trying to gather all the stakeholders of the affordable housing “ecosystem,” including lenders, counselors, local housing agencies, and real estate professionals, under a single umbrella.
Freddie announces a $1.3 billion Seasoned Loans Structured Transaction; Fannie prices a $1 billion REMIC deal; Freddie launches a new product to address aging housing supply; CEO Layton’s last week at Freddie.
The new transaction will offer LIHTC lenders an additional source of liquidity in a tight market. A San Francisco transaction tests the waters to see if the new security floats.