Issuance of single-family agency MBS rose 6.9 percent from July to August, according to a new ranking and analysis by Inside MBS & ABS. Fannie Mae, Freddie Mac and Ginnie Mae issued a combined $138.25 billion of single-family MBS last month, their strongest aggregate monthly output since July 2013. Agency production volume has risen for six straight months since bottoming out in February of this year. Although the purchase-mortgage market has gotten most of the attention in recent months, it was...[Includes two data tables]
The new streamlined refinance programs for high loan-to-value loans to be rolled out by government-sponsored enterprises Fannie Mae and Freddie Mac next year are good news for market participants in their risk-sharing deals because they cut the risk of borrower default and the associated risk of investor loss, according to a recent report by analysts at Moody’s Investors Service. The programs are designed to provide much needed liquidity to borrowers with high LTV ratios who are current on their mortgage but can’t qualify for a more traditional refi. “The new programs are...
Meanwhile, one mortgage executive told us that earlier in the year Impac approached his shop about a sale. This executive, who did not want his company identified, turned Impac down…
VA refinance mortgages accounted for the biggest share of total insured refis during the first six months of 2016, according to an Inside FHA/VA Lending analysis of agency refi data. On a monthly basis, VA refi totals exceeded refis with FHA and private mortgage insurance, peaking at $9.3 billion (58.1 percent of total VA originations) in April. Over the six-month period, the refi share of VA loans securitized by Ginnie Mae averaged 52.3 percent, compared to 29.6 percent for FHA and 21.0 percent for private MI loans securitized by Fannie Mae and Freddie Mac. In terms of total volume, however, FHA held a commanding lead, $123.0 billion, over private MIs ($102.7 billion) and VA ($84.8 billion). Interestingly, the average interest rate on VA refi loans, 3.6 percent, over the six-month period was lower than FHA’s and private MIs’ note rates of 3.9 percent and 4.0 percent, respectively. There is no clear ... [1 chart]
Ginnie Mae issued $46.5 billion of single-family mortgage-backed securities in August, up slightly from July, according to an analysis of Ginnie data. Single-family MBS monthly issuance in August was the highest monthly volume so far this year. Total issuance also was up 12.3 percent from the same month last year., Strong purchase and refinance originations in the second quarter helped push production in the third quarter. Although purchase loans with private mortgage insurance outpaced gains in FHA and VA loans in the second quarter, deliveries to Ginnie so far appear to indicate a strong third quarter. Meanwhile, VA volume has been fueled largely by refinance activity over the past few years and does not appear to be letting up. PennyMac and Freedom Mortgage battled for first place with $4.35 billion and $4.34 billion, respectively, in MBS issuance in August. Despite cutting back on its ... [1 chart]
Homebuyers in two housing markets encompassing 13 states relied more on FHA and VA than other types financing, according to a new industry study of new single-family homes started in 2015. A study by the National Association of Home Builders found, among other things, that government-backed purchase lending and other forms of non-conventional mortgage financing remained elevated in 2015. For example, homebuyers in the South Atlantic and West South Central regions favored FHA and VA loans over other types of home-purchase financing. States in the South Atlantic region include Delaware, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, and West Virginia. Washington, DC, is also in this region. West South Central states are comprised of Arkansas, Louisiana, Oklahoma and Texas. Together, the two regions accounted for more than 26 percent and 21 percent of the ...
RSS