Mortgage delinquencies increased slightly in the second quarter of 2014 compared with the previous quarter, according to the Inside Mortgage Finance Large Servicer Delinquency Index. However, delinquency rates adjusted for seasonal factors showed a decline from the first three months of the year, and the unadjusted rate was down from a year. The total delinquency rate for 23 large servicers, with no seasonal adjustment, hit 6.59 percent at the end of the second quarter, up from 6.52 percent the previous quarter but down from 7.33 percent in the second quarter of 2013. “We have returned...[Includes one data chart]

The market for “legacy” mortgage servicing rights has been on ice since earlier this year because of regulatory scrutiny, but there’s a new school of thought that suggests the halcyon days of mega transactions might be over for good. Servicing advisors who work in the MSR market note that the “Lawsky effect” is still being felt by Ocwen Financial and some of its peers, but as time goes on it will be less of a factor. “There’s...

Banks need incentives to issue non-agency mortgage-backed securities instead of holding loans in portfolio, according to boosters of the non-agency MBS market. The Federal Reserve’s monetary policies and capital requirements set by federal regulators have played a role in the shift from non-agency MBS issuance to banks holding loans in portfolio. “Historically, major banks were the predominant sponsors of private-label securities transactions, especially for 30-year jumbo fixed-rate loans, which are not a good asset/liability match for their balance sheets,” officials at Redwood Trust noted in a comment letter submitted to the Treasury Department. In June, the Treasury issued a request for comments on how to increase non-agency activity in the mortgage market. In 2013, only 4.8 percent of the estimated $272.0 billion in non-agency jumbo originations were included...

Fannie Mae and Freddie Mac reported a combined $5.0 billion in net income during the second quarter of 2014, down 46.2 percent from the first three months of the year as the two government-sponsored enterprises reported a significant downshift in repurchase activity. Through the first six months of the year, GSE profits were down nearly 81.7 percent from the first half of 2013. But Fannie and Freddie reaped huge profits in 2013 through hefty legal settlements, the capture of deferred tax assets and seller buybacks. “When you look back on 2013, our goal was...

The Investors Unite chief said Watt has publicly acknowledged that he possesses the Congressional authority to end the GSE conservatorships under the Housing and Economic Recovery Act of 2008.

Redwood Trust said monetary policy moves by the Fed have left banks saturated with record levels of excess reserves and lower costs of funds.

The CSP, formally known as Common Securitization Solutions LLC, does not have a chief executive office or chairman.

When consumers were directed to Amerisave’s website, the lender gave quotes based on an 800 FICO score, even where consumers had previously entered a FICO score below 800, the agency said.

“The government presumably feels emboldened from the decisions that it’s been getting, and we anticipate that those will continue in the near future,” one mortgage buyback expert said.

Fannie-backed MBS, in general, trade better than Freddie participation certificates (PCs), which has resulted in guaranty fee pricing differentials between the two.