Committee Chairman Tim Johnson, D-SD, said the structure of the government guaranty for MBS “must be explicit, appropriately priced, and stand behind private capital that is not guaranteed.”

SunTrust to mortgage brokers: Drop Dead! Meanwhile, the inside scoop on the somber mood at the annual MBA show.

Among the nation’s top five lenders in 3Q, Quicken suffered the largest volume decline on a sequential basis. Wells Fargo was a close second.

During a Q&A session at the convention, MBS co-inventor Lew Ranieri said there is no “viable” alternative to Fannie Mae and Freddie Mac, noting that if the two disappear banks will not rush to put 30-year fixed rate loans on their books.

Bill Erbey, the company's founder and chairman, downplayed concerns that Ocwen is growing too quickly.

SunTrust is about to leave the wholesale/broker channel. Who's next?

Early Thursday, EverBank disclosed that it is selling $13.4 billion of Ginnie Mae servicing rights, while transferring $6.9 billion in subservicing to Walter Investment Management Corp.

The audit of the FHA's MMI fund should be ready by Christmas, not Thanksgiving.

Moody’s believes the servicers’ transitions into mortgage originations was positive, but raised concerns about declining refinance opportunities, competition with banks and the potential for nonprime originations.

“Our concern is whether companies have the resources internally to ensure that such arrangements are working as they should,” said one Ginnie Mae official. “Is the issuer adequately protecting itself and Ginnie Mae?”