One of the goals: to assist nonbanks so they are not declared in technical default, an event that would trigger financing covenants they have with their warehouse lenders.

Scott Olson, executive director of the Community Home Lenders Association: "This is a period of deep uncertainty for IMBs. Those that service [loans] are getting hit with huge unexpected liquidity demands regarding advances."

FHA forbearance is expected to swell in the weeks and months ahead...

But will the central bank act decisively? “Powell’s remarks were encouraging,” one veteran industry lobbyist noted.

Specifically, Ginnie is permitting a note structure, which allows for the securitization of servicing cash flows through a trust.

FHFA's stance has mortgage bankers perplexed, to say the least...

The six-month tally would be at least $45 billion. The calculations from the research firm take into account prepayment cash flows buffering principal and interest advance requirements.

The $13 million Milbank contract, which follows the agency’s February selection of Houlihan Lokey as its capital markets advisor, suggests the FHFA remains committed to recap-and-release.

At March 31, Mr. Cooper serviced $629 billion worth of home mortgages, including $129 billion of Fannie Mae/Freddie Mac product and $108 billion of Ginnie Mae loans. However, roughly half its portfolio, $317 billion, is represented by subservicing contracts.

Apparently, it’s not Ginnie Mae MBS payments that are keeping the 15 up at night, but remittances on Fannie Mae and Freddie Mac single and multifamily securities. Private-label products also pose a concern.