Prepayment rates are expected to be higher than in previous refinance cycles because lenders have bumped up spending on technology to improve recapture rates and loan originators are eagerly anticipating increasing their volume.

Servicers face more onerous advance requirements for delinquent loans in Ginnie MBS compared with loans in GSE MBS.

Lenders delivered $27.21 billion of purchase loans into Ginnie MBS in May, up 7.5% from the prior month.

Dubbed HMBS 2.0, the securitization product would give Ginnie MBS issuers a new funding mechanism to buy back loans with balances over 98%.

Ginnie will begin mixing eNotes and paper notes within the same pools.

The allowable fee lenders/servicers can charge for assumptions of FHA mortgages is now $1,800.

The flow of purchase mortgages in Ginnie Mae MBS increased 15.0% from March levels, while securitization of refinance loans dropped 9.2%.

Lakeview/Bayview Loan Servicing remained the largest Ginnie servicer and increased its market share in the first quarter.

Sam Valverde, the principal executive vice president at Ginnie, will serve as acting president following McCargo’s departure.

The share of mortgages with primary MI increased by 2.1% in the first quarter, based on agency MBS issuance.