Fannie issues its first CAS deal in nearly a year and a half, following a decision by FHFA Acting Director Sandra Thompson to double the capital relief available for CRT transactions.
Although the GSEs have for several months seen declines in the share of investor and second-home mortgage purchases, it remains to be seen whether lenders will continue to deliver these loans into the non-agency market now that the caps have been withdrawn. (Includes two data charts.)
In her first long-form interview since taking over as FHFA acting director, Sandra Thompson insisted that expanding the GSEs’ books of business won’t make them riskier.
FHFA announced the suspension of the caps on the GSEs’ purchase of second-home and investor-property mortgages on Sept. 14. By Sept. 15, the price of these loans jumped more than a percentage point.