Mortgage servicers’ liquidity issues could ease if non-agency lending is acceptable collateral under the TALF programs, according to Urban Institute’s Jim Parrott.

Fannie Mae and Freddie Mac will purchase single-family mortgages that are in forbearance. But there’s a catch: steep LLPAs.

It’s becoming increasingly clear that unless Fannie or Freddie comes to the rescue of investors, certain pre-2015 CRT deals will sustain losses as millions of borrowers accept mortgage forbearance plans.

The only rule explicitly stated by the GSEs is “forbearance does not mean payments are forgiven.” Meanwhile, the FHFA and CFPB have joined hands to protect consumers from fraudulent forbearance activities.

An FHFA spokesperson said that, while Director Mark Calabria hasn’t issued a specific directive on providing credit, he has made it very clear that Fannie and Freddie must prioritize their own safety and soundness.

Former Freddie Mae CEO Don Layton suggests short- and long-term solutions for the liquidity problems faced by nonbank mortgage servicers.

Milbank has won a one-year, $3 million contract from the FHFA to provide legal services related to ending the conservatorships.

If the coronavirus crisis goes on for more than six to eight weeks, FHFA Director Mark Calabria sees mortgage servicers under “a lot of stress.”

Fannie and Freddie are providing “alternative flexibilities” to reduce the need for appraisers to inspect the interior of a home.

Federal Reserve operations this week swallowed up more than $39.8 billion in agency MBS, including about $31.7 billion in uniform MBS.