Two new issuers are offering expanded-credit MBS, there’s a securitization backed by newly-originated second liens and the jumbo MBS market is showing more signs of life.

Occupancy fraud on jumbos; FoA to sell its business-purpose lending unit to Roc Capital; new CEOs at two leading fix-and-flip lenders; new COO at Deephaven.

Issuance of prime non-agency MBS nearly ground to a halt during the fourth quarter. For the full year, activity was down almost 60%. (Includes three data charts.)

Redwood Trust scaled back its jumbo business in 2022 and doesn’t have plans for a significant expansion any time soon, even with Wells Fargo’s exit from the correspondent channel.

Redwood suggested Wells Fargo's exit from the correspondent channel won't boost the REIT's fortunes in the near term.

Most of the non-agency MBS on offer within the past two weeks was stocked with mortgages for investment properties.

First Republic Bank is working to increase its share of jumbo originations, using a combination of customer service and low interest rates.

Six expanded-credit MBS started marketing within the past two weeks and there are also offerings of prime jumbos, HELOCs and even a credit-risk transfer deal from Santander Bank.

Wells Fargo was a major player in the jumbo correspondent channel, with a nearly 20% market share. A handful of banks have a strong presence in this category, while nonbank competitors have faced hurdles.

Non-agency MBS issuance perked up in early January as investor demand improved. Redwood Trust offered a jumbo MBS after a year-long lull in issuance and expanded-credit MBS issuers priced deals at tightening spreads.