Production levels surged for agency 1-4-family MBS, non-mortgage ABS and commercial MBS from the second to the third quarter. Nonbanks continued to dominate the agency market. Includes three data charts.)

Fannie Mae’s credit-risk transfer loan-level data show 21.0% of borrowers that were in forbearance in June exited when their relief plans expired in July. That works out to 1.7% of the government-sponsored enterprise’s outstandings.

Fannie and Freddie recorded a huge increase in single-family MBS during the second quarter, capturing a huge share of the growing conventional-conforming loan market. (Includes data chart.)

Residential MBS accounted for 39% of the combined structured-finance portfolio for the 15 largest life insurers in the U.S. (Includes data chart.)

At least some of the advantage enjoyed by the Treasury market over agency MBS can be attributed to structural differences in the two markets and how they evolved, according to Federal Reserve economists.

The fall in prepayment speeds follows four successive months of steady increases. This may have something to do with how the rate is calculated.

Not surprisingly, mortgages on retail and lodging properties were hit the hardest in the economic fallout of the coronavirus. Agency multifamily MBS issuance rose significantly in the second quarter. (Includes data chart.)

The bulk of loans from the July 6 Term ABS Loan Facility have gone to investors in legacy commercial MBS.

Repurchases of delinquent loans from Ginnie MBS pools jumped sharply in May, including a significant number of performing loans under COVID-19 forbearance plans. (Includes data chart.)

The issue presents a potential conflict in securitization transactions because lenders typically take a borrower’s word on income reporting, according to two Federal Reserve economists.