CHLA is concerned large lenders are getting a break on credit report costs while smaller shops are getting whacked. Meanwhile, there’s been a spate of stock selling by mortgage company insiders the past few months.
Earlier this year, banks saw an advantage in purchasing jumbo mortgages for their portfolios, but of late it seems as though the edge is beginning to erode.
Daily MBS trading has been on the rise since April, a positive sign. It seems some investors are willing to buy and hold, but fear over what the Fed might do next rules the roost.