The big question that everyone wants to know: If released eventually from the shackles of conservatorship, will Freddie and Fannie grow those investment portfolios back up?
Who says the stock market isn't receptive to mortgage companies these days? Don't tell that to New Rez and Sachem. Meanwhile, the MSR bulk auction market is springing to life once again.
With the non-QM market heating up, opportunities abound for whole loan trading desks, with firms such as Incenter, MIAC, RAMS Mortgage Capital and Situs AMC playing a key role.
The top-10 originator recently agreed to buy mid-sized lender J.G. Wentworth Home Loans of the mid-Atlantic. M&A sources contend that Stan Middleman’s shop has more deals in the pipeline.
The transfer of bulk mortgage servicing rights was strong in the second quarter but dealmakers didn’t really feel it in the auction market. Investment bankers believe the second half could see strong MSR sale activity.