There are plenty of buyers for non-QMs these days. And coupled with continued strong home values throughout most of the nation, sales of early payment default mortgages are not proving to be a burden.
The first quarter of 2024 was trying for most privately held nonbanks, but it appears volumes and profits turned a corner in the second quarter. The reason: cost cuts and less competition. Call it the “new normal?”
What might JPMorgan do with the relationship managers attached to the $5 billion in warehouse loans it’s buying from Flagstar? To date, JPM hasn’t talked about details of the yet-to-close deal.