REIT values can rise and fall depending on interest-rate swings. The good news is that rates have steadily dropped the past five weeks. The bad news: A rate cut by the Fed will need a recession to occur first.
These are humbling times for warehouse firms that finance nonbanks. Commitments are down overall, as are usage rates. Also, it appears that Truist is having second thoughts about lending money to smaller nonbanks. (Includes data table.)
The servicing side of the business continues to be a source of strength for mortgage bankers fortunate enough to own MSRs. Sales have been strong throughout most of 2023, just not as strong as last year.