Paul Muolo

An Issue Revived: Allowing Nonbanks in the FHLB System

September 26, 2019

REITs, which have become key investors in MBS and MSRs, may get another crack at FHLB membership if the Trump administration gets its way. The golden chalice: discount advances available via the borrowing window.

Short Takes: Judging GSE Pilot Programs / Freddie Mum on the Exact Size / Warehousers Have Entered the Sector / Significant Changes at FHA Unlikely / Pointillist?

September 26, 2019

Paul Muolo

Freddie Mac declined to say how much credit it had extended under the pilot, though a spokesman said it was under $1 billion.

3Q19 Not Looking Good for Bulk MSR Sales. Plenty of Buyers Though

September 26, 2019

Paul Muolo

Bulk mortgage servicing sales have been slow in the third quarter, but that doesn’t mean bidders have been hibernating. If rates rise just a little bit and stay there, auctions of MSRs could boom.

FHFA Chief Keeps a Close Eye on G-Fees, More

September 26, 2019

Paul Muolo

The FHFA is doing its best to make certain the expansionist tendencies of Fannie and Freddie are held in check. Also, a crackdown on g-fee “deals.”

Court Finally Approves New Rez’s Purchase of Ditech Assets. Final Purchase Price: TBD

September 26, 2019

Paul Muolo

The purchase price was quoted at $1 billion but since then interest rates have continued to decline, a negative for MSR values.

Mortgage Grapevine: REITs Await an FHLB Ticket?

September 26, 2019

Paul Muolo

Might REITs regain access to the FHLB system after all? It’s hard to predict but Redwood Trust and others remain hopeful thanks to the recent Treasury blueprint on GSE reform.