Bridge Investment Group, a major player in the multifamily sector, said the proposed changes to the enterprise regulatory capital framework could actually increase the capital requirements for the GSEs.
A report by Fitch Ratings forecasts a sharp drop in originations and declining GOS margins that will put pressure on earnings for smaller nonbank lenders.
The proposal also includes a new area-based subgoal designed to reduce the likelihood that GSE purchases in low-income areas go disproportionately to higher-income borrowers.