Agency MBS issuance declined modestly from the fourth quarter of 2019 to first quarter of this year. But volume soared abruptly in April, along with signs of COVID-19 stress. (Includes two data charts.)
Fannie and Freddie saw huge gains last month as total agency MBS issuance soared to an all-time record. Heavy refinance activity was the biggest factor. (Includes two data charts.)
Fannie and Freddie reported sharp drops in net income in 1Q as they substantially boosted loss reserves in anticipation of the impact of COVID-19. G-fee pricing between the two came into closer alignment. (Includes data chart.)
Loans eligible for sale to Fannie Mae and Freddie Mac or insured by FHA or VA accounted for a huge 86.1% of first-lien originations in early 2020. Both jumbo and expanded-credit mortgage lending fell sharply in the period. (Includes two data charts.)
Most of the phenomenal increase in agency MBS issuance last month came from the refinance sector, though purchase volume rose smartly as well. Nonbanks led the way.
GSE and government-insured loans accounted for 86.1% of the market in early 2020, a period that featured a historic nosedive in mortgage interest rates and frenetic volatility caused by the pandemic...
Fannie Mae, Freddie Mac and Ginnie Mae pumped out a record $236.8 billion of single-family MBS in April. The previous record was $232.1 billion, set in June 2009.
A growing share of VA and FHA loans had credit scores of 740 or higher in the first quarter, while the share of scores below 620 declined. (Includes four data charts.)