Securitization of office-property mortgages fell to its lowest level in 10 years, while retail and lodging also saw big declines in the third quarter. Agency multifamily MBS issuance held up better, paced by a modest gain in Freddie production. (Includes two data charts.)
Despite significant erosion in conventional-conforming and jumbo lending in the third quarter, a few shops managed to boost originations. FHA/VA lending was relatively safer. (Includes two data charts.)
Publicly held banks reported a 20% decline in mortgage banking income from the second to the third quarter as more firms shift away from the originate-to-sell model. Servicing generally helped offset faltering profits on production and secondary marketing. (Includes data chart.)
Now that the purchase-mortgage market is getting squishy, agency MBS issuance may sink to its lowest level in years. New pricing from the GSEs may be offset by a potential cut in FHA premiums. (Includes two data charts.)
As a group, nonbank servicers are growing faster than depositories. But some of the biggest gains in the third quarter were by banks, and a number of nonbanks shrank their portfolios. (Includes three data charts.)