Four rating services gained on Fitch in 2024 in terms of rating share for non-agency MBS issuance.

The turnaround in servicing profitability was driven by markups in the value of mortgage servicing rights net of hedging efforts.

For the full year, seller repurchases and indemnifications totaled $2.41 billion.

Fannie reported a 3.6% increase in seller repurchases during the fourth quarter, while Freddie volume was essentially flat. For the year, lender buybacks were down 36% from 2023. (Includes three data tables.)

Most lenders reported significant improvement in servicing profitability that was driven by MSR markups. But results varied greatly on the production side, where lenders that rely on TPO channels fared much better. (Includes data tables.)

Fitch, Kroll and DBRS continued to dominate the business of rating non-agency MBS in 2024, but S&P and Moody’s remained heavy hitters in rating ABS.

The rate of growth for non-agency MBS outstanding in 2024 was four times that of the growth in agency MBS.

U.S. depository institutions remained key players supporting the MBS market, but their combined holdings declined in the fourth quarter. Mutual funds and life insurers picked up the slack. (Includes three data tables.)

JPMorgan Chase reported a $32.24 billion decline in agency MBS holdings in its trading account during the fourth quarter.

While originations ticked up for some, gain-on-sale margins declined during the fourth quarter.