Mortgage companies across the spectrum are looking for ways to reduce expenses. Automation and artificial intelligence might be a solution.

Most impacted securities have already made the transition from the London Interbank Offered Rate. S&P expects the LIBOR Act will minimize the risk on the remainder.

For the third consecutive month, mortgage credit availability declined, with some products reaching their lowest levels in a decade. It’s only expected to get worse as lenders worry about the economy.

The retail channel gained market share in the jumbo sector as Wells retreated from correspondent lending.

Some lenders note that they’re comfortable approving DSCR loans with ratios of less than 1.0 due to expectations that rents will rise.

Change recently issued its first expanded-credit MBS to receive a AAA rating.

Wells Fargo stopped originating jumbos through the correspondent channel and few lenders moved to pick up the slack. Meanwhile, the retail channel gained market share. (Includes data chart.)

Change Mortgage’s unique approach to underwriting for underserved communities has earned the CDFI its first AAA-rated security.

First-lien holdings at banks increased somewhat in the first quarter of 2023. And recent bank failures led to portfolios changing hands. (Includes data chart.)

The share of no- or sub-ratio loans in the DSCR space rose to 43.7% in the first quarter of 2023, according to DBRS. A ratio of less than 1.0 indicates monthly rent doesn’t fully cover loan payments.