Consumers are showing increased optimism about the housing market, but supply challenges and interest rates hurt affordability levels.

Some $9.71 billion of conforming jumbos were included in GSE MBS issued during the second quarter.

Investors act differently than owner-occupants in terms of servicing-related decisions.

The non-agency securitization market for closed-end seconds has grown substantially in the past year as lenders look to expand their product offerings with refinance business limited.

JPMorgan Chase, once again, was the top non-agency MBS issuer in the quarter...

An uptick in securitization of jumbo and GSE-eligible loans helped increase total non-agency MBS issuance in the second quarter. (Includes data tables.)

The $2.5 billion cap for Freddie’s pilot program to buy closed-end seconds should limit impact on the non-agency secondary market. But industry players worry about the long-term risks if the pilot is successful.

Servicers must adjust their thinking on delinquencies, reserves and collections when the borrower is an investor rather than an occupant.

John Beacham, CEO of Toorak Capital Partners, said ratings on fix-and-flip securitizations are attracting more investor interest and prompting better pricing for issuers.

Most of the noncore categories where the GSEs are active lagged overall market growth. The one that didn’t: conforming jumbos. (Includes data table.)