Agency MBS investors are looking forward to the Fed cutting interest rates twice this year. However, they warned that something unexpected could prevent the Fed from cutting rates in September.

The volume of loans removed from Ginnie MBS increased by nearly 20% in the second quarter, driven by borrower loan payoffs. (Includes two data tables.)

Fitch generally views the deals as “credit neutral” for bank ratings, though there are some instances where CRT usage could put a bank’s ratings at risk for downgrade.

The nonbank share of owned servicing increased from 55.9% as of the end of March to 56.9% at the end of June. Much of that growth was driven by large firms, which are gobbling up MSR and subservicing. (Includes three data tables.)

The servicing acquisition from Flagstar puts Mr. Cooper’s pro forma portfolio at the end of June at about 31% higher.

Rate cuts are coming, but they might not be that helpful for mortgage companies in the short term.

Onity stressed that both its originations and servicing segments were profitable on a pre-tax basis.

Nierenberg was asked during the call if Rithm is still considering spinning off Newrez. “Yes,” he said. “I don’t know if it’s just a direct listing or something. We’re looking at anything and everything as a way to increase value for shareholders.”

GSE purchase-mortgage volume — both with private mortgage insurance and without private MI — increased at a faster pace in the second quarter of 2024 than FHA purchase-mortgage business.

Two Harbors Investment posted $56.3 million of net income in the second quarter of 2024, a 72.3% decline from the previous quarter.