A number of lenders have started offering conforming mortgages with balances as high as $715,000, even though the GSE loan limit is $647,200 through the end of this year. As with prior years, the lenders are anticipating higher loan limits for the GSEs next year.
Newfi is offering a non-QM where the interest rate incrementally steps up annually for five years then remains fixed. Meanwhile, Milo launched a cash-out crypto mortgage, where borrowers pledge cryptocurrency in exchange for a loan as large as $5.0 million.
Improvements to practices in the non-agency MBS market will help to protect investors from lenders that don’t make it through the current market contraction, according to Kroll Bond Rating Agency.
Securitization from Unlock and Saluda Grade with home-equity agreements; NewRez offers 40-year mortgages with interest-only option; Fitch to acquire dv01; DBRS adds Clarifii to its list of due diligence providers.
A higher-than-expected inflation reading for August led to volatility in interest rates this week, hurting the value of agency MBS. Still, the CEO of AGNC, a real estate investment trust focused on agency MBS, expects that concerns tied to the Fed will diminish by the end of the year.
While the Biden administration’s student loan debt forgiveness program doesn’t apply directly to borrowers with private student loans in ABS, prepayments on the loans are expected to increase.
Wells Fargo isn’t trying to be the largest player in the mortgage market. Instead, the bank plans to focus on wealthy borrowers and customers that already have a relationship with the bank.