The number of loans 30-59 days delinquent in agency MBS increased during the second half of 2021. Late payments increased on FHA mortgages along with GSE loans. (Includes data chart.)
Banks that expand mortgage lending beyond their local markets into high-growth areas face some risks, according to findings published by the International Monetary Fund.
Leaders of New Residential and PennyMac Financial Services express a negative outlook on GOS; study finds eClosings generate a positive return on investment; Flagstar accepting applications for its mortgage technology accelerator program; borrowers surprised by the paperwork required for a mortgage; RiskSpan teams with Verisk to detail loan-level climate risk.
Annaly Capital Management’s net income declined by nearly 20% from the third to the fourth quarter and AGNC Investment took a loss as agency MBS values fluctuated due to actions by the Federal Reserve.
Borrowers with loans in various types of MBS and ABS could be stretched as interest rates increase, according to industry analysts. Prepayment rates are also likely to slow.
Overall, mortgage delinquencies at the end of 2021 had returned to levels seen before the pandemic. Serious delinquency rates are elevated compared with the days before the coronavirus. (Includes data chart.)