The rating service its stepping away from rating new commercial MBS backed by single-borrower hotel loans due to uncertainty prompted by the coronavirus. Only one such deal has been issued since April.
To meet the qualifications for a seasoned QM, a loan must be held by the creditor for at least 36 months after origination and have no more than two 30-day delinquencies during that time period...
“Many banks and nonbanks have pulled back on the aggressive lending terms and conditions they offered in the prior 12 to 18 months,” said one financial services executive...
Impac Mortgage Holdings incurred $534,000 in legal and professional fees during the second quarter “as a result of exploring alternative exit strategies for our non-QM position."
After a pause for about four months, Citadel Servicing and Verus Mortgage Capital have re-entered the non-qualified mortgage market. But Citadel is no longer offering non-QMs based on one-month bank statements.