Interest rates remain low and not one major (or even mid-sized) nonbank conventional lender has closed its doors. Some shops are even reporting record loan volumes in the pandemic era…
The jumbo market was humming along at the start of the year until volatility from the coronavirus disrupted lending in March. Originations of jumbos declined sharply and the sector lost market share. (Includes data chart.)
In areas where the GSEs are seen as competing with the non-agency market, business was good for the GSEs in the first quarter of 2020. (Includes data chart.)
Neuberger Berman issued a non-QM MBS this week, ending a lull in issuance that started in late February due to volatility from the coronavirus. Other issuers also plan to return to the market.
Citadel Servicing Corp., another key player in the non-QM sector, remains quiet regarding its plans to reopen. Back in February, the lender/servicer was sold to HPS Investment Partners for an undisclosed sum.
Redwood took a $943 million loss in the first quarter amid volatility from the coronavirus. The REIT laid off about 35% of its employees in April, among other adjustments.