The GSEs' loan limits increased for 2020, like clockwork. The higher limits could take a large bite out of non-agency jumbo lending in some states, according to a new analysis.
Competition for non-QMs is fierce among aggregators in the secondary market. The loans offer strong returns when held in portfolio or when packaged into MBS. However, some investors believe the bids are getting overheated.
New guidelines from SFA for TRID reviews in non-agency MBS; Figure raises capital and makes a hire; Premium Point CEO sentenced to prison; Verus and Carrington launch new products; Fitch upgrades servicers; Sachem co-CEO resigns.
Provident Funding Associates is set to issue a non-agency MBS with mortgages eligible for sale to the GSEs. The types of loans in the deal differ from previous non-agency MBS packed with Fannie/Freddie-eligible mortgages.
A busy market: An affiliate of Neuberger Berman is prepping a $411.1 million expanded-credit MBS; Credit Suisse increased the number of lenders it's sourcing non-QMs from; and an affiliate of PIMCO issued another deal with seasoned non-QMs that were subject to clean-up calls.
The amount of outstanding subprime mortgages handled by a group of prominent servicers fell by 4.1% in 3Q19. Among the 15 processors, none increased their portfolios on a sequential basis. (Includes data chart.)
An SEC committee hosted a panel discussion in November regarding the compensation model for rating services. The regulator hasn't made a decision on whether reforms are needed to the issuer-pays model.
FSOC continues to focus on the risk posed by nonbanks, which are key players in the MBS market. But is the regulator worrying too much? Opinions differ.
Delinquencies continued to decline in the third quarter, helped by a strong employment market and economic growth. However, there are some signs that late payments might inch upwards. (Includes data chart.)