Applications for purchase mortgages and refinances both declined.

Non-QMs account for 81.1 percent of the dollar volume of the planned MBS while the other loans are for rental properties and exempt from ability-to-repay standards.

If stated income appears to be overstated by 15.0 percent or more, PointPredictive notifies the lender so additional verification can be completed.

The non-qualified mortgage share of originations by banks increased slightly in 2017, according to a survey by the American Bankers Association. The share of banks offering non-QMs also increased.

Production of non-agency jumbo mortgages declined significantly in the first quarter of 2018, according to a new ranking and analysis by Inside Nonconforming Markets.

Mortgage-backed securities investors remain interested in non-qualified mortgages, though the hot market may be cooling off.

The higher delinquency rates on FHA/VA loans are likely tied to hurricanes that struck select markets last fall.

Packaging the loans into a non-agency MBS suggests that Flagstar expects better execution in the non-agency market than from delivering the mortgages to Fannie Mae or Freddie Mac.

Moody’s detailed profitability levels for four large private nonbanks: Freedom Mortgage, Provident Funding Associates, Quicken Loans and Stearns Lending.

Lenders estimated that ATR/QM added $139 per loan to their ongoing origination costs.