“It’s nearly impossible to get the information to the right person to vote on it,” said Bill Moliski, a managing director at SG Capital and former managing director at Redwood Trust.

The non-agency MBS market is stuck in "limbo until we know where the GSEs are going,” said Steve Abrahams, head of securitization and MBS research at Deutsche Bank Securities.

Comments made Wednesday by the Treasury Department’s point man on GSE reform, Michael Stegman, did not go unnoticed by employees of Fannie Mae and Freddie Mac.

Hoping to jump start the non-agency MBS market, the Structured Finance Industry Group plans to establish a limited number of options on various rep and warrant issues.

The lender also recently formed a real estate investment trust, Parkside Mortgage Trust. Matt Ostrander, Parkside’s CEO, said the REIT plans to issue a non-agency MBS later this year or in 2015.

The hunger for GSE speculation is also causing some investors to buy Fannie/Freddie common which has been rising of late, but not by much. However, one GSE watcher believes that buying the common, "is a fool’s game."

It's no secret that banks like to hold jumbo mortgages in portfolio, but depositories are also major contributors to non-agency securities.

More than $85 million in peer-to-peer mortgages were originated in 2013 via National Family Mortgage. It may double that performance this year.

Industry analysts predict that the New York ruling will limit rep-and-warrant claims on vintage non-agency MBS as well as future claims on recently issued jumbo MBS.

Former CFPB executive Raj Date hopes to be in the non-QM market by mid-year 2014.