The CFPB is considering eliminating the DTI ratio metric when determining the QM status of a mortgage and instead basing the designation on the interest rate. The proposal was met with mixed reactions.

Presale reports for five prime non-agency MBS have been published in the past two weeks, including two deals from JPMorgan Chase. Many of the loans were funded by nonbanks and are eligible for sale to the GSEs.

The FHFA is working to allow firms other than Fannie and Freddie to issue MBS through the Common Securitization Platform.

Fix-and-flip loans differ in many ways from traditional mortgages. The loans are often exempt from various regulations.

Invictus is set to issue its largest expanded-credit MBS yet. Angel Oak and Caliber also have deals in the market.

Velocity completes IPO; losses on Angel Oak’s MBS temporary; Radian sells Clayton; Provident Bank acquires non-agency warehouse lender; GSF Mortgage launches jumbo product; Customers Bank takes a loss.

To avoid retaining risk in securitization deals, mortgage lenders are joining hands with investors who act as “co-sponsors” and take on the first-loss position.

Issuance of aircraft-related ABS is expected to shoot up in the coming years but industry analysts are warning about potential performance issues. Fitch said it’s taking a cautious approach to rating new deals.

The Financial Stability Oversight Council would have to complete a number of steps before it can subject nonbank lenders and servicers to increased over-sight and prudential standards.

Stable interest rates and seasonal trends will lead to a decline in mortgage originations in the first quarter of 2020. Lenders are taking steps to adjust to a reduction in refi business.