GSE Seller Profile: 1Q13 Print edition with shipping in the U.S.
More lenders are selling directly to the government-sponsored enterprises with each quarter. In the first quarter of 2013, a total of 1,949 sellers did business with Fannie Mae or Freddie Mac, an increase of 3.7 percent over the previous quarter. The new 1Q13 edition of Inside Mortgage Finance’s GSE Seller Profile data report will help you pinpoint the varied strategies they used in generating loan originations and see where you can capitalize on the differences from your business.
The GSE Seller Profile: 1Q13 examines the loans sold to Fannie Mae and Freddie Mac between January 2013 and March 2013 to bring you extensive detail on GSE activity by lender/issuer—particulars such as average FICO score, average debt-to-income ratio, and average original loan-to-value ratio.
This report looks at the 1,949 sellers to the GSEs in this quarter and reports on their activity. You’ll find
Ranking of the 1,949 sellers by volume with detail on their market share, volume by channel, volume by loan purpose and average loan characteristics.
An alphabetical listing with rank, total volume and market share and detail on each seller’s volume by channel, volume by loan purpose and average loan characteristics.
Separate rankings of GSE sellers by channel with channel volume and market share. These rankings provide separate detail on average credit score, DTI, LTV and loan size for refinance and purchase loans.
Average coupon for the Top 100 sellers for each month in the quarter. You’ll find coupon rate for all loans as well as for each purpose and each channel.
The data in the GSE Seller Profile are derived by IMF’s research team from Fannie Mae and Freddie Mac loan-level mortgage securities disclosures.
Find out who’s doing what to score more business. For example:
Whose production relies heavily on correspondent lending;
Where the high FICO scores are;
Where the business is getting done—where opportunities lie;
What’s the average size of the loans your competitors are making;
By lender, what are the average FICO, DTI, LTV, size, refi share, and channel breakdown;
Analyze production strategies for competitive advantage and partnering potential.
Using the data, you can draw information about the market as a whole…
Most of the sellers (1,880 of the 1,949) generated at least some loans through the retail channel. Less than one in seven used correspondents, and even fewer used brokers.
Few of the sellers, just 13 percent, sold more than $100 million in loans to Fannie or Freddie. Nearly half sold less than $10 million.
Or in fine detail about specific market players…
Credit standards are easing somewhat overall. (FICO scores were down in 1Q13 to an average of 753.3.) But banks from large to small are making and selling loans with considerably lower scores, including #3 Quicken Loans (average FICO score in 1Q13, 734.2), #44 M&T Bank (736.0), #144 First Guaranty Mortgage (738.0), and #528 Rocky Mountain Mortgage Company (735.4).
Navy Federal Credit Union, which is marketing a 100-percent LTV loan that it keeps in portfolio, is also selling loans to the GSEs that have higher than average LTVs (88.65 percent versus the average of 71.03). The lender, ranked as the 50th largest GSE seller, originated its GSE loans solely through the retail channel and also had higher than average FICO scores and average loan size and lower than average debt-to-income ratios.