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Home » Store » Taxable » Ginnie Mae Closes the Window on Default Buyouts From MBS Pools

Ginnie Mae Closes the Window on Default Buyouts From MBS Pools

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Ginnie Mae officials last week moved to make it more difficult for mortgage bankers to buy defaulted loans from its MBS pools, an increasingly popular profitability strategy used by issuer/servicers over the last few years. According to Ginnie Mae All Participants Memo 02-24, issued Nov. 6, issuers will no longer be able to repurchase pooled loans with just one missed payment that’s been uncured for four straight months.
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