The issue of fast prepays on VA IRRRLs refuses to die. Recently, VA mailed a warning letter to as many as 500 lenders. Inside MBS & ABS obtained a copy of the correspondence.

MBS and MSR investor New Residential signaled that it might engage in a large stock buyback program, but so far there’s been no activity. It’s possible political considerations might be a factor.

The ongoing wildfires in California could have a disproportionate impact on residential MBS, according to Moody’s.