Credit Ratings

Browse articles from all of our Newsletters related to Credit Ratings.

August 4, 2017 - Inside FHA/VA Lending

GNMA Fully Automates Platinum Securities Processing, Issuance

Ginnie Mae this week announced the full automation of Platinum securities processing and issuance – a key step in modernizing the agency’s outdated technology and infrastructure. Automation went into effect in mid-July and nearly $1 billion of the Platinum pools have been processed through the MyGinnieMae portal, the agency said in a statement. MyGinnieMae is a self-servicing portal that connects users and enables collaboration and the sharing of organizational knowledge, the agency explained. The year-to-date volume for Platinum mortgage-backed securities is $6.1 billion. Ginnie’s Multiclass Securities Program allows participating issuers to pool some of their MBS into a single Platinum trust, which issues securities based on the pool. A Platinum security is designed to improve liquidity of Ginnie MBS through trades or use in structured finance and repurchase transactions. Previously, Platinum products were ...

July 28, 2017 - Inside MBS & ABS

Flagstar Enters Jumbo MBS Market, Issuance Starting to Look Attractive for Some Big Banks

Flagstar Bank priced its first post-crisis jumbo MBS this week and other big banks could start issuing deals this year, according to industry analysts. Since 2010, the main issuers in the fledgling jumbo MBS market have been nonbanks, with banks content to hold jumbos in portfolio. In recent years, the only bank to issue prime non-agency MBS has been JPMorgan Chase, which has packaged jumbos with some mortgages eligible for sale to the government-sponsored enterprises in its deals. The $443.8 million Flagstar Mortgage Trust 2017-1 follows...

July 21, 2017 - Inside FHA/VA Lending

Around the Industry

Bipartisan Flood Bill Introduced in Senate. The Senate Committee on Banking, Housing and Urban Affairs will soon consider a bipartisan bill introduced this week that would keep the National Flood Insurance Program funded for six more years and create new risk mitigation procedures for communities to follow. Senate Banking Committee Chairman Mike Crapo, R-ID, and ranking Democrat Sherrod Brown, OH, said the bill would serve as a template for consideration by the whole committee. The Senate bill does not include core provisions in the House version, including the development of a private flood insurance market to complement the NFIP. In addition, the bill does not call for cuts in the reimbursement rate for Write-Your-Own flood-insurance carriers that service NFIP policies. However, amendments are likely, according to Crapo and Brown. Meanwhile, the ...

July 21, 2017 - Inside MBS & ABS

After a Lull in Issuance, Strong Demand for New Single-Family Rental Security from Progress

Issuance of single-family rental securitizations has been lagging this year, but a new offering from Progress Residential suggests that demand for deals could be headed northward. In a somewhat uncommon move last week, Progress increased a planned issuance after presale reports on the deal were already published. “The transaction sponsor elected...

July 7, 2017 - Inside FHA/VA Lending

Ginnie MBS Issuance Rides Rising Home Sales in 2Q17

Ginnie Mae issuers were moderately busier in the second quarter of 2017 than during the first three months of the year, according to a new analysis and ranking by Inside FHA/VA Lending. Issuers produced $112.71 billion of single-family mortgage-backed securities during the second quarter, including MBS backed by FHA home-equity conversion mortgages. It was a 5.5 percent increase from the previous period and brought year-to-date issuance to $219.51 billion, down 0.7 percent from the first half of 2016. The quarterly uptick in total issuance may not sound like much, but contrasts sharply with production at Fannie Mae and Freddie Mac, which dropped 13.1 percent from the first to the second quarter. Ginnie volume was up because it had a deeper vein of purchase-money mortgages than there was in the government-sponsored enterprise market. Purchase loans accounted for 63.4 percent of ... [Charts]

July 7, 2017 - Inside Nonconforming Markets

Ocwen’s Legal Issues Expected to Drag On

A resolution of the charges against Ocwen Financial brought by the Consumer Financial Protection Bureau and state regulators is expected to be “protracted,” according to industry analysts. In April, the CFPB and state regulators took a number of actions against the nonbank, alleging servicing- and lending-related violations. Ocwen is appealing the findings. The legal issues prompted mixed reactions from rating services. Fitch Ratings affirmed its B- issuer-default rating for ...


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