Nonprime Trends

Browse articles from all of our Newsletters related to Nonprime Trends.

August 4, 2017 - Inside Nonconforming Markets

Average Jumbo Mortgage Interest Rates and Mortgage Performance

A page of jumbo data and the performance of non-agency mortgage-backed securities.


August 4, 2017 - Inside Nonconforming Markets

Loans in New Nonprime MBS Look Like Alt A

Participants in the post-crisis nonprime mortgage-backed securities market have resisted efforts to brand their deals as “subprime” and for good reason: the loans backing these transactions more closely resemble pre-crisis Alt A mortgages. In fact, some of the underwriting characteristics on new nonprime loans are even stronger than the credit quality on pre-crisis Alt A mortgages, according to an analysis by Inside Nonconforming Markets. Between ... [Includes one data chart]


August 4, 2017 - Inside MBS & ABS

New Residential Goes Whole-Hog into MSR While Largest REIT MBS Investor Takes a Different Tact

Two high-profile real estate investment trusts – Annaly Capital Management and New Residential Investment Corp. – appear to be refining their investment strategies these days, heading in different directions in terms of what asset classes they prefer. New Residential is continuing to make huge bets on mortgage servicing rights. According to its just-released earnings statement, the investor is showing no reluctance whatsoever when it comes to size. A new tally from Inside Mortgage Finance shows that New Residential ended the second quarter with $353.0 billion of “full servicing” rights in its possession, up 40.1 percent from March 31. A year ago, the REIT wasn’t...


August 4, 2017 - Inside MBS & ABS

Non-Agency MBS Issuance May Grow in 2017 But a Major Revival Still Looks Years Away

Industry analysts expect that issuance of non-agency MBS in 2017 will outpace the volume seen last year. But 10 years after the start of the financial crisis, the non-agency MBS market is nowhere close to its level before the crisis, and a full recovery doesn’t look imminent. Some $28.8 billion of non-agency MBS was issued in the first half of 2017, up 32.0 percent from the same period last year, according to the Inside Mortgage Finance MBS Database. Non-agency MBS issuance peaked in 2006 at $1.19 trillion. Some 71.8 percent of the issuance that year was backed by subprime mortgages and Alt A loans. Post-crisis non-agency MBS issuance has been dominated...


July 21, 2017 - Inside Nonconforming Markets

Average Jumbo Mortgage Interest Rates and Mortgage Performance

A page of jumbo data and the performance of non-agency mortgage-backed securities.


July 21, 2017 - Inside Nonconforming Markets

Invictus Shows Variety with New Nonprime MBS

A new nonprime mortgage-backed security from Invictus Capital Partners varies in some ways from the deal the firm issued in February. Invictus is set to issue the $241.00 million Verus Securitization Trust 2017-2. The deal the firm issued in the first quarter – the first MBS from Invictus – was for $145.02 million. The purchase-mortgage share in the new deal is down sharply compared with the previous MBS from Invictus, at 46.0 percent compared with 68.3 percent. The cash-out refinance ...


July 21, 2017 - Inside MBS & ABS

While Angel Oak, Deephaven and Others Issue New Nonprime MBS, Citadel Mines the Whole Loan Market

A few months back, Citadel Servicing Corp., Irvine, CA, was eyeing the May/June period as the target date for its first nonprime mortgage-backed security. Now that July is almost over, it’s eyeing the fall – if that. According to company founder and CEO Dan Perl, prices being paid in the whole loan market for its high-yielding loans are just too good to turn down. Perl indicated that for his company, at least, the economics of a whole loan transaction are just too favorable right now. Although he could not be too specific on pricing, the industry veteran indicated...


July 21, 2017 - Inside MBS & ABS

PIMCO Says Tackle Changes to Non-Agency Market, Then Do GSE Reform; Firm Critical of Plans Thus Far

Pacific Investment Management Company published an opinion piece this week calling for changes in the non-agency market before policymakers enact reforms that affect the government-sponsored enterprises. PIMCO was also critical of other GSE reform proposals. “Without a functioning private mortgage market, it will be nearly impossible for the GSEs to shrink their footprint without significant disruption to the housing market and to the underlying homeownership rate,” PIMCO said. PIMCO was...


July 7, 2017 - Inside Nonconforming Markets

Average Jumbo Mortgage Interest Rates and Mortgage Performance

A page of jumbo data and the performance of non-agency mortgage-backed securities.


July 7, 2017 - Inside Nonconforming Markets

Angel Oak Issues Its Largest Nonprime MBS

A unit of Angel Oak Companies issued its largest nonprime mortgage-backed security this week. The deal comes shortly after a significant amount of mortgages from Angel Oak were included in a separate nonprime MBS from Deephaven Mortgage. The $210.45 million Angel Oak Mortgage Trust I LLC 2017-2 received AAA ratings from DBRS and S&P Global Ratings. Angel Oak has issued three other nonprime MBS, the largest of which was a $150.35 million transaction in 2015 ...


July 7, 2017 - Inside Nonconforming Markets

Nonprime MBS Has Breakout Quarter, Issuance Up Sharply. More Deals Likely

Issuance of nonprime mortgage-backed securities skyrocketed in the second quarter, and analysts anticipate that the market is set for more growth. A total of $1.08 billion of MBS backed by newly originated nonprime mortgages was issued in the second quarter of 2017, according to Inside Nonconforming Markets. It was the strongest post-crisis quarter for the sector, which has been percolating since the second half of 2015. Issuance in the April-June cycle ... [Includes one data chart]


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