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HECM Lending Flat in 3Q, Down 12% YTD
December 23, 2024
Among the top 50 producers, all but one are nonbanks.
Warehouse Financiers Hungry for Warehouse Credits
December 23, 2024
Western Alliance Bancorp, Phoenix, appears to be one of the largest lenders in the space.
FHFA Releases 2025 Scorecard, Wants More Help for FTHBs
December 23, 2024
The new scorecard highlights modest changes in the regulator's priorities for the GSEs.
Arizona Non-QM Lender Reenters the Correspondent Arena
December 23, 2024
Oaktree decided to focus on non-agency products to provide correspondents with loans they may not already have in their toolbox.

Ginnie Mae Issuance
Purchase Mortgages, Refis Push Ginnie Issuance Up in November
Declining interest rates through September helped increase the flow of both purchase mortgages and refinances into Ginnie MBS in November. Issuance increased by 10.1% on a monthly basis, and growth in FHA refi business outpaced VA refi activity. (Includes two data tables.)
Servicing
Nonprime Servicing Volume Continues to Rise in 3Q24
The total amount of nonprime servicing handled by a group of 20 specialists continued its upward trend, unbroken since 2020. (Includes data table.)
Investors
REITs Boost MBS Holdings in 3Q24, Outlook Positive
Most REITs reported substantial increases in their agency MBS holdings during the third quarter, although a few firms pulled back. Non-agency MBS were up slightly; MSR declined.
Servicing
Ginnie Loans Lead Servicing Gains in Third Quarter
Servicing outstanding on 1-4 family mortgages increased by an estimated 0.8% during the third quarter. Ginnie servicing grew at more than twice that pace, fueled by refinance originations. (Includes two data tables.)
Federal Home Loan Banks
FHLBank Income Slumps in 3Q24, Portfolios Hold Steady
A number of large banks have significantly scaled back their use of FHLBank advances, which is having an impact on the system’s income. In addition to rising voluntary investment in housing, the FHLBanks have boosted their single-family mortgage portfolios. (Includes three data tables.)
Profitability
Servicing Diluted Solid 3Q Production/Sales Income
With originations and loan sales rising across the industry in the third quarter, most companies booked income gains from those activities. Servicing, however, was a different matter. (Includes data tables.)

Inside Mortgage Finance

Home Equity Lending Steady in Third Quarter
There’s plenty of home equity available to homeowners but interest rates are constraining originations of home equity loans. Banks remained the top three originators of home equity loans in the third quarter. (Includes three data tables.)
French Hill Selected to Chair House Financial Services Committee
The Arkansas Republican is a former banker who served as deputy assistant secretary of the Treasury in the George H.W. Bush administration.
- Mortgage Lenders’ Love-Hate Relationship With the CFPB
- Lending Against MSRs? Why Not, Warehousers Ask
More Inside Mortgage Finance

Inside MBS & ABS

Steady MBS Growth Meets Strong Investor Appetite
December 19, 2024
The fastest-growing sectors of the MBS market in the third quarter were Ginnie Mae and the non-agency market. Banks, foreign investors, money managers and insurance companies easily offset the slow decline in the Fed’s portfolio. (Includes two data tables.)
SCOTUS Declines to Review CFPB ABS Trust Lawsuit
December 19, 2024
The Supreme Court’s decision to let a lower court’s ruling stand allows the bureau to watch over certain ABS market participants.
Capital Rules a Factor in Fannie’s Market Share Decline
December 19, 2024
Some experts think FHFA’s stability capital buffer has helped Freddie surpass Fannie in both loan purchases and securitizations.
Demand Strong for NPLs, Inventory Remains Low
December 19, 2024
If you like to bid on residential NPLs/RPLs, stand in line. There’s not a ton of product to choose from. And pricing is tight.

More Inside MBS & ABS

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Inside Nonconforming Markets

ARM Origination Growth Slows in 3Q
December 20, 2024
After explosive growth in the second quarter, originations of adjustable-rate mortgages failed to keep pace with overall originations. (Includes data table.)
HEL Originations Expected to Increase in 2025
December 20, 2024
Rising home equity and strong investor demand should help lenders boost their HELOC, CES and HEI lending in 2025.
Correspondent Channel Gains Share of Nonconforming Market
December 20, 2024
Correspondent lenders took some market share from both the retail and broker channels in the nonconforming market in the third quarter. (Includes two data tables.)
Oaktree Relaunches Non-QM Correspondent Platform
December 20, 2024
Oaktree expects market share for correspondents in the non-qualified mortgage market to grow next year.

More Inside Nonconforming Markets

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Inside Mortgage Trends

Correspondents Gain Share in Conventional Conforming in 3Q
December 13, 2024
The correspondent channel’s share of originations increased for both conventional-conforming loans and nonconforming mortgages in the third quarter, according to a survey of lenders. Meanwhile, brokers gained share in the government-insured market. (Includes two data tables.)
Mortgage-Banking Income Grows at Most Depositories
December 13, 2024
Combined, banks and thrifts reported $2.21 billion in mortgage-banking income during the third quarter, a slight increase from the previous period. Through the first nine months of the year, industry earnings were up 8.7% from the same period in 2023. (Includes data table.)
Banks Increase Sales of Mortgages in Third Quarter
December 13, 2024
Sales of mortgages by banks increased by 20.5% in the third quarter even as the top bank reduced its sales. Eight of the 10 top banks boosted their sales from the second quarter. (Includes two data tables.)
Housing Supply Improving, But Affordability Still a Concern
December 13, 2024
Additional inventory is expected to hit the market next year but homebuyers are expected to continue to face affordability issues.

More Inside Mortgage Trends

Inside FHA/VA Lending

HECM Endorsements Level in Third Quarter, FoA Slides
Endorsement activity involving traditional HECMs declined slightly and production of HECMs for home purchase increased during the third quarter. Mutual of Omaha remained the top HECM lender. (Includes three data tables.)
Third-Party Lending Share Shifts in Third Quarter
Among a large group of FHA/VA lenders, the broker channel accounted for 24.8% of government-insured originations in the third quarter. UWM and PennyMac sharply increased their broker volume in the quarter. (Includes data table.)
HUD Agenda Includes Proposal to Lift FHA Re-Sale Time Restrictions
HUD said its current rule adversely impacts the availability of affordable homes for sale.
ICE Warns of Performance Risk from Recent VA Refis
More than a third of this year’s VA rate-and-term refinances were originated with loan-to-value ratios above 100%, according to ICE.

More Inside FHA/VA Lending

Premium Newsletter Content

Inside Mortgage Trends
Correspondents Gain Share in Conventional Conforming in 3Q
The correspondent channel’s share of originations increased for both conventional-conforming loans and nonconforming mortgages in the third quarter, according to a survey of lenders. Meanwhile, brokers gained share in the government-insured market. (Includes two data tables.)
Inside Mortgage Finance
Home Equity Lending Steady in Third Quarter
There’s plenty of home equity available to homeowners but interest rates are constraining originations of home equity loans. Banks remained the top three originators of home equity loans in the third quarter. (Includes three data tables.)
Inside Nonconforming Markets
ARM Origination Growth Slows in 3Q
After explosive growth in the second quarter, originations of adjustable-rate mortgages failed to keep pace with overall originations. (Includes data table.)
Inside MBS & ABS
Steady MBS Growth Meets Strong Investor Appetite
The fastest-growing sectors of the MBS market in the third quarter were Ginnie Mae and the non-agency market. Banks, foreign investors, money managers and insurance companies easily offset the slow decline in the Fed’s portfolio. (Includes two data tables.)
Inside the CFPB
Despite Calls for Elimination, CFPB is Likely Here to Stay
Though many financial companies have significant concerns about actions by the CFPB, the reforms brought in by the bureau are generally preferred, according to industry stakeholders.
Inside The GSEs
Seller GSE Repurchases Decline Sharply in Third Quarter
Freddie repurchases dropped in the third quarter as the GSE changed how it classifies loans with defects that have been cured by the seller. Withdrawn buyback claims were up. (Includes three data tables.)
Inside FHA/VA Lending
HECM Endorsements Level in Third Quarter, FoA Slides
Endorsement activity involving traditional HECMs declined slightly and production of HECMs for home purchase increased during the third quarter. Mutual of Omaha remained the top HECM lender. (Includes three data tables.)

Inside The GSEs

Seller GSE Repurchases Decline Sharply in Third Quarter
Freddie repurchases dropped in the third quarter as the GSE changed how it classifies loans with defects that have been cured by the seller. Withdrawn buyback claims were up. (Includes three data tables.)
GSE Volumes Lag Ginnie Mae in November
Ginnie MBS issuance outpaced the GSEs beginning in 2022, a trend that holds to this day. (Includes two data tables.)
More Inside The GSEs

As homeowner equity continues to build, more and more lenders are launching home equity lending products. Are you thinking of joining this market?