New GSE Disclosures Show Lenders Bought Back Nearly Half of Repurchase Demands, But Prevailed in Many Cases
February 23, 2012
Fannie Mae and Freddie Mac have asked lenders to repurchase some $76.4 billion of mortgages under representations and warranties provisions in their contracts, although a significant volume of these demands ended up being withdrawn by the two government-sponsored enterprises. A new Inside Mortgage Finance analysis of reps and warranties disclosures made by Fannie and Freddie shows that 37.3 percent of the buyback demands made by the GSEs over the years ended up being withdrawn. Fannie, Freddie and other mortgage securitizers are now required to file reps and warranties...(Includes one data chart)
Is Onity Group eyeing a sale? Perhaps. And why not? Servicing values are approaching a 25-year high.
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