Pete Mills, a senior vice president at MBA, believes housing affordability initiatives are more likely to come from executive orders this year.

President Trump’s directive to lower interest rates helped spur a tightening in mortgage spreads, but economists are skeptical of the long-term impact of the move involving GSE purchases of MBS.

Non-agency lenders are expecting an increase in originations following the Trump administration’s announcement that the GSEs will add $200 billion to their MBS holdings.

Non-agency industry participants are speculating how the non-qualified mortgage market would react if the government-sponsored enterprises go private.

Well below 1.0% of mortgages originated in 2024 had 40-year terms.

Mortgage deliveries to the GSEs were up 14.5% from September to October, according to data from Inside The GSEs.

Trends split during the third quarter in terms of GSE business involving private mortgage insurance. Purchase-mortgage volume increased and refis declined. (Includes three data tables.)

The LLPA change, if it comes, would only apply to mortgages on second homes and cash-out refinances.

The FHFA chief urged investors to review the GSEs’ SEC filings to understand the risks involved.

Mortgage leaders expect some form of government guarantee to stick around even if the GSEs exit conservatorship.