Velocity Financial reduced its production of business purpose loans for the second consecutive quarter but remained profitable in the early months of 2023.

Republic First Bank exits mortgage business; LoanNex’s non-QM marketplace comes to LendingPad; Former Athas Capital CEO to launch non-QM shop; new non-agency MBS; Maxex debuts program for alternative-doc loans.

The sale of First Republic Bank to Chase has opened a door for nonbanks hoping to expand in the jumbo market.

Redwood envisions a strong year for its jumbo conduit businesses amid turmoil in the bank sector.

Annaly Capital Management plans to increase dedicated capital for its residential credit business with an emphasis on taking banks’ expanded-credit loans.

A growing community of non-QM lenders are providing funding for people working in the cannabis industry who can’t get traditional financing.

Angel Oak Mortgage operated at a breakeven level in the first quarter despite increased activity in new loan purchases and securitization.

Three new MBS hit the market; non-QM impairments declined in March; Impac Mortgage delisted from NYSE.

While real estate lending might not feel the brunt of a possible credit squeeze, products like jumbo mortgages could still face challenges. There are signs that banks have reduced their appetite for the loans.

Conforming jumbos, cash-out refinances and mortgages for investment properties and second homes are becoming less prevalent in deliveries to the government-sponsored enterprises. (Includes data chart.)