Residential mortgage delinquency rates have turned around nicely from their worst levels in the wake of the financial crisis, but mortgage servicer timelines continue to increase, according to recent findings by industry analysts. “The improvement in the broad U.S. economy in general, and the steady decline of the unemployment rate and the strong rebound of the housing market in particular, have significantly reduced the residential mortgage serious-delinquency rate across all credit spectrums,” Deutsche Bank analysts said in a report issued last week. Delinquency rates have declined...

Shellpoint Partners downsized and restructured a jumbo MBS it initially planned to sell in September.

The Structured Finance Industry Group offered its take on the loan limit debate.

The QM Plus option would be limited to loans secured by a principal dwelling. No subordinate liens would be permitted for purchase-money transactions.

Rumors abound about mortgage firms either closing or laying off staff. Meanwhile, Auction.com, known for selling troubled real estate for banks and other investors, is offering up a $600 million pool of performing multifamily mortgages.

KBRA pointed out that one jumbo MBS issuer said it will accept mortgages where lenders have implemented procedures to either close the loans with an exception or review IRS transcripts post-closing.

The secondary market for mortgage servicing rights is red hot and shows no signs of slowing, even with the government partially closed.

Seven different issuers generated a relatively strong $3.94 billion in jumbo non-agency MBS during the third quarter, but the sector’s resurgence in 2013 seemed to be losing steam and faces an uncertain future. Jumbo MBS issuance declined 9.1 percent from the second quarter and one transaction – Shellpoint’s second of the year – was pulled back as September came to a close. Redwood Trust managed $1.18 billion in new issuance, a 34.1 percent drop from the second quarter, while the two other jumbo veterans, Credit Suisse and JPMorgan Chase, saw reduced production as well. Industry participants are divided...[Includes three data charts]

Investors at the ABS East conference in Miami this week had a positive outlook for most structured finance investment options, such as vintage non-agency MBS, auto and credit card ABS, collateralized loan obligations and esoteric assets. They were less bullish about new jumbo MBS. More than 3,500 people registered for the conference this year including more than 1,000 investors. Jade Friedensohn, a senior vice president at Information Management Network, the event sponsor, said it was the biggest turnout for ABS East since before the financial crisis. “In the short term things are...

Laurie Goodman, director of the Urban Institute’s housing finance policy center, predicted that the delay in issuance of jumbo MBS will be short.