United Wholesale Mortgage was the top originator of prime mortgages securitized in non-agency MBS in 2019. Underwriting characteristics for the sector loosened modestly.

Vista Point Mortgage received an assessment by S&P, which suggests the firm is aggregating non-QMs with plans to contribute to non-agency MBS. The firm was founded by the former president of Impac Mortgage.

There are no easy solutions as servicers work to move non-agency ARMs from LIBOR to a different reference rate.

After halting its main non-qualified-mortgage program due to procedural issues, Sterling Bank and Trust is planning new products with tighter underwriting standards.

Redwood is prepping a large prime non-agency MBS while Quicken issued its second deal. Seer Capital has an expanded-credit product in the works and Velocity a small-balance commercial loan deal.

FDIC eases disclosure standards for non-agency MBS; industry seeks delay in revisions to risk-retention requirements; MBA wants NCUA to follow bank regulators on non-agency appraisal standards; Maxex touts trading volume; A&D Mortgage using LoanScorecard.

The CFPB is considering eliminating the DTI ratio metric when determining the QM status of a mortgage and instead basing the designation on the interest rate. The proposal was met with mixed reactions.

Presale reports for five prime non-agency MBS have been published in the past two weeks, including two deals from JPMorgan Chase. Many of the loans were funded by nonbanks and are eligible for sale to the GSEs.

The FHFA is working to allow firms other than Fannie and Freddie to issue MBS through the Common Securitization Platform.

Invictus is set to issue its largest expanded-credit MBS yet. Angel Oak and Caliber also have deals in the market.