“Here’s what it means to you,” said the CEO. “You’re going to start seeing that second homes and investment homes might have loan-level price adjustments"...
Issuers of MBS and ABS should use a 30-day average of SOFR rather than LIBOR when setting adjustable-rate terms for new deals, according to recommendations from a group convened by the Fed.
The Federal Reserve reported that single-family mortgage debt outstanding rose 4.3% in 2020 to $11.666 trillion. Of that total, $8.104 trillion, or 69.4%, was committed to mortgage securities.
DBRS made strides in the expanded-credit MBS market with $10.95 billion in business, a 19.5% increase from 2019 at a time when overall rated issuance fell 24.7%