The non-agency securitization market for closed-end seconds has grown substantially in the past year as lenders look to expand their product offerings with refinance business limited.
The move would mean breaking from the external management by Cherry Hill Mortgage Management, which is owned by Stanley Middleman, CEO of Freedom Mortgage.
Prepayment rates are expected to be higher than in previous refinance cycles because lenders have bumped up spending on technology to improve recapture rates and loan originators are eagerly anticipating increasing their volume.