Originations of non-agency jumbo mortgages increased by 35% from the first to the second quarter. JPMorgan Chase’s acquisition of First Republic Bank bolstered Chase’s jumbo lending efforts. (Includes data chart.)
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.)
The combined portfolio of the top five servicers actually declined slightly during the third quarter. Megabanks Wells Fargo, Chase and Bank of America shed a combined $26.8 billion during the third quarter, with $20.0 billion of that taking place at Wells. Mr. Cooper Group, the largest nonbank servicer, reported a slight $2.5 billion drop, although its subservicing portfolio grew 2.8% to $310.5 billion.
Seller repurchases of Fannie/Freddie loans rose 17% from the first to the second quarter, with 82% of them related to loans securitized in 2018 and 2019.