It seems that GSE officials, to some degree, are trying to manage future expectations, but one thing is certain: guaranty fee income remains very strong.

Fannie Mae reported nice guaranty fee income in first quarter, but as one former GSE executive told us: “Their expenses are out of control.”

FHFA chief Mel Watt said he would not “elaborate on these issues today,” but promised “you will certainly be hearing more about this as we move forward.”

Radian will be finance the purchase through the issuance of debt. In 2013, Clayton had annual revenue of $135 million and net income of $9.1 million.

One of PHH’s largest private label clients is Merrill Lynch, which is owned by Bank of America.

Before joining the FHFA in late 2011, Hornsby spent 26 years at the Federal Reserve Bank of San Francisco, the last 10 under Janet Yellen, who is now the nation’s central banker.

“They’re either going to shut their doors, merge or sell out to someone else,” one M&A advisor told Inside Mortgage Finance. “We could see 2,000 firms disappear.”

Of late, nonbanks are showing an increasing interest in buying delinquent loans out of Ginnie Mae pools.

CSP watchers say the GSE platform is starting to look like an orphan under director Mel Watt. But will Watt mention the project in his first public speech next week?

Beginning in December, the FHFA directly stepped into the MSR sales market, requiring its approval on all Fannie/Freddie transfers involving 5,000 loans or more. This additional level of approval initially caused concern in the market because it added another layer of oversight to sales.