As government agencies focus their attention on the market share of nonbanks, independent mortgage bankers say their business model poses no significant risk to the economy.
Grapevine: A few days ahead of a scheduled bankruptcy auction, New Residential Investment Corp. has swooped in and made a "stalking horse" bid. Meanwhile, a big promotion at Fannie Mae and a record month for Guaranteed Rate.
According to court filings, Wachovia Capital Markets, which served as one of the underwriters and book-runners for the NovaStar deals, provided investors with misleading statements in its SEC registrations and offering documents.
One of the last legal dramas from the subprime crisis took a surprise turn last week when FHFA sued Wells over a case that had been settled earlier this year. At stake: more than $1 billion in RMBS issued 13 years ago.
Calabria reports to Congress on the outlook for Fannie and Freddie. Then asks for powers like those of the FDIC and other financial regulators, including the authority to issue charters for new GSEs.
Industry insiders disagree on how long it would take for Fannie and Freddie to go public. A Raymond James report says it will take three to four years, while others say it depends on the plan.
The long saga of the Single Security Initiative culminates in what’s supposed to be a more liquid and efficient TBA market as Fannie and Freddie issue their first common securities over the CSP.