Veteran loan broker Michael Foote called it, “Good marketing more than anything, but they’ll just stack the loans and then sell them as soon as the new loans can be delivered…
While banks and foreign investors have increased their holdings of agency MBS in recent quarters, the Federal Reserve continued to buy over half of net new issuance during the second quarter. (Includes three data charts.)
Fannie Mae and Freddie Mac posted significant gains in single-family business in the second quarter, but Ginnie was relatively flat and the non-agency servicing market continued to shrink. (Includes two data charts.)
The decline in mortgage origination from the first to the second quarter hit nonbanks harder, but the industry still accounted for 70% of production by the top 100 lenders. (Includes two data charts.)
A number of companies gained market share in government lending during the second quarter as the industry leaders, Freedom Mortgage and PennyMac, reported declining production. (Includes data chart.)
New issuance of rated non-agency MBS was up strongly from the first to the second quarter and all five rating services upped new business. But new issuance of rated ABS was down slightly, and competition intensified. (Includes two data charts.)
Most top home-equity lenders reported increased production levels in the second quarter. But retained portfolios of HELOCs and closed-end seconds continued to shrink. (Includes three data charts.)