In addition, banks reported $35.6 billion of MBS in trading accounts, a significant 87.1% jump from 2Q22...

There's an iceberg of low-coupon MSRs out there...

A market-wide slump in MBS fair market values accounted for most of the decline in reported bank holdings of these securities during the third quarter. And there was a significant increase in MBS held in bank trading accounts. (Includes two data charts.)

Capital markets deals to finance MSR have slowed down, but servicers still have access to funding through bilateral loans from banks and excess-spread transactions.

The biggest problem for the PMIs: a 13.7% decline in new purchase business...

Originations of purchase mortgages with primary MI coverage declined in the third quarter, but the FHA stood alone with a sturdy 7% increase in purchase endorsements. National MI was the only private insurer to boost quarterly production. (Includes three data charts.)

2022 smashed records for MSR transfers, especially in the bulk market, but cooled in recent months. Still, experts see a rebound when the market gets a better handle on the Fed's future steps.

Ugly fact: There were only five deals from four different issuers...

Fitch and other ratings firms last affirmed the company’s solid RMBS servicer ratings a year ago...

Lenders cut back on jumbo originations in the third quarter, and they kept most of what they produced. The result: a 73% nosedive in prime RMBS issuance from the second quarter. (Includes three data charts.)