The two top banks increased their HEL holdings from midyear, and industry analysts expect home-equity lending to continue to increase in 2015.

Patrick Flanagan, Cove’s CEO, was once the president of New Century Mortgage, a now-defunct subprime giant

S&P believes the gap in execution between whole-loan sales and securitization has started to narrow.

The average credit score on the 10th percentile of purchase mortgages increased from 555 in 2000 to 655 at the end of the third quarter of 2014.

Moody’s noted that 88.1 percent of the mortgages slated for securitization have been modified.

Mortgage lenders are delirious about lower FHA premiums, right? Well, not everyone.

Molly Boesel, a senior economist at CoreLogic, said mortgages originated in the past four years are among the most pristine loans made in the past two decades.

“Auctions would determine the market prices of those guarantees and allocate them to the lenders who most valued them,” the CBO said.

Potential actions by regulators also give non-agency MBS investors cause for concern.

“There’s a lot of 60- and 70-year old mortgage managers out there.”