Three decades back GE Financial Services looked at entering the prime conventional market as a securitizer but realized one essential fact: It couldn’t compete against Fannie Mae and Freddie Mac because they could borrow at better rates in the debt market because of the implied government backing of their bonds. (As it turned out that implied guarantee was real.) Anyway, the world has changed a ton since then. The jumbo MBS market is beginning to show signs of new life. Late Friday S&P assigned top grades to a $310 million jumbo deal brought to market by Credit Suisse. We keep hearing reports (unconfirmed) that more deals are underway. Now we can ask this question: will forthcoming and constant hikes in g-fees finally create parity between Fannie/Freddie and the private market. Or is that still a dream?
Keep Hiking G-Fees It Will Help Jumbos?
DEC 3, 2012 12:51pm ET
You must be registered to post a comment. Click here to register.
Already registered? Log in here
- National General Lender Services Welcomes Carl Formato II and Jim Slowinski
- SingleSource Property Solutions Merges with iMortgage Services
- Compliance and Technology among Biggest TRID Implementation Concerns, According to Genworth Survey
- LexisNexis Risk Solutions Announces New Relationship with Ellie Mae
- Aspen Grove Solutions announce strategic partnership with Brookstone Management, LLC