Rising interest rates means lenders refinance business will dwindle, forcing them to compete for buyers by potentially loosening their lending standards.
Yields for 10-year Treasury notes rose to the highest level in more than two months Wednesday.
If the switch is not done right, originators are setting themselves up for trouble.
Not much good has been said about those loan officers that scoop up the business that falls into the companys lap, but that will change in the future.
Compensation for the business will be at a significant amount above book value.
A continuing reduction in bank-owned foreclosure inventories alongside third-quarter existing home inventory increases suggests inventory bottomed early in 2013.
A building containing Macys corporate headquarters secures the loan collateralizing the $450 million commercial mortgage-backed securitization.
Investors are anticipating the Federal Reserve to start its taper program soon and that impacted interest rates during a short week.
There was strong homebuyer demand in all four regions tracked in a government report, surprising many economists who had predicted a slight decline overall.
Independent mortgage bankers net income declined 60 basis points between the second and third quarters, Richey May data show. Some penny pinching is in order.
While year-to-year volume is flat, thousands of mortgages have been made on Native homelands in recent years, compared to dozens twenty years ago.
Investors pay a premium for these Ginnie Mae securities, a Walter Investment Management executive says.
The percentage of U.S. commercial real estate loans that are 30 or more days late has dropped 268 basis points since reaching an all-time high of 10.3% in the summer of 2012.
The rapid increase in originations may be the problem. New-issue commercial mortgage-backed securities could total $87 billion in 2013, up 81% from 2012's $48 billion.
The purchases in the fifth transaction this year created out of prime-jumbo U.S. home loans represent a switch from REITs typical strategy of acquiring just the highest-yielding slices in such deals.