Christopher Whalen

To paint nonbanks as a source of systemic risk, particularly given the track record of commercial banks in causing the 2008 subprime mortgage fiasco, seems absurd.

The fact that the more operationally skilled nonbanks have come to specialize in government mortgages is hardly surprising if you assess the cost to originate and service these loans.

For the private-label mortgage-backed securities market to grow, regulators need to focus on collateral management in addition to changes to data disclosure rules.

As tenant advocates press for even more restrictive rules for rents and capital improvements to support asset values, look for the flow of investment into multifamily real estate to dwindle.

For the mortgage industry, the question of whether the Fed can control its target range for interest rates is crucial for managing volatility.

The Trump administration's thinking on housing is filled with conflicts and contradictions, a quilt work of at times irrational proposals that seem to be at odds with the real world of mortgage finance.

Whether Congress and/or the mortgage industry is able to untangle two opposing threads in the Trump administration's plans is anyone's guess.

Wide short-term swings in interest rates — and loan prepayments — that we've all witnessed have serious secondary effects on consumers, lenders, investors and also policymakers.

An important traditional tool of monetary policy has been diminished and may even become counterproductive in the future.

Will the runoff of MSRs leave a hole in the capital of the mortgage finance industry?

The assumption that conservatorship can end without significant changes in how the GSEs operate may be the most dangerous one of all.

The shift to nonbank lenders will put the breaks on non-qualified mortgage and home equity line of credit origination growth.

Recapitalizing the GSEs by cutting off returns to the government would essentially be buying the GSEs from the taxpayers with money that belongs to the taxpayers.

Historically, rising interest rates have enabled banks to earn more, but this time around in the banking industry, like much else, things are a little different.

Some hopeful souls in Washington believe the commercial banking industry will return to originating and servicing higher-risk mortgages, but most banks are more likely to continue withdrawing from the sector.

Weak profits and the threat of false claims charges are keeping banks out of the market for loans guaranteed by the Federal Housing Administration and the Department of Veterans Affairs.

Policymakers should differentiate between housing finance-related issues of real importance to the greater public interest, and those that concern only special interests.

The expansion of the Federal Reserve’s portfolio of Treasury debt and mortgage-backed securities has a bigger impact on the credit markets than paying banks interest on excess reserves.

Contrary to expectations about growing mortgage lending volumes, current industry trends suggest a gradual reduction in capacity for both lending and servicing that should alarm policymakers.

Over the next 40 years, the rate of homeownership is likely to continue to decline further as changes in demographic trends, increased regulation and stagnant incomes make that dream harder to achieve.