Finance

Fewer large banks are willing to purchase their loans, so the mortgage banks are throwing themselves into the arms of Ginnie Mae.

Cole Taylor Mortgage executed on its diversification strategy in the second quarter by adding seven branches from another lender, plus by buying mortgage servicing rights.

Fitch has updated its RMBS loan loss model criteria in a move it expects to affect a relatively small percentage of its ratings overall.

Pacific Mercantile Bancorp, Costa Mesa, Calif., will exit the wholesale mortgage business.

The Federal Deposit Insurance Corp. sued banks including JPMorgan Chase & Co. and Citigroup Inc. over $388 million in securities sold to Colonial Bank.

It’s (almost) late summer and what better time to throw out a ‘loose ends’ blog on several story leads, ideas, and thoughts that have been knocking around my head (and inbox) of late.

Lewis Ranieri¹s Selene Partners made offers on portfolios of nonperforming mortgages being shopped by Citi, Wells, Asset-Backed Alert reports.

Roughly $2 trillion in residential servicing rights might be sold or transferred to subservicers between now and the implementation of the Basel III accords in 2015, according to a new report from Stern Agee.

Fannie Mae on Thursday priced a $1.4 billion multifamily DUS REMIC with a large five-year tranche that drew several new investors, a capital markets executive at the agency told this publication.

Standard & Poor’s Thursday said it has released revised criteria for monitoring the performance of existing U.S. RMBS and will be using it to rate deals with collateral originated before 2009.

How long will Fannie Mae and Freddie Mac stay this profitable? Answer: as long as their cost of funds (courtesy of Uncle Sam) stays at next to nothing, and the yield on their interest earning assets remains healthy.

Redwood Trust, the most active player in the jumbo securitization market, wants to buy already funded Fannie Mae/Freddie Mac loans from mortgage bankers and service the product through a subservicing firm called Cenlar.

Silvergate Bank said it has gotten the approval necessary to become a Home Equity Conversion Mortgage issuer from Ginnie Mae.

Will other correspondent buyers of residential loans follow in the wake of PHH Mortgage and exit the third-party channel?

Fannie reported comprehensive net income of $5.4 billion in the second quarter, a stunning 74% improvement from 1Q and will require no financial assistance from the U.S. Treasury Department.

PHH Corp., the parent company of the nation’s largest nonbank mortgage lender, lost $57 million in the second quarter and signaled its intention to reduce its presence in the correspondent lending channel where it ranks seventh nationwide.

The latest monthly prepayment numbers bear out expectations that refinancing sparked by recent record-low rates has some legs, but they also show that the HARP response is leveling off and the reaction to FHA MIP reductions has been muted, according to Credit Suisse.

These hirings are a precursor to a move into third party origination channels, company executives said.

Tree.com Inc. had net income of over $27 million in the second quarter, driven largely by the $26 million gain recorded on the sale of Home Loan Center Inc. to Discover.

GoldenTree Asset Management LP, the $15.7 billion hedge fund specializing in corporate credit, has hired former Goldman Sachs trader Deeb Salem as the firm expands its mortgage-bond team.