Secondary

Freddie Mac will pay the Treasury Department $1.9 billion after the second-largest financier of mortgages posted its 11th consecutive quarterly profit.

As warehouse providers try to build market share with new types of credit lines, allowing mortgage bankers to fund non-QM loans is the logical next step to staying competitive.

The mortgage-bond industry is taking steps toward creating standards meant to help kick-start sales as the government seeks to wean the housing market from its support.

Citigroup Inc.'s $285 million mortgage-securities pact with the Securities and Exchange Commission was approved by a judge whose earlier rejection of the accord was assailed by a federal appeals court.

The proposed merger of the Home Loan banks in Seattle and Des Moines could spur massive consolidation among their sister banks, but only if the two show it's possible to overcome governance and other logistical challenges that have deterred similar deals.

Bond investors are demanding to be paid more to potentially bear losses on mortgages guaranteed by Freddie Mac as risk-sharing notes that were sold earlier by the firm and competitor Fannie Mae slump.

Unlike other regulatory agencies that in many cases looked at form over substance, the Consumer Financial Protection Bureau will ignore structures altogether when it perceives them to be "sham" transactions.

Mortgage-bond trustees rejected a part of JPMorgan Chase & Co.'s $4.5 billion settlement offer over investor claims of faulty mortgages while accepting the deal for most of the transactions.

Freddie Mac sold $659 million of "deeply" delinquent home loans in its first offering of such debt.

Investors have spent years seeking compensation for losses sustained during the housing bust from the firms that made mortgage loans and repackaged them into securities.