Secondary

File this under rumor: residential mortgages that are not eligible for sale to Fannie Mae/Freddie Mac/FHA (insurance) are being quietly originated and kept on the balance sheet of community lenders.

As other types of risk mitigation multiply, rewarding borrowers for continuing to pay on underwater assets continues to quietly gain traction.

Fannie Mae’s first multifamily delegated underwriting and servicing real estate mortgage investment conduit deal backed by floating rate collateral attracted banks as well as other buyers.

Some mortgage bankers that have perfected HARP refinancings are starting to hunt for servicing portfolios that are rich with program eligible loans.

Correspondent banking remains a tricky and risky business, but a growing number of bankers believe it can be lucrative.

Fannie Mae and Freddie Mac Tuesday morning unveiled new representation and warranty policies that relieve seller/servicers of any repurchase risk if the borrowers make 36 months of consecutive on-time payments.

Fannie Mae and Freddie Mac—under the auspices of FHFA—are issuing to their seller/servicers relief from onerous representation and warranty clauses on loans they purchase with particular emphasis on mortgages that are current for at least 36 months.

After hitting rock bottom in the real estate bust, commercial mortgage-backed securities financing is making a comeback.

Fitch, Kroll and Moody’s Investors Service have issued presale reports on the latest transaction from the only consistent issuer of private-label mortgage-backed securities deals since the downturn.

Land Home Financial Services entered into a $20,000 settlement with the HUD over alleged violations of the Fair Housing Act involving an application where the wife was on maternity leave.