Secondary

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?