MSR

Some large Fannie Mae and Freddie Mac portfolios have gone to market recently and an unusual Ginnie Mae multifamily and healthcare package is up for sale too.

News of President Chris Marshall's planned departure at year-end 2024 came amid reports of net servicing gains and the start of a capital raise for an MSR fund.

The threat of instability from that group is immaterial in comparison to the existential risk created by the U.S. Treasury, argues the chairman of Whalen Global Advisors.

The real estate investment trust arm of two affiliate mortgage-related companies could reduce other debt and finance purchases of loans, servicing or securities.

The company plans for the exchange to soon have its first loans committed for co-issue transactions, increasing options in an evolving segment of the market.

MSRs already get very punitive treatment relative to other assets and regulatory reform following the banking crisis could increase it, according to some analysts.

Some in the space say they've seen new players coming in but others disagreed during a panel at the Mortgage Bankers Association's Secondary and Capital Markets conference.

The Dallas-based lender will assume close to $1.1 billion of conventional mortgage servicing rights, roughly $600 million in tangible equity and $500 million in outstanding Home Point 5% senior notes.

The offering comes amid an ongoing wave of private and public MSR sales.

A couple small deals with some unusual regional concentration also are in the market and one broker says many billions of dollars more are in the pipeline.

Rate volatility stemming from the banking crisis temporarily disrupted trading, but a broad range of deals large and small have gone up for bid since then.

Non-depositories now dominate home lending, but many of these firms were untested until they had to grapple with the current rising rate environment. How they fare could significantly impact the rest of the mortgage market and, more specifically, the Government National Mortgage Association.

The company's recently purchased subsidiary, Blue Water Financial, will provide tools for asset pricing, transfer, due diligence and other tasks to ease secondary market trading functions.

"To talk about 95% of issuers by count being compliant without recognizing that a very large number of issuers hold few MSRs is disingenuous," one industry executive told the chairman of Whalen Global Advisors.

Such exchanges are neither easy nor cheap and the key to any effective transfer process is accurate loan file information, writes Paradatec's director of professional services.

At the Mortgage Bankers Association Secondary Conference this week, issuers noted their concern about rising delinquency levels, accusations of racial bias in lending, and whether regulators in Albany and Washington are preparing a new campaign against “abuses” in mortgage servicing, the chairman of Whalen Global Advisors writes.

The gain on sale in the retail channel dropped by more than half annually, as the wholesale and joint venture channel endured an even tighter squeeze due to competitive pressures

The bank saw a modest increase in net income from the first quarter, as lawsuit settlements tied to the company’s discontinued home lending business and fees regarding an anti-money laundering and securities class action suit continue to limit growth.

The bank produced $1 billion less in originations while its gain on sale fell 49 basis points from the first quarter.

The bank's second quarter production revenue was down 32% from the first quarter, even as volume increased 4%.