Secondary markets

The nationwide gain in income has fed Americans' optimism about housing, which could lead to a more active housing market this year, Fannie Mae said in a new report.

How interested banks, REITs and other investors will be in replacing the Federal Reserve as buyers of mortgage-backed securities insured by government-related entities depends on a wide range of regulatory and economic factors.

Securities issuers are increasingly worried that risk-retention requirements could hinder efforts to broaden the types of loans securitized through the private-label market as implementation for the new regulation nears.

Goldman Sachs Group Inc. is in talks to pay $2 billion to $3 billion to settle a probe into its sales of mortgage bonds leading up to the financial crisis, according to a person with direct knowledge of the situation.

Freddie Mac's weekly survey of the primary mortgage market found average interest rates for conforming loan products to be fairly stable.

Ratings agency Fitch took a cautious approach to the residential mortgage-backed securities market in its latest report on the sector.

Rep. Edward Royce, R-Calif., urged fellow House members Wednesday to support a Senate proposal that would make significant reforms to Fannie Mae and Freddie Mac.

Signs of increased underwriting discipline dissolved in the first quarter, creating a challenge for U.S. CMBS investors, according to Fitch Ratings.

While demand for mortgages continues to slide up and down, profits for independent mortgage bankers are up.

A global bond-market slump pushed yields on benchmark U.S. mortgage securities to the highest level in more than seven months, signaling potential pressure on the American housing market amid its peak selling season.

Buyers of the unrated B tranche, which transfers the first 100 basis points of losses when homeowners default, will be paid a spread of 795 basis points over one-month Libor.

Farmer Mac officials are confident about the stability and continued performance of the loans on their books, even as the agricultural industry faces headwinds like the California drought and recent decline in corn prices.

The type of reinsurance product that private mortgage insurers hold likely won't matter for meeting the GSEs' new capital requirements, said the CEO of Genworth Mortgage Insurance.

Private mortgage insurers are willing to offer "deep coverage" of Fannie Mae and Freddie Mac's risk-sharing deals, but only after a premium structure is negotiated with lenders and the GSEs.

Citigroup is marketing $216 million of reperforming residential mortgage-backed securities and Two Harbors returns to market with its fourth prime RMBS of the year.

The Mortgage Partnership Finance Program, a part of the Federal Home Loan Bank of Chicago, will now offer a higher maximum loan on its MPF Direct product.

The price of loans that underlie commercial mortgage-backed securities fell slightly from March to April, according to a market research firm.

The merger of the Federal Home Loan Banks in Des Moines and Seattle became official on Monday, shrinking the overall number of banks in the system to 11.

The New York City Housing Development Corp. expects in June to price its inaugural sustainable neighborhood bonds transaction — a first nationally, say officials.

Constraints on GSE loan volume and an overall dearth of liquidity were among the biggest issues at hand during the Mortgage Bankers Association's Secondary Market Conference in New York. Here's a recap of the event.