Wells Fargo plays it safe with 1st post-crisis RMBS
Wells Fargo’s first private-label mortgage securitization since the financial crisis doesn’t break any new ground — and that’s probably the point.
Private-label
Race to the bottom? Nonbanks ease standards to compete for ‘super’ jumbos
New investor appetite for mortgages over $1 million is motivating more nonbank lenders to offer super jumbo loans, often with weaker credit terms than traditional banks.
How private-label investors are beating the GSEs at their own game
Fannie Mae and Freddie Mac enjoy considerable advantages because of their lower cost of capital and significant government subsidies. But with some conforming loans, the private market is finding a way to compete.
Angel Oak closes on 1st RMBS with third-party originations
Lauren Hedvat, Angel Oak's managing director of capital markets, said that the rising non-qualified mortgage volume in the market has expanded the number of third-party origination loan packages for purchase.
Impac selling $600M of non-QM loans to Starwood to securitize
Impac Mortgage Holdings will sell up to $600 million of non-qualified mortgage loans to Starwood Property Trust over the next 12 months that will be securitized.
Why loosening the reins on QM may put a dent in GSE market share
Since its inception, the qualified mortgage rule has been synonymous with loans purchased by Fannie Mae and Freddie Mac or guaranteed by government agencies. But a broader QM definition could change that by creating more competitive private-label options.
How a CFPB overhaul of the QM rule will remake mortgages
Anticipated changes to the qualified mortgage rule will give lenders more options and force them to rethink their views on risk.
AIG preps 1st RMBS under its own issuance shelf
The $446 million Pearl Street Mortgage Company 2018-1 Trust is backed by 30-year, fixed-rate loans with credit characteristics in line with recent private-label prime jumbo transactions rated by Fitch Ratings.
New due diligence firm looks to change a static industry
A new due diligence firm created by a trio of former Clayton Holdings executives wants to shake up a static business model.
CMBS may be underinsured for California earthquakes
Some commercial buildings that are not required to obtain earthquake insurance may still be susceptible to significant structural damage that could put the borrowers at risk of default, according to Kroll Bond Rating Agency.
JPMorgan’s next RMBS backed by prime jumbo ARMs
That’s an about-face from the bank’s previous transaction, completed in October, which was backed by fixed-rate mortgages, nearly half of which were underwritten to standards for purchase by Fannie Mae or Freddie Mac.
JPMorgan Chase ups conforming loans in next RMBS
Many of the prime jumbo loans backing the transaction, JP Morgan 2017-4, were contributed by originators with limited history in that product, according to DBRS.
RMBS exposure to Irma could be high for a single storm
Hurricane Irma could potentially affect more private-label mortgage securities collateral than any other recent storm.
AIG enters securitized market with TRID-era Credit Suisse deal
American International Group is accessing the securitized market through a Credit Suisse deal backed by loans that were generally originated less than a year after TRID.
AIG lays the groundwork for jumbo securitization
American International Group Inc. could securitize through a unit it has previously used to buy jumbo loans.
