An Insider’s Look Into How Secondary Marketing Evaluates LOs

In this webinar we’ll explore the long-term financial impacts of renegotiations, extensions and fallouts, plus basic guidelines to be viewed as a professional by your secondary marketing department

HousingWire Annual Virtual Summit

Sessions from HousingWire Annual 2021 are going to be virtually streamed on October 25. Register now for FREE to tune into what housing industry leaders had to say this year!

How servicers can access timely, accurate data insights

Learn how to navigate the challenges in today’s market – for example, the need for ongoing, on-demand access to near-real-time data and the ability to access those data insights in a timely and accurate manner.

Steve Murray on new brokerage models, CFPB crackdowns

Today’s HousingWire Daily features a discussion on the emergence of a new brokerage model and the validity behind the concerns against institutional investors.

Mortgage

Market for MSRs revs up as year-end approaches

Ginnie Mae’s proposed risk-based capital rules for nonbank lenders, however, threaten to put sand in the gears

HW+ computer house tech

The secondary market for mortgage servicing rights, or MSRs, has been heating up recently as interest rates tick up, increasing the value of MSR assets, and as other revenue streams for lenders begin to slow — such as loan refinancing.

It’s also the time of year that many nondepository lenders, also called nonbanks, typically will look to sell off some of the MSR assets on their books to bolster liquidity for future endeavors. Those are normal market dynamics, according to Azad Rafat, MSR senior director at Mortgage Capital Trading Inc.  

MSR assets aren’t complicated in conception. They are simply the loan-servicing component that goes along with any mortgage — collecting taxes, interest and principal payments, and forwarding that revenue stream to the appropriate parties, in exchange for a small cut of the interest on the mortgage. And those servicing rights, with a revenue stream backed by the underlying mortgage, can be packaged, bought and sold like any other asset or security.

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