HECM Mortgage-Backed Securities (“HMBS”) issuance in September totaled $446 million, $91 million less than August’s $537 million and $45 million less than September 2025’s $491 million. 70 pools were issued in September, five more than August.
For all HMBS, FAR was the top issuer in September with $175 million – a decrease of $82 million from August’s $257 million. Issuance from Longbridge was $134 million, a decrease of $1 million from August. Mutual of Omaha issuance decreased by $2 million to $92 million. The next highest HMBS Issuer in September was TMAC with $19 million. Ginnie Mae/RMF (aka “Issuer 42”) again issued no HMBS pools.
Original (“First Participation”) production in September was $266 million, a decrease of $43 million from August, a decrease of $39 million from July, and $47 million less than September 2025’s $313 million. Issuers will struggle to maintain this rate of production with the 10-year Treasury yield at its highest level since 2002.
For the first nine months of 2026, FAR was the top issuer of First Participation HMBS with $917 million issued, followed by Longbridge with $790 million, Mutual of Omaha with $546 million, and Onity with $151 million. Onity did not issue any First Participation pools in September.
The 70 pools issued in September consisted of 17 First Participation pools, 50 tail pools, and three pools which included both First Participations and tails. Original pools are those HMBS pools backed by First Participations in previously uncertificated HECM loans. Tail HMBS issuances are HMBS pools consisting of subsequent participations. Tails are not from new loans, but they do represent new amounts lent. Last month’s tail pool issuance totaled $179 million compared to August’s $227 million.
There were 23 pools in September with an aggregate pool size less than $1 million. Issuers are taking advantage of Ginnie Mae’s provision to issue pools as small as $250,000. This represents $12.7 million of UPB that may not otherwise have been issued in September. Ginnie Mae published APM 23-11 in 2023 which allows participations from the same loan to be pooled more than once in the same month. The aggregate of participations pooled in September for which more than one participation from the same loan was pooled is $69.5 million, of which $5.7 million were First Participations.
New View Advisors compiled this data from publicly available Ginnie Mae data as well as private sources.