HMBS issuers posted another strong month in July with just over $1.1 billion in new issuance, as refinancing activity continued to be strong.\u00a0 106 pools were issued in July, including 43 first-participation CMT pools.\u00a0 Before January 2021 no new first-participation CMT pools had been issued for many years.<\/p>\n
The all-time HMBS annual volume year is 2010, with $10.8 billion issued.\u00a0 That was when Principal Limits were high and no borrower financial assessment safeguards had been established.\u00a0 That record may fall this year, as over $7 billion was issued in the first seven months, but it remains to be seen how long the refinancing boom can continue.<\/p>\n
July\u2019s production of original new loan pools was a record $937 million, compared to June\u2019s $823 million, May\u2019s $862 million, April\u2019s previous record $900 million, March\u2019s $671 million, February\u2019s $693 million, January\u2019s $552 million, December\u2019s $878 million, and November\u2019s $765 million. \u00a0Approximately $691 million in original new loan pools were issued in July 2020.<\/p>\n
July issuance divided into 53 first-participation or original pools, and 53 tail pools.\u00a0 Original pools are those HMBS pools backed by first participations in previously uncertificated HECM loans.\u00a0 Tail HMBS issuances are HMBS pools consisting of subsequent participations.\u00a0 Tails are not from new loans, but they do represent new amounts lent.\u00a0 Tail HMBS issuance is essential for HMBS issuers to finance their monthly advances, such as borrower draws and FHA mortgage insurance premiums.\u00a0 Last month\u2019s tail pool issuances totaled $203 million, within the typical range.<\/p>\n
New View Advisors compiled this data from publicly available Ginnie Mae data as well as private sources.<\/p>\n","protected":false},"excerpt":{"rendered":"
HMBS issuers posted another strong month in July with just over $1.1 billion in new issuance, as refinancing activity continued to be strong.\u00a0 106 pools were issued in July, including 43 first-participation CMT pools.\u00a0 Before January 2021 no new first-participation CMT pools had been issued for many years. The all-time HMBS annual volume year is […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-1832","post","type-post","status-publish","format-standard","hentry","category-hmbs"],"_links":{"self":[{"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/posts\/1832","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/comments?post=1832"}],"version-history":[{"count":1,"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/posts\/1832\/revisions"}],"predecessor-version":[{"id":1833,"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/posts\/1832\/revisions\/1833"}],"wp:attachment":[{"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/media?parent=1832"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/categories?post=1832"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newviewadvisors.com\/commentaries\/wp-json\/wp\/v2\/tags?post=1832"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}