With more young adults making large student loan payments instead of saving up for a down payment, combined with car payments and possibly credit card debt, the 43% DTI becomes a very difficult barrier for lenders working within the QM standards.
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JPMorgan Chase and Wells Fargo are retaining more high-quality, conforming mortgages that they would normally sell to Fannie Mae or Freddie Mac, raising concerns that the banks are adversely selecting the weakest loans for the government-sponsored enterprises.
May 22 -
Invitation Homes' second securitization of single-family rentals is backed by properties with riskier tenancy, and it had to compensate investors accordingly.
May 22 -
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Deutsche and UBS priced the $905.4 million COMM 2014-UBS3 at wider spreads than most recently pricing conduit, sponsored by Citigroup.
May 22 -
Deutsche Bank priced $734.6 million in securities backed by a first mortgage loan that is secured by the Grace Building, a midtown Manhattan high-rise office building, according to a pricing term sheet.
May 22
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U.K. bank Tesco Personal Finance Group plans to issue securities backed by U.K. Visa and MasterCard credit card receivables, according to Standard & Poors
May 22 -
Fannie Mae priced its third offering of Connecticut Avenue risk-sharing notes at significantly tighter spreads than its previous offering in February.
May 21 -
Vermont Student Assistance Corp. plans to issue $29 million in bonds backed by fixed-rate private student loans.
May 21 -
Insurers will soon have better analytical tools for predicting the damages caused by widespread inland floods in the U.S., allowing them to price this risk more accurately and, eventually, transfer more of this risk to private investors through insurance-linked securities.
May 21 -
Navient, the student loan servicer spun off from Sallie Mae in April, priced its first post-split student loan securitization on top of, or inside the corresponding class from the previous SLM FFELP transaction, SLMA 2014-2.
May 21 -
Novation Settlement Solutions plans to issue $40 million in securities backed by a portfolio of receivables related to settlements of legal claims, according to DBRS.
May 21 -
Barclays Bank upsized and priced a $625 million credit card securitization, according to a person familiar with the deal.
May 21
