Reshuffling Of Fed Members Is the economy really in good enough shape for the Fed to start selling their $1.25 trillion of mortgage-backed securities? I don’t think so, but maybe the press doesn’t have enough else to talk about, so the Fed possibly lightning up on their balance sheet has been receiving some publicity. Federal [...]

Fed Bought 73% of All Agency MBS In 2009 Here’s something to ponder: Given the production statistics, in the past year the Fed has purchased 73% of the mortgages that government-backed Fannie Mae, Freddie Mac and Ginnie Mae have turned into securities. Nervous about the end of March, when the Fed plans/expects to end its [...]

Although this has nothing to do with mortgage banking, in mid-April I noted a website to track the money in their wallet. (The government also tracks cell phones, by the way.) It would appear that health officials are using the site to estimate the spread of Swine Flu. Computers are amazing things. Can Loan Agents [...]

FNMA/FHLMC vs. FHA GUARANTEES Fannie and Freddie don’t guarantee payments on home loans, but the FHA does. Does the FHA guarantee the servicer payments and also the payments on underlying collateral? FHA guarantees for a fee (known as MIP) to the GNMA MBS security issuer that the borrower will make their payments, but if the [...]