Two issuers have hit the non-agency market with new mortgage-backed securities backed by investment-property loans eligible for sale to Fannie Mae and Freddie Mac.
Bayview Asset Management has issued a $401.2 million deal, and Flagstar’s MBS was sized at $740 million. Both topped the firms’ previous MBS transactions that included GSE-eligible investment property mortgages.
All of the loans in Flagstar’s deal were originated by the bank, which will also handle the servicing. Meanwhile, Bayview aggregated loans from several lenders, including CrossCountry Mortgage, with an 8.8% share.