MSRs keep coming as broker brings USD 1.8bn in Ginnie servicing to market

23 October 2017

Incenter Mortgage Advisors is marketing USD 1.82bn in Ginnie Mae MSRs on behalf of an independent mortgage bank, according to two sources familiar with the transaction.


The servicing is tied to 9,669 loans with an average balance of USD 188,284, weighted average rate of 3.831%, weighted average servicing fee of 30.79bps and weighted average age of 24.8 months. Delinquencies total 8.19%, including 1.68% over 90 days and 2.09% in bankruptcy or foreclosure.


The loans are predominantly 30-year fixed, with a handful each of 15-, 20-, 25- and 40-year fixed mortgages. Product is concentrated in FHA loans (7,392), though there are 1,015 USDA mortgages and 1,262 VA credits. Weighted average Fico score is 688, and weighted average LTV is 90.6%.


The loans are located nationwide, with larger concentrations in California (20.9% by balance), Pennsylvania (18.4%) and New Jersey (16.9%). The seller is described by the first source as “an independent mortgage banker with strong net worth and experienced senior management team.”


Bids are due to Incenter on 1 November.


As reported, rising interest rates are drawing MSR sellers to market (see story, 3 October). Ginnie Mae servicing prices have risen to a 3x-3.5x multiple of the loans’ monthly servicing fee from under a 3x multiple six months ago.