
Non-QM And RMBS Projected To Return To 2019 Levels
In March 2020, a number of companies were forced to put a halt on their non-qualified mortgage business. However, as the year continued on, companies began to relaunch their non-QM pipelines and according to a recent report by S&P Global, the non-QM business could be returning to 2019 levels in 2021. That’s not all. The report is also predicting an increase in residential mortgage-backed securities that would bring issuance volume back up to pre-COVID-19 levels.
According to the report, S&P Global believes that the Consumer Financial Protection Bureau’s issuance of the final QM rule, which amends the general qualified mortgage definition, could lead to an expansion of private mortgage credit.