Issuance of residential mortgage-backed securities filled with jumbo mortgages, nonprime loans and reverse mortgages is forecasted to rise next year, while credit standards are likely to ease.
The RMBS market is expected to continue to expand during 2018. Issuance will be robust across deal types as performance remains steady thanks to a strong housing market and macroeconomic fundamentals.
As was the case this year, next year’s issuance is expected to include deals securitized by new issuers that are backed by a wider array of assets — possible with diverse structural elements.
Source: Mortgage Daily