Global Markets 

Analysis Report

A MONTHLY PUBLICATION OF GINNIE MAE’S 

OFFICE OF CAPITAL MARKETS

PREPARED FOR GINNIE MAE 

BY STATE STREET GLOBAL ADVISORS 

URBAN INSTITUTE, HOUSING FINANCE POLICY CENTER
CONTENTS

Relative Attractiveness of US Fixed Income and Ginnie Mae MBS

Barclays US Aggregate and Global Indices 4

Global 10-year treasury yields 5

Ginnie Mae yields and yield spreads—USD, JPY, Euro 6-8

MBS yield per duration 9

Total return and Sharpe Ratios 10 

State of the US housing Market 

Serious delinquency rates 11

National HPI, HPI by state 11-12

Ginnie Mae Agency issuance and Agency outstanding by state 13

Size and value of the US Residential housing and mortgage markets 14

Outstanding Agency MBS 15

Origination volume over time 16

US Agency Market, Originations

Agency Gross and Net Issuance 17-19

Purchase versus refi: Percent Refi at Issuance 20

Credit Box 

First time home buyer share—purchase only loans 21-22

FICO score distribution 23

Credit box at a glance (FICO, LTV, DTI) 24-26

Historical credit box (FICO, LTV,DTI) 27-29

Ginnie Mae Nonbank Originators

Nonbank originator share (All, Purchase, Refi) 30

Ginnie Mae nonbank originator share (All, Purchase, Refi) 31

Bank vs. nonbank originators historical credit box, Ginnie Mae vs. GSE (FICO, LTV, DTI) 32-33

Bank vs. nonbank originators historical credit box, Ginnie Mae breakdown (FICO, LTV, DTI) 34-36

Holders of Ginnie Mae Mortgage Servicing Rights 

Top Holders of Ginnie Mae MSR 37-38

Non-bank Holders of Ginnie Mae MSR 38

Prepayments 

Aggregate 39

Select coupon/origination year cohorts 39-42

Other Ginnie Mae Programs

HMBS 43

Multifamily 44

Market Conditions-Agency MBS

Average daily trading volume and turnover by sector 45

Dealer net positions, repo volume 46

MBS Ownership

Ownership breakdown of total agency debt 47

MBS share of total agency debt and commercial bank ownership of MBS 48

Bank and Thrift Residential MBS Holdings 49

Foreign ownership of MBS 50-51

Fed Ownership of MBS 52
New insight on holders of Ginnie Mae mortgage servicing rights

This month we are adding a new section to this report showing the largest owners of mortgage servicing rights 

(MSRs) within the Ginnie Mae market. The table on page 37 shows top 30 Ginnie Mae MSR owners as of 

October 2018. The top 6 firms collectively owned about half (50.5 percent) of all outstanding Ginnie Mae 

servicing rights by UPB. The top 30 collectively owned over 80 percent. Twenty-two out of these 30 are nondepositories, while the remaining 8 are depositories. Wells Fargo was the largest MSR holder with nearly 17 

percent share of outstanding Ginnie Mae servicing UPB.

We added another chart on page 38 that shows the largest five Ginnie Mae MSR owners over time. The 

composition of the largest owners of Ginnie MSRs has evolved quite a bit. In December 2013, Wells Fargo and 

JPMorgan Chase were the two largest owners of Ginnie Mae MSRs, holding $375B and $139B in servicing UPB 

respectively. Although Wells Fargo is still the largest player, its servicing portfolio has shrunk to $280 billion 

today. Lakeview, PennyMac and Freedom Home Mortgage (all nonbanks) are the second, third and fourth 

largest owners of MSRs, owning $158B, $155B, and $112B respectively as of October 2018. JPMorgan Chase 

owns servicing rights for $68.5 billion in UPB, half of what it owned in December 2013. 

Top 5 MSR Holders: Outstanding Ginnie Mae Loans by UPB

Source: eMBS and Urban Institute.

This changing composition within the top 5 underscores a broader shift in mortgage originations and servicing 

from depositories to non-depositories. In December 2013, non-banks owned a much smaller 27.7 percent of 

outstanding Ginnie Mae MSRs. In October 2018, they collectively owned servicing rights for 61.3 percent 

(bottom chart on page 38). We will update these charts on a monthly basis.

Highlights this month:

• With the Federal Reserve increasing the amount of MBS it is running off each month, and considerable 

market volatility in October, Ginnie Mae MBS spreads relative to Treasuries widened by 17-18 bps (pages 5-

6).

• US MBS looks more attractive versus JGB and Bund in October 2018 (pages 7-8).

• Newly added charts show the top Ginnie Mae MSR holders and the share of Ginnie Mae MSRs held by 

nonbanks (pages 37-38).

• Updated prepayment section adds prepayment speed charts for more recent origination cohorts (pages 39-

42).

• China has steadily increased their Agency MBS holdings in recent months (page 51).

HIGHLIGHTS

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

Dec-13

Feb-14

Apr-14

Jun-14

Aug-14

Oct-14

Dec-14

Feb-15

Apr-15

Jun-15

Aug-15

Oct-15

Dec-15

Feb-16

Apr-16

Jun-16

Aug-16

Oct-16

Dec-16

Feb-17

Apr-17

Jun-17

Aug-17

Oct-17

Dec-17

Feb-18

Apr-18

Jun-18

Aug-18

Oct-18

1. Wells Fargo 2. Lakeview 3. PennyMac

UPB ($ millions) 4. Freedom Home Mortgage 5. JPMorgan Chase
Relative Attractiveness of US Fixed 

Income and Ginnie Mae MBS

Sources: Bloomberg and State Street Global Advisors. 

Note: Data as of September 2018.

Sources: Bloomberg and State Street Global Advisors

Note: Data as of September 2018.

US MBS comprise 28 percent of the Barclays US Aggregate Index- less than either the US Treasury share (38%) or the 

US Credit share (30%). Fannie Mae 30-year MBS comprises the largest percent of US MBS (10%), while Ginnie Mae 

30-year MBS and Freddie Mac 30-year MBS comprise 8 percent and 6 percent of the market, respectively. 

Mortgages with terms of 15 and 20 years comprise the remaining balance (4%) of the US MBS share. US securities are 

the largest single contributor to the Barclays Global Aggregate, accounting for 39 percent of the global total. US MBS 

comprises 11 percent of the global aggregate. 

38%

2%

30%

8%

10%

6%

4%

2%

Barclays US 

Aggregate Index

Treasury

Agency

Credit

GNMA MBS 30y

FNMA MBS 30y

FHLMC MBS 30y

15y and 20y MBS

ABS & CMBS

54%

6%

25%

11%

1%

3%

Global Treasury

Global Agency

Global Credit

US MBS

ABS & CMBS

Collateralised

(Pfandbrief)

2%

3% 1%

39%

31%

21%

1%

0.04% 2%

0%

Australia

Canada

Middle East

United States

Europe

Asia & Pacific Rim

Latin America

Africa

Supranational

Others

Sources: Bloomberg and State Street Global Advisors. Note: Data as of September 2018.

Barclays Global Aggregate Index by Country Barclays Global Aggregate Index by Sector

4
Relative Attractiveness of US Fixed 

Income and Ginnie Mae MBS

-1.0

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

Oct-12 Oct-13 Oct-14 Oct-15 Oct-16 Oct-17 Oct-18

Yield (%)

Global 10-year Treasury Yields

US 10y UK 10y GER 10y ITA 10y JPY 10y

-1.0

-0.5

0.0

0.5

1.0

1.5

2.0

2.5

3.0

-0.5

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

Oct-12 Oct-13 Oct-14 Oct-15 Oct-16 Oct-17 Oct-18

10yr US Treasury hedged yield, JPY

10y US hedged yield, JPY (left)

US 10y hedged yield advantage vs 10y JGB (right)

-1.5

-1.0

-0.5

0.0

0.5

1.0

1.5

2.0

-1.0

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

Oct-12 Oct-13 Oct-14 Oct-15 Oct-16 Oct-17 Oct-18

10yr US Treasury hedged yield, EUR

10y US hedged yield, EUR (left)

10y US hedge yield advantage vs 10y bund (right)

Sources: Bloomberg and State Street Global Advisors. 

Note: Data as of October 2018.

Sources: Bloomberg and State Street Global Advisors

Note: Data as of October 2018.

Sources: Bloomberg and State Street Global Advisors. Note: Data as of October 2018.

US Treasury interest rates, as measured by the 10-year note, have consistently been the highest in the developed 

world over the past few years, but was surpassed by Italy in August 2018. In October 2018, the US 10-year note 

increased to 3.14, but remained below the Italian 10-year note, which stood at 3.43. Interest rates in UK and 

Germany decreased to 1.44 and 0.39, while interest rates in Japan remained flat at 0.13 percent. In September, due 

to a large increase in the cost of currency hedging at the end of Q3, 10-year US Treasury yields hedged into foreign 

currency dropped sharply; the decline continued in October, dropping to -12 bps if hedged into JPY, -33 bps if 

hedged into EUR. Consequently, the hedged yield difference between the 10-year Treasuries and JGBs fell further to 

-25 bps, and the hedged yield difference between the 10-year Treasuries and Bunds fell to -72 bps.

Yield(%)Yield(%)

5
Relative Attractiveness of US Fixed 

Income and Ginnie Mae MBS

0.0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1.0

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

Oct-16 Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Apr-18 Jul-18 Oct-18

G2SF CC yield & nominal spread, USD

G2SF CC yield, USD (left) G2SF CC yield nominal spread vs UST 5/10 blend (50%/50%) (right)

0.0

0.5

1.0

1.5

2.0

2.5

3.0

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

Oct-07 Oct-08 Oct-09 Oct-10 Oct-11 Oct-12 Oct-13 Oct-14 Oct-15 Oct-16 Oct-17 Oct-18

GNSF CC yield & nominal spread, USD

GNSF CC yield, USD (left) GNSF CC yield nominal spread vs UST 5/10 blend (50%/50%) (right)

Sources: Bloomberg and State Street Global Advisors. Note: Data as of October 2018.

Sources: Bloomberg and State Street Global Advisors. Note: Data as of October 2018.

The nominal yield on both the current coupon GNMA II and GNMA I securities increased in October 2018. 

Current coupon Ginnie Mae securities outyield their Treasury counterparts (relative to the average of 5- and 

10-year Treasury yields) by 81 and 83 bps on G2SF and GNSF, respectively, a 17-18 point widening from 

September 2018. This is due to the considerable market volatility in October, coupled with the Federal 

Reserve increasing the amount of MBS it is running off each month. 

Yield(%) Yield(%)

Yield(%)

Yield(%)

6
Relative Attractiveness of US Fixed 

Income and Ginnie Mae MBS

0.0

0.5

1.0

1.5

2.0

2.5

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

1.6

1.8

Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18

G2SF CC yield & nominal spread, JPY

G2SF CC yield, JPY (left) G2SF CC yield nominal spread vs JGB 5/10 blend (50%/50%) (right)

Sources: Bloomberg and State Street Global Advisors. Note: Data as of October 2018.

Sources: Bloomberg and State Street Global Advisors. Note: Data as of October 2018.

If Ginnie Mae securities are hedged into foreign currencies, they look attractive on a yield basis versus many 

sovereign alternatives. The figures show that in September, current coupon G2SF and GNSF hedged into 

Japanese yen yield more than the JGB 5/10 blend by 58 and 60 bps, respectively. These latest spreads 

represent a widening from September levels; this reflects an increase in MBS spreads relative to Treasuries.

-2.0

-1.0

0.0

1.0

2.0

3.0

4.0

5.0

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

Sep-07 Sep-08 Sep-09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Sep-17 Sep-18

GNSF CC yield & nominal spread, JPY 

GNSF CC yield, JPY (left) GNSF CC yield nominal spread vs JGB 5/10 blend (50%/50%) (right)

Yield(%) Yield(%)

Yield(%) Yield(%)

7
Relative Attractiveness of US Fixed 

Income and Ginnie Mae MBS

-0.2

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

1.6

-0.2

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

1.6

Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18

G2SF CC yield & nominal spread, EUR

G2SF CC yield, EUR (left) G2SF CC yield nominal spread vs GER 5/10 blend (50%/50%) (right)

-0.5

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

-1.0

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

Sep-07 Sep-08 Sep-09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Sep-17 Sep-18

GNSF CC yield & nominal spread, EUR

GNSF CC yield, EUR (left) GNSF CC yield nominal spread vs GER 5/10 blend (50%/50%) (right)

Sources: Bloomberg and State Street Global Advisors. Note: Data as of October 2018.

Sources: Bloomberg and State Street Global Advisors. Note: Data as of October 2018.

If Ginnie Mae securities are hedged into foreign currencies, they look attractive on a yield basis versus sovereign 

alternatives. The figures show that in September, current coupon G2SF and GNSF hedged into euros yield more 

than the average of the German 5/10 blend by 30 and 31 bps, respectively. These latest spreads represent a 

widening from September levels; this reflects an increase in MBS spreads relative to Treasuries.

Yield(%) Yield(%)

Yield(%) Yield(%)

8
Relative Attractiveness of US Fixed 

Income and Ginnie Mae MBS

Sources: Bloomberg and State Street Global Advisors. Note: Yields are in base currency of security and unhedged. 

Data as of October 2018.

US MBS yields are about the same or higher than most securities with the same or longer durations. The only 

security class with significantly more yield is the US high yield index, where duration, a measure of sensitivity to 

interest rate changes, does not fully capture the volatility of the high yield asset class. Investors are unable to 

match the yield on Ginnie Mae securities, while preserving the full government guarantee, even if they extend 

their duration significantly.

Security Duration Yield

US 5y 4.6 2.97

US 10y 8.5 3.14

GNMA II 3% 5.7 3.89

GNMA II 3.5% 6.6 3.77

JPY 5y 4.9 -0.09

JPY 10y 9.7 0.05

GER 5y 4.9 -0.19

GER 10y 9.6 0.38

ITA 5y 4.1 2.47

ITA 10y 8.5 3.43

US credit 6.9 4.20

US credit >= A 7.1 4.05

US HY 3.9 6.86

Pan-Euro Corp 5.6 1.42

Pan-Euro HY 3.7 4.15

US 5y US 10y

G2 3.0%

G2 3.5%

JPY 5y

GER 10y

GER 5y

JPY 10y

ITA 5y

ITA 10y

US Credit

US Credit>=A

US HY

Pan-Euro 

Corp

Pan-Euro HY

-1.00

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

0.0 2.0 4.0 6.0 8.0 10.0 12.0

Yield

Duration

Yield versus duration

9
Relative Attractiveness of US Fixed 

Income and Ginnie Mae MBS

Average Return (Per Month)

Time Period US MBS 

Ginnie Mae US Treasury US Credit Corp Pan Euro Credit Corp US High Yield* Pan EuroHigh Yield*

1 year -0.13 -0.16 -0.25 -0.10 0.08 -0.12

3 year 0.05 0.02 0.21 0.09 0.54 0.28

5 year 0.13 0.10 0.25 0.26 0.39 0.39

10 year 0.28 0.22 0.57 0.46 0.92 1.04

Source: State Street

*Assumes 2% capitalization max per issuer

Average Excess Return (Per Month)

Time Period US MBS 

Ginnie Mae US Treasury US Credit Corp Pan Euro Credit Corp US High Yield* Pan EuroHigh Yield*

1 year -0.28 -0.31 -0.40 -0.04 -0.06 -0.06

3 year -0.03 -0.06 0.13 0.16 0.47 0.35

5 year 0.08 0.05 0.20 0.30 0.35 0.43

10 year 0.26 0.20 0.54 0.47 0.89 1.05

Source: State Street

*Assumes 2% capitalization max per issuer

Standard Deviation

Time Period US MBS 

Ginnie Mae US Treasury US Credit Corp Pan Euro Credit Corp US High Yield* Pan EuroHigh Yield*

1 year 0.61 0.76 0.88 0.18 0.78 0.75

3 year 0.56 0.92 1.08 0.84 1.44 1.25

5 year 0.60 0.91 1.08 0.96 1.43 1.21

10 year 0.75 1.18 1.45 1.27 2.43 2.93

Source: State Street

*Assumes 2% capitalization max per issuer

Sharpe Ratio

Time Period US MBS 

Ginnie Mae US Treasury US Credit Corp Pan Euro Credit Corp US High Yield Pan EuroHigh Yield*

1 year -0.46 -0.41 -0.46 -0.23 -0.08 -0.08

3 year -0.05 -0.06 0.12 0.18 0.32 0.28

5 year 0.14 0.06 0.18 0.31 0.24 0.35

10 year 0.34 0.17 0.37 0.37 0.37 0.36

*Assumes 2% capitalization max per issuer on high yield indices

Sources: Barclays Indices, Bloomberg and State Street Global Advisors Note: Data as of October 2018.

The average return on the Ginnie Mae index over the past decade has been slightly higher than the US Treasury 

index, but lower than many alternatives, including the US Investment-Grade Corporate and US and European 

High Yield indices. However, the standard deviation of the Ginnie Mae index is the lowest of any sector, as it has 

the least price volatility. The result: the excess return per unit of risk for the US mortgage market is comparable to 

US and European investment grade credit and High Yield indices; it is higher than US Treasuries.

10
State of the US Housing Market

7.8%

5.9%

-15.00%

-10.00%

-5.00%

0.00%

5.00%

10.00%

15.00%

Aug-01

Feb-02

Aug-02

Feb-03

Aug-03

Feb-04

Aug-04

Feb-05

Aug-05

Feb-06

Aug-06

Feb-07

Aug-07

Feb-08

Aug-08

Feb-09

Aug-09

Feb-10

Aug-10

Feb-11

Aug-11

Feb-12

Aug-12

Feb-13

Aug-13

Feb-14

Aug-14

Feb-15

Aug-15

Feb-16

Aug-16

Feb-17

Aug-17

Feb-18

Aug-18

Year-over-year growth rate

National Year-Over-Year HPI Growth

Black Knight HPI year-over-year Zillow HVI year-over-year

Sources: Black Knight, Zillow, and Urban Institute. Note: Data as of August 2018.

0.97%

0.82%

3.86%

2.03%

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

4Q052Q064Q062Q074Q072Q084Q082Q094Q092Q104Q102Q114Q112Q124Q122Q134Q132Q144Q142Q154Q152Q164Q162Q174Q172Q18

Serious delinquency rates

Fannie Mae Freddie Mac FHA VA

Sources: Fannie Mae, Freddie Mac, MBA Delinquency Survey and Urban Institute.

Note: Serious delinquency is defined as 90 days or more past due or in the foreclosure process. Data as of Q2 2018.

Serious Delinquency Rates: Single-Family Loans

Serious delinquencies for single-family GSE loans, FHA loans, and VA loans continued to decline in Q2 2018 to 

levels equal to or lower than before the hurricane related uptick in Q4 2017. The delinquency rates for FHA and VA 

went down to 3.86 percent and 2.03 percent, respectively, and delinquency rates for Fannie Mae and Freddie Mac 

went down to 0.97 and 0.82 percent, respectively. GSE delinquencies remain high relative to 2005-2007, while FHA 

and VA delinquencies (which are higher than their GSE counterparts) are at levels lower than 2005-2007. Home 

price changes turned positive in 2012. Year-over-year home price appreciation slowed slightly but remained robust 

in August 2018, dipping just below 6 percent, as measured by the Black Knight repeat sales index.

11
State of the US Housing Market

Debt,

household 

mortgages,

$9,833

Sources: Black Knight and Urban Institute. Note: HPI data as of August 2018. Negative sign indicates that state is above earlier peak. Peak refers to the month when 

HPI reached the highest level for each state/US during the housing boom period, ranging from 09/2005 to 09/2008. Trough represents the month when HPI fell to 

the lowest level for each state/US after the housing bust, ranging from 01/2009 to 03/2012. Current is 08/2018, the latest HPI data period.

Nationally, nominal home prices have improved by 49.4 percent since the trough, and have exceeded their pre-crisis 

peak valuation on a nominal basis by 11.3 percent. However, the picture is very different for different states, with 

many states well in excess of the prior peak, while a number of states remain more than 10% below peak levels: 

Arizona is 10.8% below, Nevada is 11.6% below, Florida is 11.9% below and Connecticut is 13.7% below.

HPI Changes

State 2000 to Peak Peak to Trough Trough to Current YOY Current HPI % Above Peak

National 75.9% -25.5% 49.4% 5.9% 11.3%

Alabama 44.0% -16.5% 26.4% 6.1% 5.6%

Alaska 69.6% -3.1% 20.9% 2.0% 17.2%

Arizona 110.4% -48.0% 71.7% 7.3% -10.8%

Arkansas 41.7% -10.2% 21.2% 3.6% 8.9%

California 155.8% -43.0% 86.3% 6.7% 6.2%

Colorado 40.2% -12.7% 73.3% 8.0% 51.3%

Connecticut 92.5% -24.6% 14.4% 2.8% -13.7%

Delaware 94.2% -24.1% 27.2% 6.9% -3.4%

District of Columbia 177.9% -13.4% 53.1% 4.5% 32.6%

Florida 129.7% -46.9% 65.9% 6.4% -11.9%

Georgia 38.4% -32.9% 61.4% 7.3% 8.4%

Hawaii 162.9% -21.9% 53.8% 7.9% 20.1%

Idaho 71.3% -28.5% 67.5% 12.6% 19.8%

Illinois 61.7% -34.5% 37.7% 2.9% -9.8%

Indiana 21.3% -7.4% 29.3% 5.5% 19.7%

Iowa 28.4% -5.1% 23.9% 3.8% 17.6%

Kansas 34.6% -9.3% 37.2% 6.7% 24.4%

Kentucky 29.7% -7.6% 30.8% 4.8% 20.9%

Louisiana 48.4% -5.4% 21.7% 1.3% 15.1%

Maine 82.6% -12.3% 31.0% 5.2% 14.9%

Maryland 129.3% -28.1% 25.4% 3.5% -9.9%

Massachusetts 92.9% -22.7% 51.1% 6.8% 16.8%

Michigan 24.4% -39.6% 72.1% 7.0% 4.0%

Minnesota 66.0% -27.4% 50.6% 6.5% 9.3%

Mississippi 41.2% -13.6% 22.1% 2.5% 5.4%

Missouri 42.7% -14.4% 27.7% 5.8% 9.2%

Montana 81.8% -10.2% 46.2% 6.3% 31.2%

Nebraska 26.5% -6.6% 37.6% 6.3% 28.5%

Nevada 127.2% -59.4% 117.8% 14.7% -11.6%

New Hampshire 91.0% -23.3% 35.9% 6.5% 4.3%

New Jersey 118.2% -27.7% 25.8% 4.3% -9.0%

New Mexico 66.8% -16.2% 18.1% 3.4% -1.0%

New York 99.0% -15.1% 37.4% 5.2% 16.6%

North Carolina 40.5% -15.4% 31.4% 6.2% 11.2%

North Dakota 53.6% -4.1% 54.6% 1.9% 48.3%

Ohio 21.1% -18.2% 31.2% 5.5% 7.3%

Oklahoma 37.5% -2.3% 18.1% 2.2% 15.4%

Oregon 82.4% -27.7% 73.1% 6.0% 25.1%

Pennsylvania 70.2% -11.5% 21.6% 4.3% 7.7%

Rhode Island 131.9% -34.3% 45.2% 6.8% -4.6%

South Carolina 45.1% -19.3% 30.7% 5.6% 5.5%

South Dakota 45.2% -4.3% 39.2% 4.8% 33.3%

Tennessee 35.2% -11.7% 38.3% 7.1% 22.1%

Texas 33.3% -5.8% 47.8% 4.8% 39.3%

Utah 55.1% -21.5% 64.7% 10.8% 29.3%

Vermont 82.8% -8.1% 26.4% 6.4% 16.2%

Virginia 99.7% -22.6% 23.6% 3.9% -4.3%

Washington 85.6% -28.6% 80.2% 9.3% 28.7%

West Virginia 43.1% -6.8% 20.4% 2.0% 12.2%

Wisconsin 45.0% -16.4% 32.5% 6.4% 10.7%

Wyoming 77.9% -7.1% 24.4% 2.9% 15.6%

12
State of the US Housing Market

Debt,

household 

mortgages,

$9,833

Agency Issuance (past 1 year) Agency Outstanding 

State Ginnie Mae Share Ginnie Mae Average

Loan Size (Thousands)

GSE Average Loan 

Size (Thousands)

Ginnie Mae 

Share

Ginnie Mae Average 

Loan Size (Thousands)

GSE Average Loan Size 

(Thousands)

National 33.1% 215.3 230.6 30.2% 162.6 187.5

Alabama 44.5% 162.6 183.9 44.6% 127.3 151.1

Alaska 51.7% 283.5 246.1 51.1% 232.4 199.1

Arizona 32.9% 212.3 216.0 31.6% 163.2 176.2

Arkansas 43.7% 143.6 167.8 44.2% 109.5 136.8

California 27.1% 348.4 331.4 20.8% 266.1 267.1

Colorado 31.8% 287.2 275.8 27.1% 213.2 221.7

Connecticut 32.3% 215.1 226.5 29.0% 183.4 190.2

Delaware 38.2% 214.9 224.5 36.0% 180.1 184.2

District of Columbia 17.4% 413.9 357.1 16.0% 296.8 303.1

Florida 40.0% 210.2 207.4 34.0% 160.0 168.4

Georgia 40.1% 186.3 208.6 38.2% 140.4 168.2

Hawaii 38.6% 497.8 390.6 30.2% 388.4 314.7

Idaho 32.8% 200.7 204.4 31.8% 150.3 162.9

Illinois 26.4% 178.0 198.5 24.1% 140.4 161.5

Indiana 38.5% 142.4 157.8 37.5% 109.9 125.2

Iowa 26.8% 146.3 162.8 25.4% 112.9 131.4

Kansas 36.5% 155.9 175.7 35.1% 119.2 138.8

Kentucky 39.2% 150.9 166.7 38.5% 120.7 132.1

Louisiana 42.0% 170.3 193.4 41.4% 136.0 158.8

Maine 35.3% 185.8 200.2 31.9% 152.2 159.7

Maryland 43.8% 285.1 264.4 38.7% 231.3 219.5

Massachusetts 23.9% 292.8 282.9 18.9% 234.2 228.1

Michigan 25.5% 146.8 168.6 25.1% 112.3 134.2

Minnesota 24.5% 198.0 210.9 24.0% 154.8 170.0

Mississippi 50.1% 153.1 171.7 49.9% 118.6 141.4

Missouri 35.2% 152.1 172.8 34.5% 119.8 138.8

Montana 30.9% 217.7 220.3 29.5% 167.5 174.9

Nebraska 31.9% 163.8 171.5 32.9% 120.9 137.6

Nevada 35.3% 246.4 232.5 36.1% 183.3 186.8

New Hampshire 31.7% 234.8 225.0 28.8% 191.9 180.4

New Jersey 29.8% 251.0 265.0 27.0% 211.1 219.7

New Mexico 42.5% 179.9 187.5 42.2% 140.3 152.7

New York 26.6% 246.0 267.7 25.4% 184.7 213.5

North Carolina 34.2% 182.4 202.4 33.7% 139.7 165.1

North Dakota 28.9% 211.1 208.9 25.4% 165.4 166.2

Ohio 35.5% 143.3 156.2 35.9% 111.9 126.2

Oklahoma 45.9% 153.4 171.6 47.7% 117.7 139.6

Oregon 27.0% 256.9 259.0 23.4% 195.2 205.1

Pennsylvania 33.0% 167.9 193.0 32.3% 136.5 158.7

Rhode Island 37.7% 229.2 222.5 32.9% 185.2 182.1

South Carolina 39.3% 185.0 192.8 36.9% 145.0 159.7

South Dakota 36.6% 177.0 186.4 34.9% 141.5 149.0

Tennessee 40.1% 184.0 201.3 39.7% 136.2 162.3

Texas 35.2% 197.5 215.3 35.4% 138.3 173.4

Utah 29.0% 242.4 251.3 28.4% 186.9 203.4

Vermont 22.8% 193.2 197.3 19.5% 165.9 160.1

Virginia 44.9% 271.5 258.8 40.5% 222.0 217.2

Washington 30.1% 287.4 289.8 27.6% 214.8 225.6

West Virginia 48.2% 155.3 153.4 45.0% 125.9 127.5

Wisconsin 22.7% 166.9 176.1 20.6% 133.5 141.7

Wyoming 41.3% 213.4 212.8 39.6% 176.9 175.7

Sources: eMBS and Urban Institute. Note: Ginnie Mae share are based on loan balance as of September 2018.

Ginnie Mae loans constitute 30.2 percent of outstanding agency issuance by loan balance , 33.1 percent of the 

issuance over the past year. However, the Ginnie Mae share varies widely across states, with the share of 

outstandings (as measured by loan balance) as low as 16.0 percent in the District of Columbia and as high as 51.1 

percent in Alaska. In general, the Ginnie Mae share is higher in states with lower home prices.

13
State of the US Housing Market

$10.7

$16.0

$26.7

0

5

10

15

20

25

30

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Q2

$ Trillions

Value of the US Housing Market

Debt, household mortgages Household equity Total Value

Sources: Federal Reserve Flow of Funds and Urban Institute. Data as of Q2 2018.

$0.46

$0.55

$6.49

$3.23

0

1

2

3

4

5

6

7

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Q2

$ Trillions

Size of the US Residential Mortgage Market

Private Label Securities Second Liens Agency MBS Unsecuritized first liens

Sources: Federal Reserve Flow of Funds, Inside Mortgage Finance, Fannie Mae, Freddie Mac, eMBS and Urban Institute.

Note: Unsecuritized first liens includes loans held by commercial banks, GSEs, savings institutions, and credit unions. Data as of Q2 2018.

The Federal Reserve's Flow of Funds report has consistently indicated an increasing total value of the housing 

market driven by growing household equity since 2012, and 2018 Q2 was no different. While total debt and 

mortgages was stable at $10.7 trillion, household equity reached a new high of $16.0 trillion, bringing the total 

value of the housing market to $26.7 trillion, 10 percent higher than the pre-crisis peak in 2006. Agency MBS 

make up 61.0 percent of the total mortgage market, private-label securities make up 4.3 percent, and 

unsecuritized first liens at the GSEs, commercial banks, savings institutions, and credit unions make up 30.1 

percent. Second liens comprise the remaining 5.1 percent of the total.

14
State of the US Housing Market

As of September 2018, outstanding securities in the agency market totaled $6.56 trillion and were 43.4 percent 

Fannie Mae, 27.4 percent Freddie Mac, and 29.3 percent Ginnie Mae. Ginnie Mae has more outstandings than 

Freddie Mac. Within the Ginnie Mae market, VA has been growing very rapidly, and now comprises 33.9 percent of 

total Ginnie Mae outstandings.

$2.84

$1.80

$1.92

0.0

0.5

1.0

1.5

2.0

2.5

3.0

Sep-01

Mar-02

Sep-02

Mar-03

Sep-03

Mar-04

Sep-04

Mar-05

Sep-05

Mar-06

Sep-06

Mar-07

Sep-07

Mar-08

Sep-08

Mar-09

Sep-09

Mar-10

Sep-10

Mar-11

Sep-11

Mar-12

Sep-12

Mar-13

Sep-13

Mar-14

Sep-14

Mar-15

Sep-15

Mar-16

Sep-16

Mar-17

Sep-17

Mar-18

Sep-18

$ Trillions

Outstanding Agency Mortgage-Backed Securities

Fannie Mae Freddie Mac Ginnie Mae

Sources: eMBS and Urban Institute. Note: Data as of September 2018.

$1.2

$0.7

$0.1

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

Sep-01

Mar-02

Sep-02

Mar-03

Sep-03

Mar-04

Sep-04

Mar-05

Sep-05

Mar-06

Sep-06

Mar-07

Sep-07

Mar-08

Sep-08

Mar-09

Sep-09

Mar-10

Sep-10

Mar-11

Sep-11

Mar-12

Sep-12

Mar-13

Sep-13

Mar-14

Sep-14

Mar-15

Sep-15

Mar-16

Sep-16

Mar-17

Sep-17

Mar-18

Sep-18

$ Trillions

Outstanding Ginnie Mae Mortgage-Backed Securities

FHA VA Other

Sources: eMBS and Urban Institute Note: Data as of September 2018.

15
State of the US Housing Market

$0.36

$0.18

$0.01

$0.26

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

$4.0

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Q1-Q2

$ trillions

First Lien Origination Volume Portfolio

PLS securitization

FHA/VA securitization

GSE securitization

Sources: Inside Mortgage Finance and Urban Institute. Note: Data as of Q2 2018.

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Q1-Q2

First Lien Origination Share

First lien originations totaled $820 billion in the first half of 2018, down slightly from the first half of 2017, mostly 

due to higher interest rates. The share of portfolio originations was 32 percent in the first half of 2018, up from 30 

percent in 2017. The GSE share was around 44 percent, down from 46 percent in 2017. The FHA/VA share was 

slightly down: 22 percent for H1 2018 versus 23 percent in 2017. Origination of private-label securities increased 

from 0.6 percent to 1.7 percent from 2017 to H1 2018.

Sources: Inside Mortgage Finance and Urban Institute. Note: Data as of Q2 2018. 

32.1%

1.7%

22.0%

44.1%

16
US Agency Market, Originations

Debt,

household 

mortgages,

$9,833

Ginnie Mae Breakdown: Agency Gross Issuance

Issuance Year FHA VA Other Total

2000 $80.2 $18.8 $3.2 $102.2

2001 $133.8 $34.7 $3.1 $171.5

2002 $128.6 $37.9 $2.5 $169.0

2003 $147.9 $62.7 $2.5 $213.1

2004 $85.0 $31.8 $2.5 $119.2

2005 $55.7 $23.5 $2.1 $81.4

2006 $51.2 $23.2 $2.3 $76.7

2007 $67.7 $24.2 $3.0 $94.9

2008 $221.7 $39.0 $6.9 $267.6

2009 $359.9 $74.6 $16.8 $451.3

2010 $304.9 $70.6 $15.3 $390.7

2011 $216.1 $82.3 $16.9 $315.3

2012 $253.4 $131.3 $20.3 $405.0

2013 $239.2 $132.2 $22.2 $393.6

2014 $163.9 $111.4 $21.0 $296.3

2015 $261.5 $155.6 $19.2 $436.3

2016 $281.8 $206.5 $19.9 $508.2

2017 $257.6 $177.8 $20.2 $455.6

2018 YTD $169.6 $123.1 $13.1 $305.8

2018 % Change YOY -13.9% -6.0% -14.2% -10.9%

2018 Ann. $226.2 $164.2 $17.4 $407.8

Agency Gross Issuance

Issuance Year Fannie Mae Freddie Mac GSE Total Ginnie Mae Total

2000 $202.8 $157.9 $360.6 $102.2 $462.8

2001 $506.9 $378.2 $885.1 $171.5 $1,056.6

2002 $710.0 $529.0 $1,238.9 $169.0 $1,407.9

2003 $1,174.4 $700.5 $1,874.9 $213.1 $2,088.0

2004 $517.5 $355.2 $872.6 $119.2 $991.9

2005 $514.1 $379.9 $894.0 $81.4 $975.3

2006 $500.2 $352.9 $853.0 $76.7 $929.7

2007 $633.0 $433.3 $1,066.2 $94.9 $1,161.1

2008 $562.7 $348.7 $911.4 $267.6 $1,179.0

2009 $817.1 $462.9 $1,280.0 $451.3 $1,731.3

2010 $626.6 $377.0 $1,003.5 $390.7 $1,394.3

2011 $578.2 $301.2 $879.3 $315.3 $1,194.7

2012 $847.6 $441.3 $1,288.8 $405.0 $1,693.8

2013 $749.9 $426.7 $1,176.6 $393.6 $1,570.2

2014 $392.9 $258.0 $650.9 $296.3 $947.2

2015 $493.9 $351.9 $845.7 $436.3 $1,282.0

2016 $600.5 $391.1 $991.6 $508.2 $1,499.8

2017 $531.3 $345.9 $877.3 $455.6 $1,332.9

2018 YTD $369.3 $231.6 $600.9 $305.8 $906.8

2018 % Change YOY -7.6% -5.1% -6.6% -10.9% -8.1%

2018 Ann. $492.4 $308.8 $801.3 $407.8 $1,209.0

Sources: eMBS and Urban Institute (top and bottom). 

Note : Dollar amounts are in billions. “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of 

Agriculture’s Rural Development. All data is as of September 2018.

Agency gross issuance totaled $906.8 billion in the first three quarters of 2018, down by 8.1 percent compared to 

the same time period in 2017. Ginnie Mae gross issuance was down by 10.9 percent and GSE gross issuance was 

down by 6.6 percent. Within the Ginnie Mae market, FHA is down by 13.9 percent and VA origination is down by 

6.0 percent. The decline in origination volume is the result of higher interest rates.

17
US Agency Market, Originations

Debt,

household 

mortgages,

$9,833

Ginnie Mae Breakdown: Net Issuance

Issuance Year FHA VA Other Total

2000 $29.0 $0.3 $0.0 $29.3

2001 $0.7 -$10.6 $0.0 -$9.9

2002 -$22.5 -$28.7 $0.0 -$51.2

2003 -$56.5 -$21.1 $0.0 -$77.6

2004 -$45.2 $5.1 $0.0 -$40.1

2005 -$37.3 -$12.1 $7.2 -$42.2

2006 -$4.7 $3.8 $1.2 $0.2

2007 $20.2 $8.7 $2.0 $30.9

2008 $173.3 $17.7 $5.4 $196.4

2009 $206.4 $35.1 $15.8 $257.4

2010 $158.6 $29.6 $10.0 $198.3

2011 $102.8 $34.0 $12.8 $149.6

2012 $58.9 $45.9 $14.3 $119.1

2013 $20.7 $53.3 $13.9 $87.9

2014 -$4.8 $53.9 $12.5 $61.6

2015 $22.5 $66.9 $7.9 $97.3

2016 $45.6 $73.2 $6.0 $124.9

2017 $50.1 $76.1 $5.0 $131.3

2018 YTD $34.7 $46.4 $2.6 $83.8

2018 % Change YOY -18.6% -21.6% -28.1% -20.6%

2018 Ann. $46.3 $61.9 $3.5 $111.7

Agency Net Issuance

Issuance Year Fannie Mae Freddie Mac GSE Total Ginnie Mae Total

2000 $92.0 $67.8 $159.8 $29.3 $189.1

2001 $216.6 $151.8 $368.4 -$9.9 $358.5

2002 $218.9 $138.3 $357.2 -$51.2 $306.1

2003 $293.7 $41.1 $334.9 -$77.6 $257.3

2004 $32.3 $50.2 $82.5 -$40.1 $42.4

2005 $62.5 $111.7 $174.2 -$42.2 $132.0

2006 $164.3 $149.3 $313.6 $0.2 $313.8

2007 $296.1 $218.8 $514.9 $30.9 $545.7

2008 $213.0 $101.8 $314.8 $196.4 $511.3

2009 $208.1 $42.5 $250.6 $257.4 $508.0

2010 -$156.4 -$146.8 -$303.2 $198.3 -$105.0

2011 -$32.6 -$95.8 -$128.4 $149.6 $21.2

2012 $32.9 -$75.3 -$42.4 $119.1 $76.8

2013 $57.5 $11.6 $69.1 $87.9 $157.0

2014 $0.5 $30.0 $30.5 $61.6 $92.1

2015 $10.2 $65.0 $75.1 $97.3 $172.5

2016 $68.6 $66.8 $135.5 $125.3 $260.8

2017 $90.2 $78.2 $168.5 $131.3 $299.7

2018 YTD $58.6 $43.6 $102.2 $83.8 $186.0

2018 % Change YOY -15.9% -0.8% -10.1% -20.6% -15.2%

2018Ann. $78.1 $58.2 $136.2 $111.7 $247.9

Sources: eMBS and Urban Institute (top and bottom) 

Note : Dollar amounts are in billions. “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of 

Agriculture’s Rural Development. All data is as of September 2018.

Agency net issuance totaled $186.0 billion in the first three quarters of 2018, down 15.2 percent compared to the same 

period in 2017. Ginnie Mae net issuance was $83.8 billion, comprising 45.0 percent of total agency net issuance. Note 

that Ginnie Mae net issuance in the first three quarters of 2018 is down 20.6 percent year over year. Ginnie Mae net 

issuance YTD in 2018 is comprised of 55.4 percent VA, 41.4 percent FHA and 3.1 percent other issuance.

18
US Agency Market, Originations

Debt,

household 

mortgages,

$9,833

Sources: eMBS and Urban Institute.

Note : Dollar amounts are in billions. “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of 

Agriculture’s Rural Development. All data is as of September 2018.

Agency gross issuance has been generally declining, but the seasonal trend is very strong. This table allows for a 

comparison with the same month in previous years. September 2018 levels of $105.8 billion are below the 

September 2017 level of $111.5 billion.

Date

Gross Issuance Net Issuance

Fannie Mae Freddie Mac Ginnie Mae Total Fannie Mae Freddie Mac Ginnie Mae Total

Jan-16 $35.6 $22.5 $32.5 $90.6 -$0.6 $1.0 $7.3 $7.8

Feb-16 $32.4 $21.2 $30.5 $84.1 $2.4 $3.1 $8.4 $13.9

Mar-16 $39.7 $27.5 $32.9 $100.1 $7.9 $8.2 $9.6 $25.8

Apr-16 $43.8 $26.2 $40.1 $110.1 $0.8 -$0.2 $8.8 $9.4

May-16 $44.2 $29.9 $41.6 $115.6 $2.4 $4.4 $11.4 $18.3

Jun-16 $46.7 $30.1 $43.9 $120.8 $2.7 $3.0 $11.9 $17.7

Jul-16 $49.8 $35.3 $46.1 $131.1 $2.3 $6.3 $10.8 $19.4

Aug-16 $54.9 $37.9 $46.7 $139.5 $10.4 $11.0 $13.8 $35.2

Sep-16 $65.8 $44.0 $52.5 $162.4 $8.7 $9.0 $12.5 $30.2

Oct-16 $66.0 $35.9 $47.4 $149.3 $11.8 $2.7 $9.3 $24.5

Nov-16 $48.8 $40.2 $47.2 $136.3 -$3.5 $7.9 $10.3 $14.8

Dec-16 $72.7 $40.5 $46.8 $160.0 $23.3 $10.4 $10.8 $44.6

Jan-17 $55.6 $38.5 $42.6 $136.6 $10.3 $10.7 $10.3 $31.9

Feb-17 $37.6 $27.4 $33.1 $98.1 $3.1 $6.5 $9.2 $18.9

Mar-17 $39.5 $24.4 $31.3 $95.2 $10.3 $6.2 $9.6 $26.3

Apr-17 $39.3 $21.2 $36.4 $97.0 $4.8 $0.4 $11.7 $17.3

May-17 $40.3 $22.6 $36.4 $99.3 $7.6 $2.7 $13.1 $23.6

Jun-17 $45.7 $25.1 $39.9 $110.7 $8.3 $2.4 $13.2 $24.1

Jul-17 $45.3 $27.6 $40.6 $113.5 $5.8 $3.5 $12.1 $21.5

Aug-17 $49.1 $29.3 $42.8 $121.1 $12.0 $6.7 $15.6 $33.9

Sep-17 $47.3 $27.9 $40.2 $115.5 $7.4 $3.8 $10.5 $21.7

Oct-17 $42.9 $34.6 $38.4 $115.9 $6.4 $12.5 $10.7 $29.6

Nov-17 $43.5 $37.2 $37.8 $118.5 $4.6 $13.6 $8.2 $26.4

Dec-17 $45.3 $30.0 $36.2 $111.5 $9.6 $8.2 $6.8 $24.6

Jan-18 $47.4 $21.4 $35.2 $104.0 $12.4 $0.3 $7.8 $20.6

Feb-18 $40.3 $21.5 $31.9 $93.7 $8.0 $2.3 $7.1 $17.4

Mar-18 $35.6 $21.3 $29.0 $85.9 $4.9 $3.0 $6.1 $14.0

Apr-18 $36.3 $26.2 $32.7 $95.2 $1.71 $6.1 $9.1 $16.8

May-18 $38.9 $27.5 $33.7 $100.1 $4.5 $7.2 $10.6 $22.4

Jun-18 $38.2 $28.8 $35.6 $102.5 $2.2 $6.8 $10.5 $19.5

Jul-18 $40.3 $26.2 $35.6 $102.1 $4.2 $3.7 $10.7 $18.6

Aug-18 $50.6 $29.6 $37.5 $117.6 $14.9 $7.9 $12.8 $35.6

Sep-18 $41.8 $29.2 $34.8 $105.8 $5.7 $6.2 $9.1 $21.0

Monthly Agency Issuance

19
US Agency Market, Originations

0%

1%

2%

3%

4%

5%

6%

7%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Sep-04

Mar-05

Sep-05

Mar-06

Sep-06

Mar-07

Sep-07

Mar-08

Sep-08

Mar-09

Sep-09

Mar-10

Sep-10

Mar-11

Sep-11

Mar-12

Sep-12

Mar-13

Sep-13

Mar-14

Sep-14

Mar-15

Sep-15

Mar-16

Sep-16

Mar-17

Sep-17

Mar-18

Sep-18

Mortgage Rate

Percent Refi

Percent Refi at Issuance

Freddie Mac (left) Fannie Mae (left) Ginnie Mae (left) Mortgage rate (right)

20.7%

28.6%

0% 1.0%

10%

20%

30%

40%

50%

60%

70%

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

Mar-18

May-18

Jul-18

Sep-18

Percent Refi

Percent Refi at Issuance: Ginnie Mae Breakdown

FHA VA Other

Sources: eMBS and Urban Institute. Note: Based on at-issuance balance. Data as of September 2018.

Sources: eMBS and Urban Institute.

Note: Based on at-issuance balance. “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of Agriculture’s 

Rural Development. Data as of September 2018.

The Ginnie Mae refi share stood at 21 percent in September 2018, below the 32 and 26 percent shares for Fannie 

Mae and Freddie Mac, respectively. Within Ginnie Mae, VA had the highest refi share at 29 percent in September 

2018, followed by FHA’s 21 percent refi share. The refi share for all agencies has been falling sharply due to rising 

interest rates and seasonal upticks in purchase activity during the spring and summer months. With the end of the 

summer surge in purchase activity, refinances grew slightly in September, and we would expect the refi share to 

continue to grow over the next few months.

20
Credit Box

41.0%

43.5%

71.1%

52.8%

20%

30%

40%

50%

60%

70%

80%

Sep-13 Jan-14 May-14 Sep-14 Jan-15 May-15 Sep-15 Jan-16 May-16 Sep-16 Jan-17 May-17 Sep-17 Jan-18 May-18 Sep-18

First-time homebuyer share (%)

First Time Homebuyer Share: Purchase Only Loans

Freddie Fannie Ginnie All

Sources: eMBS and Urban Institute. Note: Data as of September 2018.

The first time homebuyer share of Ginnie Mae purchase loans remained relatively constant at 71.1 percent in 

September 2018, below the historical high reached in May 2018. First time homebuyers comprise a 

significantly higher share of the Ginnie Mae purchase market than of the GSE purchase market, with first time 

homebuyers accounting for 43.5 percent and 41.0 percent of Fannie and Freddie purchase originations, 

respectively. The bottom table shows that based on mortgages originated in September 2018, the average firsttime homebuyer was more likely than an average repeat buyer to take out a smaller loan and have a lower 

credit score, a much higher LTV and a similar DTI, thus requiring a higher interest rate.

Fannie Mae Freddie Mac Ginnie Mae All

First-Time Repeat First-Time Repeat First-Time Repeat First-Time Repeat

Loan Amount ($ ) 235,166 266,691 236,891 253,922 206,579 257,002 221,613 259,978 

Credit Score 736.2 753.0 741.7 755.8 679.3 702.0 709.7 740.6

LTV (%) 87.9 78.9 87.1 78.8 96.9 95.4 92.1 83.2

DTI (%) 36.8 37.1 35.8 36.2 41.9 42.8 39.1 38.3

Loan Rate (%) 4.9 4.7 4.8 4.7 4.9 4.7 4.9 4.7

Sources: eMBS and Urban Institute. 

Note: In May 2017 Ginnie Mae began disclosing issuer-reported LTV for FHA loans, which includes the financed upfront mortgage insurance 

premium. To make it consistent with the previously reported LTV, we removed the financed upfront mortgage insurance premium by 

subtracting 169 bps from this new issuer-reported LTV. Data as of September 2018.

21
Credit Box

78.5%

53.3%

82.0%

71.1%

40%

45%

50%

55%

60%

65%

70%

75%

80%

85%

90%

Sep-13 Jan-14 May-14 Sep-14 Jan-15 May-15 Sep-15 Jan-16 May-16 Sep-16 Jan-17 May-17 Sep-17 Jan-18 May-18 Sep-18

First-time homebuyer share (%)

First Time Homebuyer Share: 

Ginnie Mae Purchase Only Loans Breakdown by Source

FHA VA Other All

Sources: eMBS and Urban Institute. Note: Data as of September 2018. “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing 

and the Department of Agriculture’s Rural Development. In May 2017 Ginnie Mae began disclosing issuer-reported LTV for FHA loans, which includes 

the financed upfront mortgage insurance premium. To make it consistent with the previously reported LTV, we removed the financed upfront mortgage 

insurance premium by subtracting 169 bps from this new issuer-reported LTV. 

Within the Ginnie Mae purchase market, 78.5 percent of FHA loans, 53.3 percent of VA loans and 82.0 percent of 

other loans represent financing for first time home buyers in September 2018. The bottom table shows that based 

on mortgages originated in September 2018, the average first-time homebuyer was more likely than an average 

repeat buyer to take out a smaller loan and have a lower credit score, and similar LTVs and DTIs, thus requiring a 

higher interest rate.

FHA VA Other Ginnie Mae Total

First-Time Repeat First-Time Repeat First-Time Repeat First-Time Repeat

Loan Amount ($) 202,786 222,947 246,463 298,880 142,024 159,338 206,579 257,002 

Credit Score 669.7 674.6 699.5 727.0 696.3 700.9 679.3 702.0

LTV (%) 95.5 93.9 99.7 96.4 99.4 99.3 96.9 95.4

DTI (%) 43.2 44.1 41.1 42.3 35.1 35.8 41.9 42.8

Loan Rate (%) 4.9 4.8 4.7 4.6 4.8 4.8 4.9 4.7

Sources: eMBS and Urban Institute. Note: Data as of September 2018.

22
Credit Box

Sources: Credit Bureau Data and Urban Institute. 

Note: Data as of August 2017.

FICO Score Distribution: Mortgage Owners vs All Consumers

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

300-500500-520520-540540-560560-580580-600600-620620-640640-660660-680680-700700-720720-740740-760760-780780-800800-820820-850

All Consumers Mortgage owners

All Consumers- Percentiles

Minimum P5 P10 P25 P50 P75 P90 P95 Maximum

300 503 524 587 682 774 813 822 839

Mortgage Owners- Percentiles

Minimum P5 P10 P25 P50 P75 P90 P95 Maximum

300 570 615 682 752 801 818 824 839

Consumers who have a mortgage are concentrated at the high end of the general credit score spectrum. The top 

table shows that the median FICO score for all consumers (682) is equal to the 25th percentile of those with a 

mortgage (682).

23
Debt,

household 

mortgages,

$9,833

Purchase FICO

Number of Loans P10 P25 Median P75 P90 Mean

All 316,273 644 682 732 776 797 726 

Fannie 116,464 681 714 755 785 801 747 

Freddie 85,596 689 722 758 787 802 751 

Ginnie 114,213 622 645 677 724 770 686 

Refi FICO

Number of Loans P10 P25 Median P75 P90 Mean

All 116,666 639 673 718 764 792 716 

Fannie 52,606 655 688 729 771 795 727 

Freddie 32,706 666 701 743 778 799 737 

Ginnie 31,354 607 638 672 711 754 675 

All FICO

Number of Loans P10 P25 Median P75 P90 Mean

All 432,939 642 679 728 773 796 723 

Fannie 169,070 670 705 748 782 800 741 

Freddie 118,302 682 715 754 785 801 747 

Ginnie 145,567 620 644 676 721 767 684 

Purchase FICO: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 114,213 622 645 677 724 770 686 

FHA 69,126 616 638 665 699 738 671 

VA 34,975 632 663 712 765 794 712 

Other 10,112 639 659 694 733 767 697 

Refi FICO: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 31,354 607 638 672 711 754 675 

FHA 17,525 599 628 658 691 726 661 

VA 13,738 624 654 692 736 773 694 

Other 91 624 644 700 750 794 696 

All FICO: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 145,567 620 644 676 721 767 684 

FHA 86,651 612 636 664 697 736 669 

VA 48,713 630 660 705 757 790 707 

Other 10,203 639 659 694 733 767 697 

September 2018 Credit Box at a Glance

Sources: eMBS and Urban Institute. Note: “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of 

Agriculture’s Rural Development. Data as of September 2018.

In September 2018, the median Ginnie Mae FICO score was 676 versus 748 for Fannie and 754 for Freddie. Note that 

the FICO score for the 10th percentile was 620 for Ginnie Mae, versus 670 for Fannie and 682 for Freddie. Within the 

Ginnie Mae market, FHA loans have a median FICO score of 664, VA loans have a median FICO score of 705 and 

other loans have a median FICO score of 694.

24
September 2018 Credit Box at a Glance

Debt,

household 

mortgages,

$9,833

Purchase LTV

Number of Loans P10 P25 Median P75 P90 Mean

All 316,774 70.0 80.0 95.0 96.5 100.0 87.3 

Fannie 116,581 64.0 80.0 83.0 95.0 97.0 82.5 

Freddie 85,740 61.0 78.0 80.0 95.0 95.0 81.6 

Ginnie 114,453 92.6 96.5 96.5 100.0 102.0 96.5 

Refi LTV

Number of Loans P10 P25 Median P75 P90 Mean

All 117,174 44.0 60.0 74.0 80.9 90.7 70.4 

Fannie 52,613 41.0 56.0 69.0 78.0 80.0 65.1 

Freddie 32,845 39.0 55.0 70.0 79.0 80.0 64.9 

Ginnie 31,716 67.3 80.1 86.5 95.2 100.0 84.9 

All LTV

Number of Loans P10 P25 Median P75 P90 Mean

All 433,948 58.0 75.0 86.5 96.5 98.2 82.7 

Fannie 169,194 52.0 70.0 80.0 90.0 95.0 77.1 

Freddie 118,585 51.0 70.0 80.0 90.0 95.0 77.0 

Ginnie 146,169 83.4 94.1 96.5 100.0 101.0 93.9 

Purchase LTV: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 114,453 92.6 96.5 96.5 100.0 102.0 96.5 

FHA 69,268 92.9 96.5 96.5 96.5 96.5 95.2 

VA 35,026 91.0 100.0 100.0 102.2 103.3 98.2 

Other 10,159 95.4 99.2 101.0 101.0 102.0 99.4 

Refi LTV: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 31,716 67.3 80.1 86.5 95.2 100.0 84.9 

FHA 17,652 66.1 78.4 86.3 86.5 92.3 81.4 

VA 13,965 69.2 83.2 93.8 100.0 101.1 89.2 

Other 99 72.0 84.5 89.6 94.8 102.7 87.7 

All LTV: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 146,169 83.4 94.1 96.5 100.0 101.0 93.9 

FHA 86,920 83.2 91.3 96.5 96.5 96.5 92.4 

VA 48,991 81.5 95.0 100.0 101.0 103.2 95.6 

Other 10,258 95.0 99.1 101.0 101.0 102.0 99.2 

Sources: eMBS and Urban Institute. Note: “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of 

Agriculture’s Rural Development. In May 2017 Ginnie Mae began disclosing issuer-reported LTV for FHA loans, which includes the financed 

upfront mortgage insurance premium. To make it consistent with the previously reported LTV, we removed the financed upfront mortgage 

insurance premium by subtracting 169 bps from this new issuer-reported LTV. Data as of September 2018.

In September 2018, the median loan-to-value ratio (LTV) was 96.5 percent for Ginnie Mae, and 80 percent for both 

Fannie Mae and Freddie Mac. The 10th percentile was 83.4 percent for Ginnie Mae, and 51-52 percent for Fannie 

Mae and Freddie Mac. Within the Ginnie Mae market, the median LTV was 96.5 for FHA, 100.0 for VA and 101.0 for 

other programs. 

25
Debt,

household 

mortgages,

$9,833

Purchase DTI

Number of Loans P10 P25 Median P75 P90 Mean

All 316,247 25.0 32.0 39.9 46.0 50.0 38.4 

Fannie 116,575 23.0 30.0 38.0 44.0 48.0 36.8 

Freddie 85,732 23.0 29.0 37.0 43.0 47.0 35.9 

Ginnie 113,940 29.1 35.8 42.8 49.3 54.3 42.1 

Refi DTI

Number of Loans P10 P25 Median P75 P90 Mean

All 114,351 24.0 31.0 39.3 46.0 49.3 38.0 

Fannie 52,120 23.0 31.0 39.0 46.0 49.0 37.4 

Freddie 32,552 22.0 29.0 37.0 43.0 47.0 35.4 

Ginnie 29,679 27.7 35.0 43.2 49.4 54.1 41.8 

All DTI

Number of Loans P10 P25 Median P75 P90 Mean

All 430,598 24.6 32.0 39.8 46.0 49.9 38.3 

Fannie 168,695 23.0 30.0 39.0 45.0 48.0 37.0 

Freddie 118,284 22.0 29.0 37.0 43.0 47.0 35.7 

Ginnie 143,619 28.9 35.6 42.9 49.4 54.3 42.1 

Purchase DTI: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 113,940 29.1 35.8 42.8 49.3 54.3 42.1 

FHA 69,250 30.7 37.6 44.5 50.3 54.6 43.4 

VA 34,668 28.0 34.7 42.1 49.0 54.5 41.6 

Other 10,022 26.3 31.0 36.1 40.1 42.8 35.2 

Refi DTI: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 29,679 27.7 35.0 43.2 49.4 54.1 41.8 

FHA 16,580 28.4 35.9 44.1 49.7 54.2 42.4 

VA 13,035 26.9 34.0 42.0 48.8 54.0 41.1 

Other 64 16.8 21.6 31.1 37.6 40.7 29.8 

All DTI: Ginnie Mae Breakdown By Source

Number of Loans P10 P25 Median P75 P90 Mean

All 143,619 28.9 35.6 42.9 49.4 54.3 42.1 

FHA 85,830 30.3 37.3 44.4 50.1 54.6 43.2 

VA 47,703 27.7 34.5 42.1 48.9 54.3 41.5 

Other 10,086 26.3 30.9 36.1 40.1 42.8 35.2 

September 2018 Credit Box at a Glance

Sources: eMBS and Urban Institute. Note: “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of 

Agriculture’s Rural Development. Data as of September 2018.

In September 2018, the median Ginnie Mae debt-to-income ratio (DTI) was 42.9 percent, considerably higher than 

the 37-39 percent median DTIs for Fannie Mae and Freddie Mac. The 90th percentile for Ginnie Mae was 54.3 

percent, also much higher than the 47-48 percent DTI for the GSEs. Within the Ginnie Mae market, the median FHA 

DTI ratio was 44.4 percent, versus 42.1 percent for VA and 36.1 percent for other lending programs. 

26
Credit Box: Historical

660

680

700

720

740

760

780

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

Mar-18

May-18

Jul-18

Sep-18

FICO Scores

FICO Scores for Purchase Loans 

Freddie Median FICO Fannie Median FICO

Ginnie Median FICO All Median FICO

660

680

700

720

740

760

780

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

Mar-18

May-18

Jul-18

Sep-18

FICO Scores for Refinance Loans

Freddie Median FICO Fannie Median FICO

Ginnie Median FICO All Median FICO

748

754

676

728

660

680

700

720

740

760

780

Sep-13 Jan-14 May-14 Sep-14 Jan-15 May-15 Sep-15 Jan-16 May-16 Sep-16 Jan-17 May-17 Sep-17 Jan-18 May-18 Sep-18

FICO Scores

FICO Scores for All Loans

Freddie Median FICO Fannie Median FICO Ginnie Median FICO All Median FICO

Sources: eMBS and Urban Institute. Note: Data as of September 2018. Sources: eMBS and Urban Institute. Note: Data as of September 2018.

Sources: eMBS and Urban Institute. Note: Data as of September 2018.

The median FICO score for all agency MBS originated in September was 728, slightly lower than in August. The 

figures show that the median FICO score for Ginnie Mae borrowers has always been considerably lower than 

for GSE borrowers. The difference between Ginnie Mae and GSE borrowers is wider in purchase loans than in 

refi loans.

27
Credit Box: Historical

96.5

65.0

70.0

75.0

80.0

85.0

90.0

95.0

100.0

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

Mar-18

May-18

Jul-18

Sep-18

Loan-to-Value Ratio

LTV Ratio for All Loans

Freddie Median LTV Fannie Median LTV Ginnie Median LTV All Median LTV

65.0

70.0

75.0

80.0

85.0

90.0

95.0

100.0

Sep-13

Dec-13

Mar-14

Jun-14

Sep-14

Dec-14

Mar-15

Jun-15

Sep-15

Dec-15

Mar-16

Jun-16

Sep-16

Dec-16

Mar-17

Jun-17

Sep-17

Dec-17

Mar-18

Jun-18

Sep-18

LTV Ratio for Refinance Loans

Freddie Median LTV Fannie Median LTV

Ginnie Median LTV All Median LTV

65.0

70.0

75.0

80.0

85.0

90.0

95.0

100.0

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Loan-to-Value Ratio

LTV Ratio for Purchase Loans

Freddie Median LTV Fannie Median LTV

Ginnie Median LTV All Median LTV

Median LTVs for Ginnie Mae loans have historically been at 96.5 percent, much higher than the 80 percent 

LTVs for the GSEs. Through time, both Ginnie Mae and GSE refinances have LTVs about 6-12 points lower 

than their purchase counterparts. 

Sources: eMBS and Urban Institute. Note: In May 2017 Ginnie Mae began disclosing issuer-reported LTV for FHA loans, which includes the 

financed upfront mortgage insurance premium. To make it consistent with the previously reported LTV, we removed the financed upfront mortgage 

insurance premium by subtracting 169 bps from this new issuer-reported LTV. Sources and note apply to all three graphs. Data as of September 

2018.

86.5

80

28
Credit Box: Historical

37.0

39.0

42.9

39.8

32.0

34.0

36.0

38.0

40.0

42.0

44.0

Sep-13 Jan-14 May-14 Sep-14 Jan-15 May-15 Sep-15 Jan-16 May-16 Sep-16 Jan-17 May-17 Sep-17 Jan-18 May-18 Sep-18

Debt-to-Income Ratio

DTI Ratio for All Loans

Freddie Median DTI Fannie Median DTI Ginnie Median DTI All Median DTI

30.0

32.0

34.0

36.0

38.0

40.0

42.0

44.0

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

DTI Ratio for Refinance Loans 

Freddie Median DTI Fannie Median DTI

Ginnie Median DTI All Median DTI

30.0

32.0

34.0

36.0

38.0

40.0

42.0

44.0

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Debt-to-income Ratio

DTI Ratio for Purchase Loans

Freddie Median DTI Fannie Median DTI

Ginnie Median DTI All Median DTI

Sources: eMBS and Urban Institute. Note: Data as of September 2018.

Sources: eMBS and Urban Institute. 

Note: Data as of September 2018.

Sources: eMBS and Urban Institute. 

Note: Data as of September 2018.

Median debt-to-income ratios on Ginnie Mae loans have historically been in the low 40s, considerably higher 

than that of the GSEs. DTIs have been inching up over the past eighteen months for both Ginnie Mae and GSE 

loans, with the movement more pronounced for Ginnie Mae loans. Increases in DTIs are very typical in the 

current environment of rising interest rates and home prices, as borrowers are left with sharply higher monthly 

payments. 

29
Nonbank Originators

Sources: eMBS and Urban Institute

Note: Data as of September 2018.

Sources: eMBS and Urban Institute. Note: “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of Agriculture’s Rural 

Development. Data as of September 2018.

The nonbank origination share has been generally increasing since 2013. In September 2018, the Ginnie Mae 

nonbank originator share stood at 78 percent, considerably higher than the GSEs’ 57-58 percent nonbank 

origination share. For Ginnie Mae, the nonbank share for refis was higher than the nonbank share for 

purchases. The differences were more modest for the GSEs.

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

Mar-18

May-18

Jul-18

Sep-18

Nonbank Origination Share: All Loans

All Fannie Freddie Ginnie

78%

64%

58%

57%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

All Fannie Freddie Ginnie

Nonbank Origination Share: 

Refinance Loans

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

All Fannie Freddie Ginnie

Nonbank Origination Share: 

Purchase Loans

30
Ginnie Mae Nonbank Originators 

Sources: eMBS and Urban Institute

Note: Data as of September 2018.

Sources: eMBS and Urban Institute. Note: “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing and the Department of Agriculture’s Rural 

Development. Data as of September 2018.

In September 2018, Ginnie Mae’s nonbank share remained flat at 78 percent. The nonbank originator share 

for FHA decreased to 84 percent, just off the historical high of 86 percent reached in August. The nonbank 

originator share for VA rose to 70 percent, while the nonbank originator share for other loans decreased to 77 

percent.

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

Mar-18

May-18

Jul-18

Sep-18

Non-bank originator share

Ginnie Mae Nonbank Originator Share: All Loans

All FHA VA Other

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Non-bank originator share

Ginnie Mae Nonbank Share: 

Purchase Loans

All FHA VA Other

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Ginnie Mae Nonbank Share: 

Refinance Loans

All FHA VA Other

84%

78%

77%

70%

31
Sources: eMBS and Urban Institute. 

Note: Data as of September 2018. 

Sources: eMBS and Urban Institute. 

Note: Data as of September 2018. 

729

746

717

680

690

700

710

720

730

740

750

760

770

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

Mar-18

May-18

Jul-18

Sep-18

Agency FICO: Bank vs. Nonbank

FICO All Median FICO Bank Median FICO Nonbank Median FICO

Sources: eMBS and Urban Institute. Note: Data as of September 2018. 

650

670

690

710

730

750

770

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

All Median FICO Bank Median FICO

Nonbank Median FICO

Ginnie Mae FICO: Bank vs. 

Nonbank

650

670

690

710

730

750

770

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

All Median FICO Bank Median FICO

Nonbank Median FICO

GSE FICO: Bank vs. Nonbank

Nonbank Credit Box

FICO FICO

Nonbank originators have played a key role in opening up access to credit. The median GSE and the median Ginnie Mae 

FICO scores for loans originated by nonbanks are lower than their bank counterparts. Within the GSE space, both bank 

and nonbank FICOs have declined since 2014 with a further relaxation in FICOs since early 2017. In contrast, within 

the Ginnie Mae space, FICO scores for bank originations have increased since 2014 while nonbank FICOs have 

declined. This largely reflects the sharp cut-back in FHA lending by many banks. 

32
Sources: eMBS and Urban Institute. Note: Data as of September 2018. Sources: eMBS and Urban Institute. Note: Data as of September 2018. 

66

68

70

72

74

76

78

80

82

84

86

88

90

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

GSE LTV: Bank vs. Nonbank

All Median LTV Bank Median LTV

Nonbank Median LTV

Sources: eMBS and Urban Institute. Note: Data as of September 2018. 

90

91

92

93

94

95

96

97

98

99

100

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

All Median LTV Bank Median LTV

Nonbank Median LTV

Sources: eMBS and Urban Institute. Note: Data as of September 2018. 

30

32

34

36

38

40

42

44

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

All Median DTI Bank Median DTI

Nonbank Median DTI

30

32

34

36

38

40

42

44

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

GSE DTI: Bank vs. Nonbank

All Median DTI Bank Median DTI

Nonbank Median DTI

Nonbank Credit Box

Ginnie Mae LTV: Bank vs. Nonbank

Ginnie Mae DTI: Bank vs. Nonbank

LTV LTV

DTI DTI

The median LTV ratios for loans originated by nonbanks are similar to that of their bank counterparts, while the median 

DTIs for nonbank loans are higher, indicating that nonbanks are more accommodating in this dimension as well as in 

the FICO dimension. Note that since early 2017, there has been a measurable increase in DTIs. This is true for both 

bank and non-bank originations. Rising DTIs are to be expected in a rising rate environment.

33
650

660

670

680

690

700

710

720

730

740

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

FICO scores

Ginnie Mae VA FICO Scores: Bank 

vs. Nonbank

VA All Median FICO VA Bank Median FICO

VA Nonbank Median FICO

Ginnie Mae Nonbank Originators: 

Credit Box

Sources: eMBS and Urban Institute

Note: Data as of September 2018.

Sources: eMBS and Urban Institute

Note: “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing 

and the Department of Agriculture’s Rural Development. Data as of September 2018.

The FICO scores for Ginnie Mae bank originators increased in September 2018, while FICO scores for nonbank 

originators stayed flat. The spread in the FICO scores between banks and non-banks remains close to their 

widest level since the data became available in 2013. The gap between banks and non-banks is very apparent in 

all programs backing Ginnie Mae securities: FHA, VA, and Other.

650

660

670

680

690

700

710

720

730

740

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

FICO score

Ginnie Mae FICO Scores: 

Bank vs. Nonbank

All Median FICO Bank Median FICO

Nonbank Median FICO

650

660

670

680

690

700

710

720

730

740

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Ginnie Mae FHA FICO Scores: 

Bank vs. Nonbank

FHA All Median FICO FHA Bank Median FICO

FHA Nonbank Median FICO

650

660

670

680

690

700

710

720

730

740

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Ginnie Mae Other FICO Scores: 

Bank vs. Nonbank

Other All Median FICO Other Bank Median FICO

Other Nonbank Median FICO

Sources: eMBS and Urban Institute Note: Data as of September 2018. Sources: eMBS and Urban Institute Note: Data as of September 2018.

34
90

92

94

96

98

100

102

104

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Loan-to-value ratio

Ginnie Mae VA LTV: Bank vs. 

Nonbank

VA All Median LTV VA Bank Median LTV

VA Nonbank Median LTV

Ginnie Mae Nonbank Originators: 

Credit Box

Sources: eMBS and Urban Institute

Note: Data as of September 2018.

Sources: eMBS and Urban Institute

Note: “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing 

and the Department of Agriculture’s Rural Development. Data as of September 2018.

An analysis of the loans backing Ginnie Mae origination indicates that there are virtually no differences in 

median LTV ratios between bank originated loans and non-bank originated loans. 

90

91

92

93

94

95

96

97

98

99

100

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Loan-to-value ratio

Ginnie Mae LTV: 

Bank vs. Nonbank

All Median LTV Bank Median LTV

Nonbank Median LTV

90

91

92

93

94

95

96

97

98

99

100

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Ginnie Mae FHA LTV: Bank vs. 

Nonbank

FHA All Median LTV FHA Bank Median LTV

FHA Nonbank Median LTV

90

92

94

96

98

100

102

104

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Ginnie Mae Other LTV: Bank vs. 

Nonbank

Other All Median LTV Other Bank Median LTV

Other Nonbank Median LTV

Sources: eMBS and Urban Institute Note: Data as of September 2018. Sources: eMBS and Urban Institute Note: Data as of September 2018.

35
34

35

36

37

38

39

40

41

42

43

44

45

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

FICO scores

Ginnie Mae VA DTI: Bank vs. 

Nonbank

VA All Median DTI VA Bank Median DTI

VA Nonbank Median DTI

Ginnie Mae Nonbank Originators: 

Credit Box

Sources: eMBS and Urban Institute

Note: Data as of September 2018.

Sources: eMBS and Urban Institute

Note: “Other“ refers to loans insured by HUD’s Office of Public and Indian Housing 

and the Department of Agriculture’s Rural Development. Data as of September 2018.

An analysis of borrowers’ DTI ratios for bank versus non-bank originators indicates that the former have a 

lower median DTI. The DTIs for FHA and VA loans experienced notable increases since early 2017 for both 

bank and nonbank originations, while the Other originations’ DTIs stayed relatively flat. Rising DTIs are to be 

expected in a rising rate environment.

34

35

36

37

38

39

40

41

42

43

44

45

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

FICO score

Ginnie Mae DTI: 

Bank vs. Nonbank

All Median DTI Bank Median DTI

Nonbank Median DTI

34

35

36

37

38

39

40

41

42

43

44

45

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Ginnie Mae FHA DTI: Bank vs. 

Nonbank

FHA All Median DTI FHA Bank Median DTI

FHA Nonbank Median DTI

34

35

36

37

38

39

40

41

42

43

44

45

Sep-13

Jan-14

May-14

Sep-14

Jan-15

May-15

Sep-15

Jan-16

May-16

Sep-16

Jan-17

May-17

Sep-17

Jan-18

May-18

Sep-18

Ginnie Mae Other DTI: Bank vs. 

Nonbank

Other All Median DTI Other Bank Median DTI

Other Nonbank Median DTI

Sources: eMBS and Urban Institute Note: Data as of September 2018. Sources: eMBS and Urban Institute Note: Data as of September 2018.

36
Holders of Ginnie Mae MSRs

Sources: eMBS and Urban Institute. Note: Data as of October 2018.

Top 30 Holders of Ginnie Mae Mortgage Servicing Rights (MSRs), by UPB

Rank MSR Holder UPB ($ millions) Share Cumulative Share

1 Wells Fargo $280,358 16.9% 16.9%

2 Lakeview $158,859 9.6% 26.5%

3 PennyMac $155,101 9.4% 35.9%

4 Freedom Home Mortgage $111,907 6.8% 42.7%

5 JPMorgan Chase $68,500 4.1% 46.8%

6 Quicken Loans $61,423 3.7% 50.5%

7 US Bank $61,019 3.7% 54.2%

8 Nationstar $52,267 3.2% 57.4%

9 Carrington Home Mortgage $44,452 2.7% 60.1%

10 Caliber Home Loans $39,269 2.4% 62.4%

11 USAA Federal Savings Bank $34,746 2.1% 64.5%

12 Amerihome Mortgage $24,402 1.5% 66.0%

13 Navy Federal Credit Union $21,593 1.3% 67.3%

14 Pacific Union Financial $18,691 1.1% 68.5%

15 Ditech Financial $18,419 1.1% 69.6%

16 The Money Source $17,692 1.1% 70.6%

17 Loan Depot $17,657 1.1% 71.7%

18 New Penn Financial $16,949 1.0% 72.7%

19 Suntrust $16,895 1.0% 73.8%

20 Midfirst $16,150 1.0% 74.7%

21 Branch Banking and Trust $16,128 1.0% 75.7%

22 Pingora $15,768 1.0% 76.7%

23 Home Point Financial $15,610 0.9% 77.6%

24 Guild Mortgage $14,442 0.9% 78.5%

25 Ocwen $14,091 0.9% 79.3%

26 Homebridge Financial Services $13,384 0.8% 80.1%

27 Bank of America $13,127 0.8% 80.9%

28 PNC $11,465 0.7% 81.6%

29 Planet Home Lending $10,127 0.6% 82.2%

30 Roundpoint $9,920 0.6% 82.8%

This table shows largest 30 owners of mortgage servicing rights (MSR) by UPB for mortgages securitized through 

the Ginnie Mae program. As of Oct 2018, about half (50.5 percent) of outstanding Ginnie Mae mortgage 

servicing rights were owned by the top six firms. The top 30 firms collectively own over 80 percent. 22 out of 

these 30 are non-depositories, while the remaining 8 are depositories.

37
The composition of the largest owners of Ginnie Mae MSR has evolved quite a bit over time. In December 2013, 

Wells Fargo and JP Morgan Chase were the two largest owners of Ginnie Mae MSRs, holding $375B and $139B in 

servicing UPB respectively. Although Wells Fargo is still the largest player, its portfolio has shrunk to $280B. 

Lakeview, PennyMac and Freedom Home Mortgage (all nonbanks) are the second, third and fourth largest owners 

of MSRs, owning $158B, $155B, and $112B respectively as of October 2018. Chase, which owns servicing rights 

for $68.5B in UPB has dropped to fifth place. As of October 2018, nonbanks collectively owned servicing rights 

for 61.3 percent of all outstanding unpaid principal balance guaranteed by Ginnie Mae. In December 2013,the 

nonbank share was much smaller at 27.7 percent. 

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

Dec-13

Feb-14

Apr-14

Jun-14

Aug-14

Oct-14

Dec-14

Feb-15

Apr-15

Jun-15

Aug-15

Oct-15

Dec-15

Feb-16

Apr-16

Jun-16

Aug-16

Oct-16

Dec-16

Feb-17

Apr-17

Jun-17

Aug-17

Oct-17

Dec-17

Feb-18

Apr-18

Jun-18

Aug-18

Oct-18

1. Wells Fargo 2. Lakeview

3. PennyMac 4. Freedom Home Mortgage

5. JPMorgan Chase

UPB ($ millions)

61.3%

0%

10%

20%

30%

40%

50%

60%

70%

Dec-13

Feb-14

Apr-14

Jun-14

Aug-14

Oct-14

Dec-14

Feb-15

Apr-15

Jun-15

Aug-15

Oct-15

Dec-15

Feb-16

Apr-16

Jun-16

Aug-16

Oct-16

Dec-16

Feb-17

Apr-17

Jun-17

Aug-17

Oct-17

Dec-17

Feb-18

Apr-18

Jun-18

Aug-18

Oct-18

Share of outstanding loans by UPB

Holders of Ginnie Mae MSRs

Sources: eMBS and Urban Institute. Note: Data as of October 2018.

Share of Ginnie Mae MSRs held by Non-banks

Top 5 MSR Holders: Outstanding Ginnie Mae Loans by UPB

38
Prepayments

0%

5%

10%

15%

20%

25%

30%

35%

Oct-11 Apr-12 Oct-12 Apr-13 Oct-13 Apr-14 Oct-14 Apr-15 Oct-15 Apr-16 Oct-16 Apr-17 Oct-17 Apr-18 Oct-18

Constant Prepayment Rate (%)

2011 Issued 4.0 Coupon CPR

Fannie 2011 4.0 Coupon CPR Freddie 2011 4.0 Coupon CPR Ginnie II 2011 4.0 Coupon CPR

Sources: Credit Suisse and Urban Institute. Note: Data as of October 2018.

Sources: Credit Suisse and Urban Institute. Note: Data as of October 2018.

Prepayments on Ginnie Mae securities were lower than on GSE securities from 2011 through mid-2013, but 

have been higher since. These increased Ginnie speeds reflect the growing share of VA loans, which prepay at 

faster speeds than either FHA or GSE loans. In addition, FHA puts fewer restrictions on the use of streamlined 

refinances, and unlike GSE streamline refinances, requires no credit report and no appraisal. Some of the upfront 

mortgage insurance premium can also be applied to the refinanced loan. Moreover, both FHA and VA permit 

refinancing of existing mortgages after 6 months, while the GSEs do not allow refinancing for a year. 

With the increase in interest rates since November 2016, the prepayment speeds for all agencies have 

slowed down considerably. Over the past 18 months, with the bulk of the mortgage universe finding it noneconomic to refinance, the small month to month variations in speeds reflect seasonality, changes in day count 

and changes in mortgage rates. With mortgage rates substantially above 4%, we would expect prepayments in 

the coming months to remain at low levels. 

12%

11%

8%

12%

11%

10%

0%

5%

10%

15%

20%

25%

30%

Apr-11 Oct-11 Apr-12 Oct-12 Apr-13 Oct-13 Apr-14 Oct-14 Apr-15 Oct-15 Apr-16 Oct-16 Apr-17 Oct-17 Apr-18 Oct-18

Constant prepayment rate (%)

Aggregate Prepayments

Fannie CPR Freddie CPR Ginnie I CPR Ginnie II CPR

39
Prepayments

0%

5%

10%

15%

20%

25%

30%

35%

Feb-15 Jun-15 Oct-15 Feb-16 Jun-16 Oct-16 Feb-17 Jun-17 Oct-17 Feb-18 Jun-18 Oct-18

Constant Prepayment Rate (%)

2015 Issued 3.5 Coupon CPR

Fannie 2015 3.5 Coupon CPR Freddie 2015 3.5 Coupon CPR Ginnie II 2015 3.5 Coupon CPR

0%

2%

4%

6%

8%

10%

12%

14%

Feb-16 Jun-16 Oct-16 Feb-17 Jun-17 Oct-17 Feb-18 Jun-18 Oct-18

Constant Prepayment Rate (%)

2016 Issued 3.0 Coupon CPR

Fannie 2016 3.0 Coupon CPR Freddie 2016 3.0 Coupon CPR Ginnie II 2016 3.0 Coupon CPR

Sources: Credit Suisse and Urban Institute. Note: Data as of October 2018.

Sources: Credit Suisse and Urban Institute. Note: Data as of October 2018.

The 2015 Ginnie II 3.5s and the 2016 Ginnie II 3.0s, the largest coupon cohorts of those vintage years, have 

prepaid consistently faster than their conventional counterparts. 2015 and 2016 originations are more heavily 

VA loans than the 2011 origination shown on the preceding page. VA loans prepay at faster speeds than either 

FHA or GSE loans. The FHA streamlined programs are likely another contributor to the faster speeds. 

After a sharp mortgage rate rise in November 2016, the prepayment speeds of Ginnie and Conventional 

loans both fell dramatically. Over the past year, with the bulk of the mortgage universe finding it non-economic 

to refinance, the muted month to month variations in speeds reflect seasonality, changes in day count and 

changes in mortgage interest rates. With mortgage rates substantially above 4%, we would expect prepayments 

in the coming months to stay at low levels.

11%

7%

14%

10%

40
Prepayments

0%

1%

2%

3%

4%

5%

6%

Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18

Constant Prepayment Rate (%)

2018 Issued 4.0 Coupon CPR

Fannie 2018 4.0 Coupon CPR Freddie 2018 4.0 Coupon CPR Ginnie II 2018 4.0 Coupon CPR

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Apr-18 Jul-18 Oct-18

Constant Prepayment Rate (%)

2017 Issued 3.5 Coupon CPR

Fannie 2017 3.5 Coupon CPR Freddie 2017 3.5 Coupon CPR Ginnie II 2017 3.5 Coupon CPR

Sources: Credit Suisse and Urban Institute. Note: Data as of October 2018.

Sources: Credit Suisse and Urban Institute. Note: Data as of October 2018.

Ginnie Mae securities season more slowly than their conventional counterparts; they generally have lower 

prepayments in the early months. The charts below show the behavior of the 2017-issued 3.5s and the 2018-

issued 4.0s, the largest coupon cohorts of those vintage years. Despite their slower seasoning, 2017 Ginnie II 

3.5s have been prepaying faster than their conventional counterparts since late 2017, due primarily to fast VA 

prepayment speeds. In comparison, the 2018 Ginnie II 4.0s continue to prepay slower than their conventional 

counterparts. 

8%

6%

5%

4%

41
Prepayments

0%

5%

10%

15%

20%

25%

30%

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21

Constant Prepayment Rate (%)

2017 Issued 4.0 Coupon CPR, by Loan Age

Fannie 2017 4.0 Coupon CPR Freddie 2017 4.0 Coupon CPR Ginnie II 2017 4.0 Coupon CPR

Loan age

Sources: Credit Suisse and Urban Institute. Note: Data as of October 2018.

Sources: Credit Suisse and Urban Institute. Note: Data as of October 2018.

The charts below show the prepayment speeds by loan age for 2017 Ginnie II 4.0s and 2018 Ginnie II 4.5s—the 

cohorts 50 basis points above the largest coupon cohort for those years. Prepayment speeds on the Ginnie II 

4.0s jumped up sharply at the 7-9 month loan age, reflecting abuse of the VA Streamlined Refi program 

(IRRRL). The 2018 Ginnie II 4.5s do not exhibit the same pattern, indicating the efforts by both Ginnie Mae and 

the VA to curb this abuse have been effective. Ginnie Mae actions have included suspending a few servicers 

whose VA prepayment speeds are especially high from selling VA loans into Ginnie Mae ii securities, as well as 

rewriting the pooling requirements so that if loans that do not meet the seasoning requirement are refinanced, 

the new loan is ineligible for securitization. 

12%

9.5%

9.1%

13%

10%

0%

2%

4%

6%

8%

10%

12%

14%

1 2 3 4 5 6 7 8 9 10

Constant Prepayment Rate (%)

2018 Issued 4.5 Coupon CPR, by Loan Age

Fannie 2018 4.5 Coupon CPR Freddie 2018 4.5 Coupon CPR Ginnie II 2018 4.5 Coupon CPR

Loan age

42
Reverse Mortgage Volumes

$0.0

$0.2

$0.4

$0.6

$0.8

$1.0

$1.2

$1.4

$1.6

Sep-18

Jul-18

Mar-18

May-18

Jan-11

Mar-11

May-11

Jul-11

Sep-11

Nov-11

Jan-12

Mar-12

May-12

Jul-12

Sep-12

Nov-12

Jan-13

Mar-13

May-13

Jul-13

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

$ Billions

HMBS Issuance Volume

$55.3

$0

$10

$20

$30

$40

$50

$60

Sep-18

Jul-18

Mar-18

May-18

Mar-11

May-11

Jul-11

Sep-11

Nov-11

Jan-12

Mar-12

May-12

Jul-12

Sep-12

Nov-12

Jan-13

Mar-13

May-13

Jul-13

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

$ Billions

HMBS Outstanding 

Other Ginnie Mae Programs

Sources: Ginnie Mae and Urban Institute. Note: Data as of September 2018.

Sources: Ginnie Mae and Urban Institute. Note: Data as of September 2018.

Ginnie Mae reverse mortgage issuance has been volatile in recent months. The September 2018 volume 

increased slightly to $0.59 billion, but remained below historical levels. The decline in 2018 was largely due to 

the implementation of the new, lower principal limit factors that went into effect in March 2018. In September 

2018, outstanding reverse mortgage securities totaled $55.3 billion.

$0.59

43
Multifamily Market

$1.0

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

$4.0

Sep-18

Jul-18

Mar-18

May-18

Mar-11

May-11

Jul-11

Sep-11

Nov-11

Jan-12

Mar-12

May-12

Jul-12

Sep-12

Nov-12

Jan-13

Mar-13

May-13

Jul-13

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

$ Billions

Ginnie Mae Multifamily MBS Issuance

$115.2

$0

$20

$40

$60

$80

$100

$120

$140

Sep-18

Jul-18

Mar-18

May-18

Mar-11

May-11

Jul-11

Sep-11

Nov-11

Jan-12

Mar-12

May-12

Jul-12

Sep-12

Nov-12

Jan-13

Mar-13

May-13

Jul-13

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

$ Billions

Ginnie Mae Multifamily MBS Outstanding 

Other Ginnie Mae Programs

Sources: Ginnie Mae and Urban Institute. Note: Data as of September 2018.

Sources: Ginnie Mae and Urban Institute. Note: Data as of September 2018.

Ginnie Mae multifamily issuance volume in September 2018 totaled $1.0 billion, below average issuance levels of 

the past 18 months. Outstanding multifamily securities totaled $115.2 billion in September.

44
Market Conditions

Sources: SIFMA and Urban Institute. Note: Data as of October 2018.

$219 

$556

$32 

$0

$100

$200

$300

$400

$500

$600

1997 2000 2003 2006 2009 2012 2015 2018

$ Billions

Average Daily Fixed Income Trading Volume by Sector

SF Agency MBS trading vol ($B) Treasury trading volume ($B) Corporates trading volume ($B)

3.43%

3.62%

0.35% 0%

2%

4%

6%

8%

10%

12%

14%

1997 2000 2003 2006 2009 2012 2015 2018

Percent

Average Daily Turnover by Sector 

Agency MBS Turnover Treasury Turnover Corporates Turnover

Agency MBS trading volume was $219 billion/day in October 2018; slightly more robust than in the 2014-2017 

period. Agency MBS turnover has also been higher in 2018 than in the 2014-2017 period; in the first ten months 

of 2018, average daily MBS turnover was 3.43 percent versus 3.38 percent in 2017. Both average daily 

mortgage and Treasury turnover are down from their pre-crisis peaks. Corporate turnover is miniscule relative 

to either Agency MBS or Treasury turnover. 

Sources: SIFMA and Urban Institute. Note: Data as of October 2018.

45
Market Conditions

$240.7

150

200

250

300

350

400

450

500

550

600

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

$ Billions

Repo Volume: Securities In

$47.5

0

10

20

30

40

50

60

70

80

90

100

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

$ Billions

Dealer Net Positions: Federal Agency and GSE MBS

Sources: Federal Reserve Bank of New York Primary Dealer Statistics and Urban Institute. Note: Data as of October 2018.

Sources: Federal Reserve Bank of New York Primary Dealer Statistics and Urban Institute. Note: Data as of October 2018.

Dealer net positions in agency MBS are down from the 2012-2013 time period, but remain within historic 

ranges. Gross dealer positions are likely to have fallen more than net positions. The volume of repurchase 

activity is up slightly from the near 13-year low three months ago. The large decline through time reflects 

banks cutting back on lower margin businesses. 

46
MBS Ownership

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2008Q1 2009Q1 2010Q1 2011Q1 2012Q1 2013Q1 2014Q1 2015Q1 2016Q1 2017 Q1 2018 Q1

GSEs

Commercial Banks

Federal Reserve

Broker/Dealers

REITs

Other

Who owns Total Agency Debt?

Mutual Funds

Money Market and Pension Funds

Sources: Federal Reserve Flow of Funds and Urban Institute. Note: Data as of Q2 2018.

Credit Unions

Foreign Investors

The largest holders of agency debt (Agency MBS + Agency notes and bonds) include the Federal Reserve (19 

percent), commercial banks (20 percent) and foreign investors (12 percent). The broker/dealer and GSE shares 

are a fraction of what they once were. 

Share of Total Agency Debt by Owner

47
MBS Ownership

Debt,

household 

mortgages,

$9,833

Sources: Federal Reserve Flow of Funds and Urban Institute. Note: Data as of Q2 2018.

71.9%

50%

55%

60%

65%

70%

75%

2007Q2 2008Q2 2009Q2 2010Q2 2011Q2 2012Q2 2013Q2 2014Q2 2015Q2 2016 Q2 2017 Q2 2018 Q2

Percent of MBS over Outstanding Agency Debt

MBS Share of Total Agency Debt

Sources: Federal Reserve Bank and Urban Institute. Note: Data as of October 2018.

As Fannie and Freddie reduce the size of their retained portfolio, fewer agency notes and bonds are required to 

fund that activity, hence the MBS share of total agency debt increases. For Q2 2018, the MBS share of total agency 

debt stood at 71.9 percent. Commercial banks are now the largest holders of Agency MBS. Out of their $1.8 trillion 

in holdings as of the end of October 2018, $1.3 trillion of it was held by the top 25 domestic banks.

Commercial Bank Holdings ($Billions) Week Ending

Sep-17 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct 3 Oct 10 Oct 17 Oct 24

Largest Domestic 

Banks 1,272.0 1,273.3 1,274.5 1,283.5 1,297.5 1,303.9 1,307.0 1,304.4 1,305.6 1,302.8 1,302.5 1,305.5

Small Domestic 

Banks 490.0 491.6 493.0 495.4 496.9 495.6 494.7 495.0 492.4 492.8 493.1 494.3

Foreign Related 

Banks 11.7 33.0 34.6 31.3 32.7 28.6 25.4 22.4 21.7 22.1 23.5 24.1

Total, 

Seasonally

Adjusted 1,773.7 1,797.9 1,802.1 1,810.2 1,827.1 1,828.1 1,827.1 1,821.8 1,819.7 1,817.7 1,819.1 1,823.9

48
MBS Ownership

Debt,

household 

mortgages,

$9,833

Top Bank & Thrift Residential MBS Investors Total ($MM) GSE PT ($MM)

GNMA PT 

($MM)

Agency REMIC 

($MM)

Non-Agency 

($MM)

Market 

Share

1 Bank of America Corporation $320,041 $187,657 $119,582 $12,529 $273 17.7%

2 Wells Fargo & Company $239,142 $175,350 $55,563 $4,233 $3,996 13.2%

3 JP Morgan Chase & Co. $91,524 $57,068 $24,420 $356 $9,680 5.1%

4 U S. Bancorp. $77,811 $36,872 $13,197 $27,741 $1 4.3%

5 Charles Schwab Bank $77,565 $46,161 $12,054 $19,350 $0 4.3%

6 Capital One Financial Corporation $64,923 $27,006 $14,597 $22,248 $1,073 3.6%

7 Citigroup Inc. $59,890 $43,359 $4,445 $8,855 $3,231 3.3%

8 Bank of New York Mellon Corp. $51,348 $30,678 $1,771 $17,279 $1,620 2.8%

9 PNC Bank, National Association $46,035 $36,648 $4,192 $2,540 $2,654 2.8%

10 Branch Banking and Trust Company $37,502 $12,770 $6,260 $17,918 $554 2.1%

11 State Street Bank and Trust Company $34,365 $12,607 $9,052 $8,921 $3,785 1.9%

12 HSBC Banks USA, National Association $23,761 $6,980 $7,139 $9,639 $3 1.3%

13 E*TRADE Bank $23,476 $12,404 $4,226 $6,846 $0 1.3%

14 KeyBank National Association $23,103 $888 $993 $21,222 $0 1.3%

15 Morgan Stanley $22,528 $9,342 $6,940 $6,246 $0 1.2%

16 SunTrust Bank $22,384 $11,478 $10,906 $0 $0 1.2%

17 The Northern Trust Company $17,822 $8,564 $22 $9,203 $33 1.0%

18 Regions Bank $17,765 $10,610 $4,534 $2,618 $3 1.0%

19 Ally Bank $17,732 $9,866 $3,024 $2,369 $2,473 1.0%

20 MUFG Union Bank $17,376 $5,559 $4,297 $6,646 $874 1.0%

Total Top 20 $1,286,091 $741,867 $307,214 $206,758 $30,252 71.4%

Sources: Inside Mortgage Finance and Urban Institute. Note: Data as of Q2 2018.

Out of the $1.8 trillion in MBS holdings at banks and thrifts, $1.3 trillion is in agency pass-through form: $976.9 

trillion in GSE pass-throughs and $368.9 billion in Ginnie Mae pass-throughs. There are another $414.4 billion in 

Agency CMOs. Non-agency holdings total $46.4 billion. MBS holdings at banks and thrifts declined slightly in Q2 

2018, although over the past 2 years, the growth has been quite strong, with Ginnie pass-throughs the fastest 

growing sector.

All Banks & Thrifts ($Billions)

Total Agency MBS PT GSE PT GNMA PT Agency CMO Private MBS PT Private CMO

2000 $683.90 $392.85 $234.01 $84.26 $198.04 $21.57 $71.43 

2001 $810.50 $459.78 $270.59 $109.53 $236.91 $37.62 $76.18 

2002 $912.36 $557.43 $376.11 $101.46 $244.98 $20.08 $89.88 

2003 $982.08 $619.02 $461.72 $75.11 $236.81 $19.40 $106.86 

2004 $1,113.89 $724.61 $572.40 $49.33 $208.18 $20.55 $160.55 

2005 $1,139.68 $708.64 $566.81 $35.92 $190.70 $29.09 $211.25 

2006 $1,207.09 $742.28 $628.52 $31.13 $179.21 $42.32 $243.28 

2007 $1,236.00 $678.24 $559.75 $31.58 $174.27 $26.26 $357.24 

2008 $1,299.76 $820.12 $638.78 $100.36 $207.66 $12.93 $259.04 

2009 $1,345.74 $854.40 $629.19 $155.00 $271.17 $7.53 $212.64 

2010 $1,433.38 $847.13 $600.80 $163.13 $397.30 $7.34 $181.61 

2011 $1,566.88 $917.10 $627.37 $214.81 $478.82 $3.28 $167.70 

2012 $1,578.86 $953.76 $707.87 $242.54 $469.27 $17.16 $138.67 

2013 $1,506.60 $933.73 $705.97 $231.93 $432.60 $26.11 $114.15 

2014 $1,539.32 $964.16 $733.71 $230.45 $449.90 $20.33 $104.94 

2015 $1,643.56 $1,115.40 $823.10 $292.30 $445.39 $11.14 $71.63 

1Q16 $1,660.58 $1,133.29 $833.25 $300.04 $448.63 $10.27 $68.39 

2Q 16 $1,684.33 $1,169.67 $867.64 $302.03 $440.25 $9.11 $65.29 

3Q16 $1,732.36 $1,227.52 $924.81 $302.71 $435.77 $7.90 $61.17 

4Q16 $1,736.93 $1,254.13 $930.67 $323.46 $419.80 $7.40 $55.60

1Q17 $1,762.38 $1,280.63 $950.72 $329.91 $419.34 $7.03 $55.39 

2Q17 $1,798.66 $1,320.59 $985.12 $335.47 $417.89 $6.38 $53.79 

3Q17 $1,838.93 $1,364.75 $1,012.89 $351.86 $418.08 $5.65 $50.45

4Q17 $1,844.15 $1,378.53 $1,010.83 $367.70 $413.97 $4.63 $47.01 

1Q18 $1,809.98 $1,352.28 $991.57 $360.71 $412.37 $3.92 $41.37

2Q18 $1,806.58 $1,345.80 $976.92 $368.88 $414.41 $7.45 $38.92

Bank and Thrift Residential MBS Holdings

49
MBS Ownership

$958.9

$399.1

$559.8

0

200

400

600

800

1,000

1,200

Jul-13

Sep-13

Nov-13

Jan-14

Mar-14

May-14

Jul-14

Sep-14

Nov-14

Jan-15

Mar-15

May-15

Jul-15

Sep-15

Nov-15

Jan-16

Mar-16

May-16

Jul-16

Sep-16

Nov-16

Jan-17

Mar-17

May-17

Jul-17

Sep-17

Nov-17

Jan-18

Mar-18

May-18

Jul-18

$ Billions

Monthly Agency MBS Holdings by Foreigners

Total Agency MBS Held by Foreigners Foreign Official Foreign Private

Sources: Treasury International Capital (TIC) and Urban Institute. Note: Data as of July 2018. In December 2017, there was a data 

correction that moved about $120 billion from privately held U.S. agency bonds to officially held U.S. agency bonds; this resulted in a series 

break at December 2017 in the split between the portion held by foreign private and the portion held by foreign official.

Sources: SIFMA and Treasury International Capital (TIC). Note: Data as of Q2 2018.

14.5%

10.0%

10.5%

11.0%

11.5%

12.0%

12.5%

13.0%

13.5%

14.0%

14.5%

15.0%

Q1 2012Q2 2012Q3 2012Q4 2012Q1 2013Q2 2013Q3 2013Q4 2013Q1 2014Q2 2014Q3 2014Q4 2014Q1 2015Q2 2015Q3 2015Q4 2015Q1 2016Q2 2016Q3 2016Q4 2016Q1 2017Q2 2017Q3 2017Q4 2017Q1 2018Q2 2018

Percent of Agency MBS Owned by Foreigners

Foreign Share of Agency MBS

Foreign investors held 14.5 percent of agency MBS in Q2 2018, up from a low of 11.8 percent in Q1 2014. For 

the month of July 2018, this represents $958.9 billion in Agency MBS; $399.1 billion held by foreign private 

institutions and $559.8 billion held by foreign official investors. 
MBS Ownership

Agency MBS+ Agency Debt

Agency MBS Only (Estimates)

Sources :Treasury International Capital (TIC) and Urban Institute. 

Note: *calculated based on June 2017 report with amount asset backed per country. Revised to include Top 10 holders of MBS listed as of June 

2017. Monthly data as of July 2018.

The largest foreign holders of Agency MBS are Taiwan, Japan and China; these three comprise around 70 percent 

of all foreign holdings. Since March of 2018, both Japan and China have increased their holdings substantially, by 

$17 and $13 billion respectively.

Levelof Holdings ($Millions)* Change in Holdings ($Millions)*

Country Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Jul-18

Q3 

2017

Q4 

2017

Q1 

2018

Q2 

2018 Jul-18

Taiwan 227,195 229,030 234,234 245,182 249,451 249,401 1,835 5,204 10,948 4,269 -50

Japan 228,466 244,261 241,067 246,344 248,837 263,150 15,795 -3,194 5,277 2,493 14,313

China 183,393 177,580 170,702 173,169 180,820 185,666 -5,813 -6,878 2,467 7,651 4,846

South Korea 46,791 47,581 45,467 44,099 44,167 44,214 790 -2,114 -1,368 68 47

Ireland 44,229 46,648 51,525 49,164 47,662 46,574 2,419 4,877 -2,361 -1,502 -1,088

Luxembourg 31,289 33,026 37,575 39,336 37,111 37,210 1,737 4,549 1,761 -2,225 99

Cayman Islands 32,682 29,016 28,374 29,026 29,760 31,455 -3,666 -642 652 734 1,695

Bermuda 26,767 27,125 28,904 28,055 27,350 27,360 358 1,779 -849 -705 10

Switzerland 17,312 18,675 16,794 13,063 11,813 12,029 1,363 -1,881 -3,731 -1,250 216

Malaysia 12,365 13,162 12,751 12,139 12,754 13,091 797 -411 -612 615 337

Rest of World 129,723 124,357 125,465 124,266 122,885 123,373 -5,366 1,108 -1,199 -1,381 488

Total 980,212 990,461 992,858 1003843 1012610 1033523 10,249 2,397 10,985 8,767 20,913

Levelof Holdings ($Millions)* Change in Holdings ($Millions)*

Country Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Jul-18

Q3 

2017

Q4 

2017

Q1 

2018

Q2 

2018 Jul-18

Taiwan 227,073 228,914 234,127 245,069 249,349 249,299 1,841 5,213 10,942 4,280 -50

Japan 221,528 237,689 234,985 239,898 243,028 257,363 16,161 -2,704 4,914 3,129 14,336

China 177,546 172,042 165,576 167,737 175,924 180,789 -5,504 -6,465 2,161 8,187 4,865

South Korea 33,891 35,362 34,158 32,114 33,365 33,455 1,471 -1,204 -2,044 1,251 89

Ireland 33,663 36,640 42,262 39,348 38,815 37,761 2,977 5,623 -2,914 -533 -1,054

Luxembourg 28,314 30,208 34,967 36,572 34,620 34,729 1,894 4,759 1,605 -1,952 109

Cayman Islands 24,897 21,642 21,549 21,793 23,241 24,962 -3,255 -93 244 1,448 1,720

Bermuda 23,156 23,705 25,738 24,700 24,326 24,348 549 2,034 -1,038 -374 22

Switzerland 13,867 15,412 13,774 9,862 8,928 9,156 1,545 -1,638 -3,911 -934 227

Malaysia 11,905 12,726 12,348 11,712 12,369 12,707 821 -379 -636 657 339

Rest of World 94,872 91,345 94,913 91,888 93,703 94,305 -3,527 3,567 -3,024 1,815 602

Total 890,712 905,684 914,397 920,694 937,669 958,874 14,972 8,713 6,297 16,975 21,205
0

50

100

150

200

250

300

350

400

Sep-08

Dec-08

Mar-09

Jun-09

Sep-09

Dec-09

Mar-10

Jun-10

Sep-10

Dec-10

Mar-11

Jun-11

Sep-11

Dec-11

Mar-12

Jun-12

Sep-12

Dec-12

Mar-13

Jun-13

Sep-13

Dec-13

Mar-14

Jun-14

Sep-14

Dec-14

Mar-15

Jun-15

Sep-15

Dec-15

Mar-16

Jun-16

Sep-16

Dec-16

Mar-17

Jun-17

Sep-17

Dec-17

Mar-18

Jun-18

Sep-18

$ Billions

Total Fed Absorption

Total Fed Purchases Gross Issuance

MBS Ownership

0

50

100

150

200

250

Aug-10

Feb-11

Aug-11

Feb-12

Aug-12

Feb-13

Aug-13

Feb-14

Aug-14

Feb-15

Aug-15

Feb-16

Aug-16

Feb-17

Aug-17

Feb-18

Aug-18

$ Billions

Fed Absorption of GSE MBS

Gross Issuance Total Fed Purchases

Sources: eMBS, Federal Reserve Bank of New York and Urban Institute. Note: Data as of September 2018.

Sources: eMBS, Federal Reserve Bank of New York and Urban 

Institute. Note: Data as of September 2018.

Sources: eMBS, Federal Reserve Bank of New York and Urban Institute. 

Note: Data as of September 2018.

0

10

20

30

40

50

60

70

Sep-10

Mar-11

Sep-11

Mar-12

Sep-12

Mar-13

Sep-13

Mar-14

Sep-14

Mar-15

Sep-15

Mar-16

Sep-16

Mar-17

Sep-17

Mar-18

Sep-18

$ Billions

Fed Absorption of Ginnie Mae MBS

Total Fed Purchases Gross Issuance

The Fed has begun to wind down their portfolio, and we are beginning to see the effects in slower absorption 

rates. During the period October 2014-September 2017, the Fed had ended its purchase program, but was 

reinvesting funds from mortgages and agency debt into the mortgage market, absorbing 20-30 percent of agency 

gross issuance. With the wind down, which started in October 2017, the Fed will continue to reinvest, but by less 

than their run off. In September 2018, total Fed purchases decreased to $5.1 billion, yielding Fed absorption of 

gross issuance of 4.8 percent, the lowest level since the Fed began its second mortgage purchase program. The 

Fed absorbed 4.2 percent of Ginnie Mae issuance and 5.9 percent of GSE issuance, respectively.
Disclosures 

For use with Ginnie Mae only. All the information contained in this document is as of date 

Indicated unless otherwise noted. The information provided does not constitute investment 

advice and it should not be relied on as such. All information has been obtained from sources 

believed to be reliable, but its accuracy is not guaranteed. The views expressed in this material 

are the views of the Urban Institute's Housing Finance Policy Center and State Street Global

Advisors as of November 16, 2018 and are subject to change based on market and other

conditions. The views should not be attributed to the Urban Institute, its trustees, or funders. 

This document contains certain statements that may be deemed forward-looking statements. 

Please note that any such statements are not guarantees of any future performance and actual 

results or developments may differ materially from those projected. 

© 2018 State Street Corporation. All Rights Reserved.

2320850.1.1.GBL.INST 

1/31/2019