What Everyone Was Talking About at IMN RMS New York

The Encore Finance team recently attended the IMN Residential Mortgage Securitization (RMS) Forum in New York. It was a great opportunity to connect with lenders, capital providers, servicers, and other operators across the residential finance market.

Throughout the panel discussions and side conversations, a few themes came up repeatedly. Here are three conversations that hold major significance for investors in today’s market.

Rates Expectations Remain Relatively Stable

It was clear that most market participants expect rates to remain relatively flat, with some anticipating modest upward pressure.

This is a notable change from the recent past when rate conversations were all about when the next cuts would happen. Instead, most participants seem focused on operating successfully within the current environment. As higher rates have become a more familiar part of the landscape, investors and lenders alike appear increasingly focused on execution, underwriting discipline, and identifying opportunities that make sense regardless of where rates move next.

While no one can predict the future with certainty, the overall sentiment was that market participants are adapting to today’s environment rather than waiting for a dramatically different one.

The Securitization Market Remains Constructive

Another encouraging takeaway was the continued strength of the securitization market.

Several conversations pointed to issuance volumes exceeding projections from the beginning of the year, reflecting ongoing investor demand for residential mortgage-related assets. Strong securitization activity is a good indicator because it helps support capital formation and liquidity throughout the lending ecosystem.

The overall tone of these discussions was positive. Despite broader market uncertainties, participants generally viewed the securitization market as healthy and functioning well.

Liquidity Remains Strong Across Non-QM and Business-Purpose Lending

We also heard consistent optimism regarding liquidity within the expanded non-QM market, including business-purpose lending.

Capital continues to flow into these sectors, and market participants generally described liquidity conditions as strong. This is particularly noteworthy given the higher-rate environment, as it suggests continued confidence from capital providers and investors in the underlying asset class.

For borrowers, strong liquidity can translate into continued access to financing options and a competitive lending environment. For lenders, it reflects ongoing appetite for residential credit exposure across a variety of strategies.

Final Thoughts

If there was one overarching theme from the conference, it was that the market continues to function well despite ongoing uncertainty around rates and the broader economy.

Few attendees seemed focused on predicting major market shifts. Instead, the conversations centered on execution, capital availability, and finding opportunities within the environment we have today.

From strong securitization activity to healthy liquidity across non-QM and business-purpose lending, the overall message was one of continued market stability and resilience. It will be interesting to see how these themes evolve throughout the remainder of the year, but for now, the overall tone from market participants remains positive.