Dr. Healy’s October MSR Market Watch: Stability Amid Rate Fluctuations

The October MSR Index shows relatively little change in mortgage servicing rights (MSR) values for newly originated loans, as movements in discount rates and prepayment speeds appear to have largely offset one another.

Mortgage rates continue to fluctuate without establishing a clear direction, creating a market where shifting assumptions can influence MSR valuations even when overall values remain relatively stable. This month’s index highlights the continued relationship between discount rates, prepayment behavior, and MSR multiples across conventional 30-year, 15-year, and 5/1 ARM loan products.

Dr. Thomas J. Healy’s monthly MSR Index provides a snapshot of these trends, offering mortgage and banking professionals a consistent reference point for monitoring changes in the MSR market over time.

Review the October MSR Multiple Trend chart for this month’s market snapshot.