Fast-rising interest rates, up 1.5 percentage points over the past three months, have thrown a wrench into the mortgage origination and private-label securitization markets. Refinancing is plummeting, purchase activity is softening, and rate volatility is making secondary market deals harder to price efficiently across prime and non-prime/non-QM deals. 

In the face of all that dour news for the housing market, there is one bright spot — a sector that benefits from rising rates. That is the market for mortgage servicing rights (MSRs).