Data plays a bigger role in the shrinking distressed market

Both GSEs still have plenty of legacy NPL and RPL on their books, as do large banks, particularly those with footprints in judicial states. That results in relatively large deals hitting the market: often portfolios of tens of thousands of loans, with unpaid balances of $1 billion to $3 billion. Smaller trades have also remained steady as reperformers get sold and regional banks and other investors manage their balance sheets. And there is still plenty of demand.