What is happening on the second mortgage market?

the availability of 2nd mortgages on the second mortgage market has diminished as compared to 2005 when everybody took a piggyback loan. Second mortgages have history in being used to avoid PMI premiums. However, if the borrower defaults, the second lender, if different from the first, is hardly able to achieve any return.
Even though second mortgages are available on the market to good credit borrowers, foreclosure rates are rising among them, too. Some lenders have even decided to cease purchasing second mortgage and home equity loans.