Initial data from 2003 suggests that the refinancing ramp is shortening to more historical norms. The ramp is reverting back to the nine-month range from roughly 15 months in the past year, concluded a recent Bear Stearns report.

In a previous report released in January, analysts examined the lengthening of the refinancing ramp seen in the 4Q02 prepayment speeds. The change was attributed to the increased processing time related to lenders running at capacity and borrowers postponing refinancing due to expectations of lower future rates.

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