The new FHASecure program, which was first announced in late August, is now being discussed widely in the MBS market.
Countrywide Securities analysts, in their most recent report, talked about the options available for securitizing these loans. One option, they said, would be to securitize these mortgages as part of GNMA II jumbo issuance, with limits on the amount of FHAS loans that is included in these pools. This is similar to the 10% limit on builder buydown loans currently allowed in jumbo pools. The second alternative is to securitize them as custom pools, which would then be quoted and traded separately.