The RMBS private-label market will continue to be stalled by the still-weakened housing market, according to a Standard & Poor’s report.  The release also warned investors not to mistake a potential flurry of issuance in the coming months with a lasting recovery.  

“We believe there may be hope for modest private-label RMBS activity in the short term, however," S&P analysts said.   "Once the temporarily raised conforming loan limits for high-cost areas fall on Oct. 1, 2011, we expect that there should be some private-label prime Jumbo issuance in subsequent months. We also expect that additional activity should emerge if and when the covered bond legislation is enacted, which might be in 2012.”

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.