Despite some divergence between figures reported by Nationwide's index and Halifax's index for March, the two indices showed that U.K. home prices are stabilizing.

The Nationwide index rose 0.9% while the Halifax index fell 1.9%. Year-over-year changes were negative 15.7% for Nationwide's and negative 17.7% for the Halifax's, even though the two series posted almost equal figures last month. 

Societe Generale analysts said that traditionally there have been slight differences between the indices, since the base of houses used is not the same.

They said that the stabilization in the indices could have a positive impact on loss assumptions within U.K. RMBS models.

"These new figures make current ABS spreads and prices look even more attractive," analysts said. "At the moment, the secondary market only consists of opportunistic funds buying at heavily discounted prices, and former issuers buying back their debt. Bondholders are experiencing increasing stress when holding onto their positions."

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