RMBS

The City of Richmond, California began sending letters to mortgage servicers and trustees offering to buy home mortgages at reduced prices or face eminent domain proceedings.

Barclays anticipates that if both Freddie Mac and Fannie Mae sell the risk on all their ongoing issuance, issuance volumes could potentially reach $20 billion to $25 billion per year.

In the first quarter of 2013, rising house prices and relatively low interest rates helped improve the outlook for the riskiest tranches of residential mortgage-backed securities, according to CoreLogic’s bond tracker.

Carrington Mortgage Services has informed Fitch Ratings that RMBS it services will recognize about $300 million in losses on principal forbearance that has yet to be reported as losses

A drop in the haircuts applied to securitizations used for collateral funding from the European Central Bank (ECB) is a positive for the sector, according to analysts at Bank of America Merrill Lynch.

Kroll Bond Rating Agency, Fitch Ratings and Moody’s Investors Service assigned preliminary ratings of ‘AAA’/’AAA’/’Aaa’ respectively to $371.62 million of class A notes to be issued by Redwood Trust.

This latest deal totals $345.05 million and features 20 tranches, inluding exchangeable interest-only certificates.

Upgrades might be in store for some Russian residential mortgage-backed securities (RMBS)