ABS

Fitch Ratings said today that the recognition of the need for greater transparency of structured finance transactions is a positive direction for the industry.

The Consumer Mortgage Coalition is urging the government-sponsored enterprises' regulator to suspend the conforming loan limits and allow Fannie Mae and Freddie Mac to purchase single-family loans of up to $1 million.

Breakstone Group — the independent investor and corporate communications firm — formed a subsidiary focusing on credit in today’s volatile and complex capital markets.

Over 90% of the European market is trading at distressed levels and senior bonds still rated triple-A sit squarely in this category, said a panelist speaking at the European Securitization Forum/Information Management Network Global ABS conference today.

Refinancing activity declined last week as expected in response to higher mortgage rates.

GMAC LLC plans to sell its first notes guaranteed by the Federal Deposit Insurance Corp., according to a person familiar with the offering.

WASHINGTON — As the Federal Home Loan banks continue to struggle with charges on their mortgage holdings, the Federal Housing Finance Agency is considering the creation of an insurance fund that could absorb losses at a troubled Home Loan bank.

Jumbo fixed and Jumbo ARM mortgages have experienced the largest increase in 60+ day delinquencies on a percent basis in all seven major product types, which include Alt-A fixed, subprime fixed, Alt-A ARM, subprime ARM and option ARM. The delinquency pipelines for these two products have nearly doubled since November, according to the April delinquencies analysis by FTN Financial.

With the June subscription period of the Term ABS Loan Facility’s (TALF) deadline today, several issuers such as auto companies Ford Motor Co. and Nissan Motor Co. have priced their TALF-eligible deals.

The weakening economy and continued credit crunch led to increases in commercial/multifamily mortgage delinquencies during the first quarter of 2009, according to new figures released by the Mortgage Bankers Association. Between the fourth quarter of 2008 and first quarter of 2009, the 30-plus day delinquency rate on loans held in CMBS rose 68 basis points to 1.85%.

A forward looking indicator of existing home sales rose 6.7% in April from the previous month, according to the National Association of Realtors. NAR's Pending Home Sales Index hit 90.3 in April, up from 84.6 in March to notch its third consecutive monthly gain.

The weakening economy and continued credit crunch led to increases in commercial/multifamily mortgage delinquencies during the first quarter of 2009, according to new figures released by the Mortgage Bankers Association. Between the fourth quarter of 2008 and first quarter of 2009, the 30-plus day delinquency rate on loans held in CMBS rose 68 basis points to 1.85%. The 60-plus day delinquency rate on loans held in life insurance company portfolios rose 5 basis points to 0.12%. The 60-plus day delinquency rate on multifamily loans held or insured by Fannie Mae rose 4 bps to 0.34%. According to the MBA, the 90-plus day delinquency rate on multifamily loans held or insured by Freddie Mac rose 8 bps to 0.09%. The 90-plus day delinquency rate on loans held by FDIC-insured banks and thrifts rose 66 bps to 2.28%. "Delinquency rates on commercial and multifamily mortgages held by banks and thrifts, by Fannie Mae and in commercial mortgage-backed securities are all now at levels higher than at any time since the 2001 recession," said Jamie Woodwell, vice president of commercial real estate research at the MBA. Mr. Woodwell added that delinquency rates on commercial mortgages held by life insurance companies during 1Q09 remained below the 2001 recession levels.

A $240 million portfolio of non-performing loans offered for auction by H&R Block has failed to sell, according to participants with knowledge of the deal. At press time, H&R Block's media department had not returned a telephone call about the auction.

HSBC has appointed Oliver Duff as global head of leveraged and acquisition finance, according to an internal document obtained by Bloomberg.

Although the Fed agency MBS purchase program could be considered successful — with mortgage spreads to Treasuries approaching their narrowest levels in this past month and housing affordability reaching record levels— JPMorgan Securities analysts said that there are few borrowers that have actually refinanced into the historically attractive rates that are available.

Nearly nine months after the government seized Fannie Mae and Freddie Mac, lawmakers are poised to take their first steps this week toward determining the future of the government-sponsored enterprises.

GMAC Financial Services — which controls the nation's fifth largest residential servicer — says it's "business as usual" at the company even though one of its owners, General Motors, filed for bankruptcy protection on Monday.

Standard & Poor's lowered its ratings on 247 classes from 195 corporate-backed

Fitch Ratings withdrew the 'CAM2' CDO asset manager rating assigned to Cohen & Co. Financial Management as a manager of CDOs backed by trust preferred securities or TruPS.

Housing Secretary Shaun Donovan is "open to suggestions" on how his department can establish higher FHA loan limits for high-cost submarkets.