Securitization

Effective immediately, the Federal Housing Administration (FHA) will no longer require two appraisals on higher-balance loans for properties located in declining markets.

Moody’s Investors Service downgraded bond insurer Assured Guaranty Corp. (AGC) one notch to 'Aa3' from 'Aa2' late Thursday, but Assured Guaranty Municipal Corp. (AG Municipal) formerly Financial Security Assurance, retained its 'Aa3' rating.

After much turmoil since the onset of the financial meltdown, Moody's Investors Service believes there may finally be a light at the end of the tunnel for the beleaguered American International Group (AIG).

Fannie Mae completed 56,816 loan modifications during the first nine months of the year with 46% involving mortgages with current loan-to-value ratios greater than 100%.

Fitch Ratings has downgraded 119 bonds in 85 RMBS transactions to 'D,' saying the securities have suffered writedowns on the underlying principal.

Mortgage banking firms are now servicing a record $843 billion in GNMA securities, a 46% spike from a year ago, reflecting the increasing popularity of both the Federal Housing Administration and U.S. Department of Veterans Affairs loan programs.

The Federal Deposit Insurance Corp. (FDIC) yesterday morning issued an interim rule to extend to March 31, 2010 the safe harbor rule related to its treatment as conservator or receiver of financial assets transferred by an insured depository institution in connection with a securitization.

Freddie Mac said the conforming loan limits on the mortgages its purchases from lenders will not change in 2010.

Faced with dwindling reserves at the Federal Housing Administration (FHA), Department of Housing and Urban Development (HUD)Secretary Shaun Donovan said he is "actively looking" at increasing the government mortgage insurance program's premiums and down-payment requirements.

Munich Re published a report where it said that insurance-linked securities are back in business.

Both gross and net agency MBS issuance dropped substantially in October to $86.8 billion and $6.6 billion, respectively, compared to $123 billion and $51 billion in September — and September was the lightest levels for both since February of this year.

National Australia Bank (NAB) said in a statement that it has reorganized its debt capital markets business, combining its securitization, syndication loan and agency teams with the capital markets origination team.

London-based TwentyFour Asset Management and real estate investment investment company Rutley Capital Partners have launched a fund that will invest in the CMBS market.

In the short-term, things might be looking up in the housing industry with the news that foreclosure activity is actually down for the third month in a row, according to the October 2009 U.S. Foreclosure Market Report from RealtyTrac.

Market reports have indicated that the launch of a U.K. structured product association could be ready by yearend.

Mission Capital Advisors made two new hires to the firm's New York office. It hired Jordan Ray as director of sales and training and Michael Britvan as an analyst.

Oaktree Capital Management, the private equity arm of Los Angeles-headquartered alternative investment firm Oaktree Capital Group, launched a lending unit to finance residential real estate developments.

Although GMAC exceeded a Nov. 9 deadline for raising as much as $5.6 billion of additional capital, Moody’s Investors Service analysts believe the firm will obtain additional capital from the U.S. Treasury within the next few weeks.

Moody's Investors Service will be launching monthly updated performance indices for all major

This week the American Securitization Forum (ASF) released for comment the proposed ASF Project RESTART RMBS Trustee Bond-Level Reporting Package.