Securitization

Even before the government-controlled Ally Financial threw its mortgage division into Chapter 11 bankruptcy protection, rumors were circulating this spring that the “bank” end of the company would exit the warehouse lending arena.

DebtX has launched a new data service that offers analysis and insight regarding the secondary market for Commercial Real Estate (CRE) loans.

The Consumer Financial Protection Bureau (CFPB) Monday afternoon released its Loan Estimator form, which will eventually replace the good faith-estimate disclosure that borrowers receive three days after applying for a mortgage.

Bank of New York Mellon has agreed to settle a class-action lawsuit brought by investors who claimed that the company unwisely invested in a chancy investment fund.

The default rate of securitized private non-guaranteed student loans will be stable but high this year, according to a report released by Moody's Investors Service this morning.

An airport slot-backed ABS that falls under the rubric of a whole-business securitization appears to be approaching the runway. In a pre-sale today, Moody’s Investors Service said it had given a £250 million ($388 million) tranche of the deal a provisional rating of ‘A3,’ well above the ‘B1’ rating assigned to British Airways, which is linked to the payment obligations in the transaction.

Any attempt by municipalities to use their powers of eminent domain to seize and purchase underwater loans out of private-label MBS will face “serious legal challenges” that will take years to litigate, according to a critic of government-backed mortgage programs.

Freddie Mac on Monday said it expects to price this week its ninth so-called K multifamily securities offering for the year.

The U.S. ABS market's post-July 4 issuance is a mix with Wyndham Worldwide Corp. and Sallie Mae joining two auto transactions from Hyundai Motor Co. and World Omni Financial Corp.

While the May prepayment report was all about Home Affordable Refinance Program (HARP) refinances, June was about the rate incentive that credit-eligible borrowers had as mortgage rates began setting successive new lows beginning in May.

Nationstar, in a new Securities and Exchange Commission (SEC) filing, says it is increasing by $125 million its bid on mortgage-related assets that it hopes to buy from the bankrupt Residential Capital Corp.

The holiday-shortened first week of July and third quarter had its own brand of fireworks with more records set on various MBS benchmarks as central bank easing actions in the European Union and China, along with weak economic news, kept the bid on risk aversion.

Three California local governments may use their eminent domain powers to seize mortgages and restructure them to help distressed borrowers stay in their homes — much to the dismay of investors who hold the mortgages.

Today the European Central Bank's (ECB) governing council announced how the mandatory provision of loan-by-loan ABS data will be introduced into the securitization single loan-level data repository known as the European DataWarehouse.

Reading “The Lost Bank: The Story of Washington Mutual — The Biggest Bank Failure in American History,” journalist Kirsten Grind's in-depth investigation into the demise of Washington Mutual, was an emotional experience for me as a former "WaMulian" and a named character in the book. I knew that Kirsten had really done her homework based on how many times she called me with questions as she relentlessly pursued the story, but I never imagined how much truly stunning information she would dig up. I laughed, I cried (at least twice), and I gasped out loud as I read a story I thought I knew so well. Who knew a book about a bank could be such a gripping read? Who knew there was so much more to tell?

Countrywide's VIP program not only benefited numerous members of Congress, but also assisted a handful of Capitol Hill staffers and Department of Housing and Urban Development (HUD) Secretary Alphonso Jackson as the mortgage lender built a large web of political influence prior to the financial crisis, according to a congressional report released Thursday.

Despite first-half CLO volume that bested 2011’s total and put issuance well beyond the midway point of even optimistic projections for this year, CLO market participants remain somewhat cautious about how many more deals the market can absorb in the second half.

Barclays Capital analysts expressed concern about the "slowdown in the current-to-delinquent roll rate improvement" in a report released yesterday.

WASHINGTON — In an effort to squeeze out profits in a low-interest rate environment, banks are under increasing pressure to lower underwriting standards, offer new, potentially dangerous products and ignore operational risk, a federal banking regulator warned Thursday.