Editor: David Reiss
Brooklyn Law School

November 12, 2015

RMBS 3.0 and the Public Good

By David Reiss

The Structured Finance Industry Group has issued RMBS 3.0: A Comprehensive Set of Proposed Industry Standards to Promote Growth in the Private Label Securities Market. RMBS 3.0 is SFIG’s initiative to reinvigorate the “private label” residential mortgage-backed securities (“RMBS”) market: In … Continue reading

November 6, 2015

The End of Private-Label Securities?

By David Reiss

J.P. Morgan’s Securitized Products Weekly has a report, Proposed FRTB Ruling Endangers ABS, CMBS and Non-Agency RMBS Markets. This is one of those technical studies that have a lot of real world relevance to those of us concerned about the … Continue reading

October 29, 2015

Frannie v. Private-Label Smackdown

By David Reiss

S&P posted a report, Historical Data Show That Agency Mortgage Loans Are Likely to Perform Significantly Better Than Comparable Non-Agency Loans. The overview notes, We examined the default frequencies of both agency and non-­agency mortgage loans originated from 1999­-2008. As … Continue reading

September 2, 2015

Expanding the Credit Box

By David Reiss

DBRS has posted U.S. Residential Mortgage Servicing Mid-Year Review and 2015 Outlook. There is a lot of interest in it, including a table that demonstrates how “the underwriting box for prime mortgages slowly keeps getting wider.” (7) The report notes that While most lenders continue … Continue reading

April 20, 2015

Monday’s Adjudication Roundup

By Shea Cunningham

Former Freddie Mac executives, who were accused of lying about Freddie’s exposure to subprime mortgages before the financial crisis, settled with the SEC. Citibank shareholders slam the Bank’s motion to dismiss a case over mortgage-backed securities worth more than $17 … Continue reading

April 15, 2015

Wednesday’s Academic Roundup

By Shea Cunningham

Amidst the Walking Dead: Judicial and Nonjudicial Approaches for Eradicating Zombie Mortgages, by Andrea Clark, Emory Law Journal, Vol. 65, No. 3, Forthcoming. The Paradox of Judicial Foreclosure: Collateral Value Uncertainty and Mortgage Rates, by David Harrison & Michael Seiler, … Continue reading

January 22, 2015

Kroll on Mortgage Performance

By David Reiss

The Kroll Bond Rating Agency has issued an update of its residential mortgage-backed securities model methodology, Residential Mortgage Default and Loss Model. Before the financial crisis, ratings models seemed to be very reliable, data-driven models of probity and caution. We … Continue reading