Lenders Say New Standards for Non-Agency MBS Could Hinder Revival of Market
September 25, 2009
Any revival of the non-agency mortgage-backed security market will have to conform with new MBS rating guidelines issued by Standard & Poor’s last week. But lenders warn that the new guidelines are based on onerous assumptions about mortgage performance and point to an uncertain future for the subprime and Alt A markets. S&P said it expects the new criteria will provide more stability for...