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Home » Store » Taxable » Servicing Valuations Continue Sinking in Early 2003 as Prepayments Quicken

Servicing Valuations Continue Sinking in Early 2003 as Prepayments Quicken

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Prices for mortgage servicing rights continued to tumble in the first three months of 2003 as prepayment speeds sapped value from potential acquisitions, according to new data from the Office of Thrift Supervision. Although bulk servicing transfer deals have been few and far between, the OTS survey tracks pricing assumptions of key market participants. The key value indicator, the price multiple, is the value of the servicing rights divided by the average servicing fee.
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