Prime jumbo RMBS at risk, Fitch says

By Ryan Bolger
01 Dec 2014

Prime jumbo RMBS is at risk of payment disruptions caused by borrower defaults on adjustable rate mortgages originated before the financial crisis, according to Fitch.

About half of all performing mortgages backing US RMBS could be subject to higher monthly principal and interest payments over the next five years due to mortgage rate increases and the expiration of interest-only payment periods, said Fitch in a report on Monday. Borrowers having to ...

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