Residential Mortgage Backed Securities ( RMBS) Remain Stagnant Since The Financial crisis! Team Thayer Real Estate News
RMBS Market Been Stagnant Since the Crisis? The private-label residential mortgage-backed securities market has remained stagnant since the financial crisis, even though securitization in many asset classes has resumed (including commercial mortgage-backed securities); a new brief from the Urban Institute examines why the RMBS market has not recovered similar to the way other asset classes have, and contains suggestions for precipitating such a recovery. In the brief, titled " The Rebirth of Securitization: Where is the Private-Label Mortgage Market? ," the UI's Director of Housing Finance Policy, Laurie Goodman, noted that the securitization of residential mortgage-loans backed by government agencies such as Fannie Mae and Freddie Mac have been strong while securitization of loans without a government backing has collapsed. While the collapse has not affected high net worth borrowers with perfect credit, since banks compete for these loans, access ...