Recent residential mortgage ratings actions
By SAM GARCIA
6/24/2002

Fitch Ratings published a new study that compared initial structured finance ratings for 6,100 bonds issued in 2001 and rating transition matrices published by each rating agency. Fitch found that 95% of the time the agencies issued equivalent ratings, with variances being only one notch different most of the time.

Classes of series 1996 D-H, 1997 A-I, 1998 A-I, 1999 A-I and 2000 A-E of Idaho Housing & Finance Association's single-family mortgage bonds were affirmed by Fitch. The 'AAA' and 'AA' ratings reflect the credit quality of the trust's collateral, the adequacy of current and projected revenues to pay debt service and the credit enhancement provided by the debt subordination underlying the senior bonds and the debt subordination underlying the mezzanine bonds for each series.

Fitch rated Indiana Housing Finance Authority's single-family mortgage revenue bonds, 2002 series C, and affirmed 1998 series A-D bonds; 1999 series A, X, Y, Z bonds; 2000 series A-D bonds, 2001 series A-C bonds and 2002 series A bonds, along with the 'AAA/F1+' rating on the 2001 series D bonds. The ratings reflect current and projected composition of the single-family mortgage portfolio -- which consists primarily of Ginnie Mae and Fannie Mae guaranteed mortgage certificates; deep levels of mortgage insurance protection on the whole loan portion of the portfolio; high level of overcollateralization that exists within the indenture; and, the program's favorable financial performance.

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