Last week\'s residential mortgage ratings actions
By SAM GARCIA
4/2/2002

Fitch Ratings upgraded First Nationwide Mortgage Corporation's residential master servicer rating to 'RMS2+' from 'RMS2-' based on the company's continued effective performance in managing its $13 billion master servicing portfolio.

Fitch says it rates residential mortgage primary, master, and special servicers on a scale of 1 to 5, with 1 being the highest rating. Within each of these rating levels, Fitch further differentiates ratings by plus (+) and minus (-) as well as the flat rating.

In a cost-cutting move, World Savings parent Golden West Financial Corp. decided to drop Fitch Ratings, according to Dow Jones Newswires. "Why pay for three ratings when you have the two largest ratings agencies," Golden West's CEO Herbert Sandler was quoted as saying.

Fitch upgraded the following series of CWMBS, Inc. (IndyMac) residential mortgage pass-through certificates (RMPTC's) as a result of low delinquencies and losses, as well as increased credit support.

* 1995-A
* 1995-J
* 1995-Q
* 1995-S
* 1995-V

Classes of Residential Accredit Loans Inc. (RALI) series 2002-QS3 RMPTC's were rated by Fitch at 'AAA' by Fitch, reflecting the subordination level, the quality of the mortgage collateral, strength of the legal and financial structures, and Residential Funding Corp.'s servicing capabilities as master servicer. The 2,759 30-year fixed rate loans have an aggregate principal balance of $506,693,125 and a weighted average original LTV of 76.73%. More than a quarter of the loans are in California, loans originated under a reduced loan documentation program account for approximately 46.83% of the pool and cash-out refinances account for 40.89% of the pool.

Classes of the following series of RALI's RMPTC's were placed on Rating Watch Negative by Fitch due to higher than expected credit losses as well as the high level of severely delinquent loans in the pipeline in relation to the applicable credit support levels as of the Feb. 25, 2002 distribution.

* 1999-QS14
* 2000-QS1
* 2000-QS2
* 2000-QS3
* 2000-QS5

Fitch upgraded classes of the following series of RMPTC's as a result of low delinquencies and losses, as well as increased credit support.

* GE Capital Mortgage Services, Inc. REMIC, series 1996-6
* GE Capital Mortgage Services, Inc. REMIC, series 1996-8
* GE Capital Mortgage Services, Inc. REMIC, series 1996-11
* Residential Funding Mortgage Securities I, Inc., series 1996-S4
* Residential Funding Mortgage Securities I, Inc., series 1996-S6
* Residential Funding Mortgage Securities I, Inc., series 1996-S7
* Residential Funding Mortgage Securities I, Inc., series 1996-S15
* Residential Funding Mortgage Securities I, Inc., series 1996-S16
* Structured Asset Securities Corporation, series 1996-1
* Structured Asset Securities Corporation, series 1996-6

Classes of GMACM RMPTC's, series 2002-J2 were rated at 'AAA' to 'BBB' by Fitch, reflecting the level of subordination, the quality of the mortgage collateral and the strength of the legal and financial structures. The 736 first lien, fixed rate loans backing the pool have a weighted average LTV of 70.44%, with nearly a quarter of the properties located in California.

Fitch also rated classes of GMACM RMPTC's, series 2002-J3 at 'AAA' to 'BBB', based on the subordination level, the quality of the mortgage collateral and the strength of the legal and financial structures. The 599 15-year fixed rate loans have an aggregate principal balance of $251 million and a weighted average current LTV of 63%, and about 29% of the loans were for cash-out refinance.

Fitch rated classes of Residential Funding Mortgage Securities I, Inc.'s RMPTC's, Series 2002-S5 at 'AAA', reflecting the level of subordination, quality of the mortgage collateral, strength of the legal and financial structures, and Residential Funding Corp.'s (RFC's) servicing capabilities as master servicer. The weighted average original LTV on the 15-year fixed rate first liens is 59.02%, and more than a third of the loans are located in California.

Classes of Bank of America Mortgage Securities, Inc., series 2002-3 RMPTC's were rated by Fitch at 'AAA' to 'BBB', reflecting the level of subordination, the quality of the underlying collateral, the capabilities of Bank of America Mortgage, Inc. as servicer, and Fitch's confidence in the integrity of the legal and financial structure of the transaction. Three groups of fixed rate have terms ranging from 120 to 360 months, weighted average original LTV's from 60.23% to 67.66%, and weighted average coupons (WAC's) of 6.705% to 6.995%. The majority of properties are located in California.

Standard and Poor's (S&P) affirmed its 'AAA' ratings on 20 classes of the following series of Headlands Mortgage Securities Inc.'s RMPTC's, reflecting the credit enhancement percentages.

* 1997-2
* 1997-3
* 1997-3
* 1998-1
* 1998-2
* 1998-3

Class A of Citicorp Mortgage Securities, Inc.'s (CMSI's) RMPTC's, series 2002-4 was rated at 'AAA' by Fitch, reflecting the level of subordination, the quality of the mortgage collateral, strength of the legal and financial structures, and CitiMortgage, Inc.'s servicing capabilities as primary servicer. The $350 million recently originated 30-year, fixed rate loans have a weighted average original LTV of 67.94% and a WAC of 6.95%.

Fitch also rated the $587.5 million class A of CMSI series 2002-3 RMPTC's, reflecting similar attributes as series 2002-4. The sixed rate loans have a weighted average original LTV of 65.43% and a WAC of 6.88%. Nearly one-fourth of the loans are in California.

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