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Last week\'s residential mortgage ratings actions
By SAM GARCIA
1/29/2002

Fitch rated classes of Bank of America Mortgage Securities, Inc. (BoAMSI ), series 2002-1 residential mortgage pass-through certificates at 'AAA', reflecting the level of subordination, the quality of the underlying collateral, the capabilities of Bank of America Mortgage, Inc. as servicer (rated 'RPS1-' by Fitch), and Fitch's confidence in the integrity of the legal and financial structure of the transaction. Three groups of fixed rate first liens have weighted average original loan-to-values (WAOLTV) of 65%, 63%, and 58%, with the majority of loans located in California.

Fitch also rated classes of BoAMSI series 2002-A $583.3 million residential mortgage pass-through certificates at 'AAA', reflecting subordination levels, the quality of the underlying collateral, the capabilities of Bank of America, NA as servicer (rated 'RPS1-' by Fitch), and Fitch's confidence in the integrity of the legal and financial structure of the transaction. These first lien adjustable rate mortgages (ARM) provide for a fixed interest rate during an initial five years, then convert to a one-year LIBOR. The WAOLTV is approximately 65.04%, with 69 percent of the loans being located in California.

Classes of Washington Mutual Mortgage Securities Corp. (WaMu) mortgage pass-through certificates, series 2002-S1, were rated at 'AAA' by Fitch, reflecting the level of subordination. Fitch believes the above credit enhancement will be adequate to support mortgagor defaults as well as bankruptcy, fraud and special hazard losses in limited amounts. In addition, the ratings reflect the quality of the mortgage collateral and the strength of the legal and financial structures. Three groups of 15 & 30-year fixed rate 1st liens have an aggregate principal balance of $634,874,065. The WAOLTV's are 67.4%, 67.3%, and 60.7%, and about half the loans are located in California. More than twenty percent of the loans were for cash-out refinances.

Classes of WaMu's mortgage pass-through certificates, series 2002-AR1 were rated at 'AAA' by Fitch, reflecting the similar attributes listed for series 2002-S1. These 30-year ARM's with an aggregate original principal balance of $860,673,825 provide for a fixed rate during the first five years and then adjust annually. The WAOLTV is 65.5%, and more than half of the loans have FICO Scores greater than or equal to 720. Cash-out refinance loans represent 25.24% of the loan pool, and 57 percent of the loans are in California.

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