Moody's is stepping up scrutiny of all prime-jumbo mortgage securities issued in 2006 and 2007

Moody's Says It's Reviewing All 2006, 2007 Jumbo Mortgage Bonds By Jody Shenn Aug. 27 (Bloomberg) -- Moody's Investors Service is stepping up scrutiny of all prime-jumbo mortgage securities issued in 2006 and 2007 as the surge in U.S. foreclosures spreads beyond subprime loans. The ratings firm is studying its rankings on the securities after late payments started ``building more quickly in recent... [more]

Moody's Says It's Reviewing All 2006, 2007 Jumbo Mortgage Bonds By Jody Shenn Aug. 27 (Bloomberg) -- Moody's Investors Service is stepping up scrutiny of all prime-jumbo mortgage securities issued in 2006 and 2007 as the surge in U.S. foreclosures spreads beyond subprime loans. The ratings firm is studying its rankings on the securities after late payments started ``building more quickly in recent months,'' according a statement today from the New York-based company. The bonds aren't all under formal reviews for downgrades, Thomas Lemmon, a spokesman, said. Jumbo loans are too large to be bought or guaranteed by government-chartered Fannie Mae and Freddie Mac, currently $417,000 in most places and up to $729,750 in high-cost areas. http://www.bloomberg.com/apps/news?pid=20601087&sid=aMXaioKYKnus&refer=home This, of course, is no reflection on jumbo prime loans made in Manhattan, which continue to outperform every other asset class known to mankind. [less]