Rising Delinquencies In U.S. Housing Finance Agency Loan Programs Shouldn't Hurt Bond Ratings Mar 12
- Language: English
- Published: March 2012
- Region: United States
The 'AAA' rating on Hawaii Housing and Community Development Corporation's single-family mortgage purchase revenue bonds reflects: Extremely high asset quality, consisting primarily of Fannie Mae MBS; Reserves sufficient to cover potential credit and liquidity shortfalls; Continued strong cash flow performance; A good investment portfolio; and Strong oversight by management. The indenture's mortgage portfolio at June 30, 2001 consisted of loans guaranteed for full and timely payment by Fannie Mae MBS (92.5%), with the remainder FHA-insured (4%), or conventionally insured (3.5%). Standard & Poor's anticipates a continued strengthening of the indenture's asset base as whole loans pay off and are replaced by MBS purchased with proceeds of new bond issues. The increasing dominance of MBS offsets the mortgage portfolio's vulnerability to...
Companies mentioned in this report are: Hawaii Hsg Comnty Dev Corp
Action: New Rating
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Hawaii Hsg Comnty Dev Corp