How far can lenders push the credit box?

How far can lenders push the credit box?

Watt announcement helps, but risk keeps standards tight

Warren calls for GAO investigation of nonbank servicers

Asks GAO to review “unprecedented” growth of nonbank servicers

Freddie Mac CEO: We will help increase mortgage lending

Competition among two is still competition
W S
The Ticker

Bloomberg: Blackstone rental home bonds have highest LTV

ratings tool
/ Print / Reprints /
| Share More
/ Text Size+

Bloomberg real estate ace Jody Shenn reports that Blackstone’s rental home bonds have the highest Loan-to-Value of any on the market.

Loan to BPO values of 79% in offering, vs. 65% for Silver Bay deal in market, 70% for second Colony American Homes issuance, 75% for first 2014 deal by Blackstone’s Invitation Homes deal, according to ratings firm presale reports.

Issuer indicated principal-only Class G included in structure to comply with European Banking Authority risk-retention regulations, according to Kroll.

“While risk retention can be viewed as a credit positive,” Kroll [reports] “does not believe it mitigates the impact of increased leverage, as the entire loan proceeds will need to be refinanced at maturity.”
 

Source: Bloomberg
Read full story

Recent Articles by Trey Garrison

Comments powered by Disqus