Fitch Rates $952.6MM HSI Asset Securitization Corporation Trust 2006-OPT3.

NEW YORK -- Fitch rates HSI Asset Securitization Corporation Trust 2006-OPT3, which closed on April 5, 2006, as follows:

--$762.9 million classes I-A, II-A and III-A-1 to III-A-4 (senior certificates) 'AAA';

--$36.7 million class M-1 'AA+';

--$33.3 million class M-2 'AA+';

--$19.3 million class M-3 'AA+';

--$17.4 million class M-4 'AA';

--$16.4 million class M-5 'AA-';

--$15.5 million class M-6 'A';

--$14.5 million class M-7 'A-';

--$12.6 million class M-8 'BBB+';

--$8.7 million class M-9 'BBB';

--$5.8 million class M-10 'BBB';

--$9.7 million privately offered class M-11 'BB+'.

The 'AAA' rating on the senior certificates reflects the 21.00% total credit enhancement provided by 3.80% class M-1, the 3.45% class M-2, the 2.00% class M-3, the 1.80% class M-4, the 1.70% class M-5, the 1.60% class M-6, the 1.50% class M-7, the 1.30% class M-8, the 0.90% class M-9, the 0.60% class M-10, the 1.00% privately offered class M-11 and the 1.35% initial and target over-collateralization (OC). All certificates have the benefit of monthly excess cash flow to absorb losses. In addition, the ratings reflect the quality of the loans, the integrity of the transaction's legal structure as well as the capabilities of Option One Mortgage Corporation as servicer. Deutsche Bank National Trust Company is the trustee.

The certificates are supported by three collateral groups. Group I Mortgage Loans consists of first lien (93.69%) and second lien (6.31%) fixed-rate and adjustable-rate loans with a cut-off principal balance of $181,473,250 that conforms to Fannie Mae. Approximately 24.99% of the mortgage loans are fixed-rate mortgage loans, 75.01% are adjustable-rate mortgage loans and 7.98% are interest-only rate mortgage loans. The weighted average loan rate is 7.981% and the weighted average remaining term to maturity is 355 months. The average outstanding principal balance of the loans is $117,534, the weighted average original combined loan-to-value ratio (CLTV) of 78.63% and the weighted average credit score is 609. The properties are primarily located in California (12.52%), Florida (9.26%) and Massachusetts (8.10%).

Group II Mortgage Loans consists of first lien fixed-rate and adjustable-rate loans with a cut-off principal balance of $298,961,592 that conforms to Freddie Mac loan limits. Approximately 19.68% of the mortgage loans are fixed-rate mortgage loans, 80.32% are adjustable-rate mortgage loans and 26.43% are interest-only rate mortgage loans. The weighted average loan rate is 7.533% and the weighted average remaining term to maturity is 356 months. The average outstanding principal balance of the loans is $238,216, the weighted average original CLTV of 80.39% and the weighted average credit score is 623. The properties are primarily located in California (26.62%), New York (11.97%) and Florida (11.04%).

Group III Mortgage loans consists of first lien (94.42%) and second lien (5.58%) fixed-rate and adjustable-rate loans with a cut-off principal balance of $506,290,473 that may or may not conform to Fannie Mae and Freddie Mac loan limits. Approximately 20.20% of the mortgage loans are fixed-rate mortgage loans, 79.80% are adjustable-rate mortgage loans and 28.95% are interest-only rate mortgage loans. The weighted average loan rate is 7.953% and the weighted average remaining term to maturity is 356 months. The average outstanding principal balance of the loans is $221,088, the weighted average original CLTV of 84.64% and the weighted average credit score is 630. The properties are primarily located in California (33.43%), New York (10.02%) and Florida (8.61%).

All of the mortgage loans were originated by Option One Mortgage Corporation. Incorporated in 1992, Option One began originating and servicing subprime loans in February 1993. Option One is a subsidiary of Block Financial, which is a subsidiary of H&R Block, Inc. For federal income tax purposes, multiple real estate mortgage investment conduit (REMIC) elections will be made with respect to the trust estate.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.