Printer Friendly

PRUDENTIAL HOME MORTGAGE CERTIFICATES 1993-17 RATED 'AAA/AA' BY FITCH -- FITCH FINANCIAL WIRE --

 NEW YORK, April 27 /PRNewswire/ -- The Prudential Home Mortgage Securities Co., Inc.'s (PHMSC) $232.4 million mortgage pass-through certificates, series 1993-17, class A are rated `AAA' by Fitch. The issuer's $623,000 class M certificates are rated `AA'.
 The `AAA' rating on the class A senior certificates reflects the credit enhancement provided by the 0.25 percent subordinate class M certificates and the 6.50 percent unrated subordinate class B certificates. Fitch believes these amounts of credit enhancement will be sufficient to cover credit losses, including limited bankruptcy, fraud, and special hazard losses. The `AA' rating on the class M certificates reflects credit support provided by the 6.50 percent unrated subordinate class B certificates. In addition, both ratings also reflect the high quality of the underlying collateral, integrity of the legal and financial structures, and servicing capabilities of The Prudential Home Mortgage Co., Inc. (PHMC).
 The mortgage pool consists of recently originated, conventional, fixed-rate, five- and seven-year (approximately 20 percent and 80 percent, respectively) balloon payment mortgage loans secured by one- to four-family residential, owner-occupied properties located primarily in Northern and Southern California (24 percent and 54 percent, respectively). Because a refinancing risk exists at maturity for balloon payment mortgage loans, Fitch assumes a higher level of defaults. The weighted average original loan-to-value ratio for the mortgage pool is 70 percent. In addition, the pool contains approximately 29 percent alternative documentation loans and approximately 20 percent cash-out refinance loans.
 The mortgage loans were originated or acquired by PHMC, and in turn sold to PHMSC. PHMSC, a special purpose corporation, deposited the loans in the trust, which issued the certificates. PHMC will act as servicer for the pool. For federal income tax purposes, a real estate mortgage investment conduit election will be made with respect to the trust fund.
 -0- 4/27/93
 /CONTACT: Joanne M. Scatassa, 212-908-0671 or John V. Rosa, 212-908-0526, both of Fitch/


CO: The Prudential Home Mortgage Securities Co., Inc. ST: California IN: SU: RTG

SM -- NY104 -- 1495 04/27/93 14:57 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 27, 1993
Words:339
Previous Article:SUCCESS OF CORPORATE STRATEGIES CITED AT SCHERING-PLOUGH'S ANNUAL MEETING
Next Article:FIRST UNION REDEEMS ITS FLOATING RATE NOTES DUE 1997
Topics:


Related Articles
RESIDENTIAL FUNDING MORTGAGE CERTIFICATES 1992-S9 RATED 'AAA/AA' BY FITCH -- FITCH FINANCIAL WIRE --
RESIDENTIAL FUNDING MORTGAGE CERTIFICATES 1992-S7 RATED 'AAA/AA' BY FITCH -- FITCH FINANCIAL WIRE --
PRUDENTIAL HOME MORTGAGE SECURITIES SERIES 1992-14 CLASS A 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --
PRUDENTIAL HOME MORTGAGE CERTIFICATES 1992-30 RATED 'AA' BY FITCH -- FITCH FINANCIAL WIRE --
PRUDENTIAL HOME MORTGAGE CERTIFICATES 1993-9 RATED 'AAA/AA' BY FITCH -- FITCH FINANCIAL WIRE --
PRUDENTIAL HOME $185.7 MILLION MORTGAGE CERTIFICATES 1993-31 RATED 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --
PRUDENTIAL HOME MORTGAGE CERTIFICATES 1993-49 RATED 'AA' BY FITCH -- FITCH FINANCIAL WIRE --
PRUDENTIAL HOME MORTGAGE CERTIFICATES 1994-8 'AAA/AA' BY FITCH -- FITCH FINANCIAL WIRE --
PRUDENTIAL HOME MORTGAGE CERTIFICATES 1994-18 CLASS A/M 'AAA/AA' BY FITCH -- FITCH FINANCIAL WIRE --
PRUDENTIAL MORTGAGE CERTIFICATES 1995-2 CLASS A,AP/M RATED 'AAA/AA' BY FITCH -- FITCH FINANCIAL WIRE --

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters