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SAXON MORTGAGE SECURITIES CORP. 1993-8 RATED BY FITCH -- FITCH FINANCIAL WIRE --

 NEW YORK, Aug. 30 /PRNewswire/ -- Saxon Mortgage Securities Corp.'s (SMSC) $185 million mortgage participation securities, series 1993-8 class 1-A and 2-A certificates are rated 'AAA' by Fitch. The $6.0 million class M certificates are rated 'AA'; the $2.5 million class B-1 certificates are rated 'A'; and the $2.0 million class B-2 certificates are rated 'BBB.'
 The 7.5 percent credit support for the 'AAA' class 1-A and 2-A senior certificates reflect subordination of the 3.0 percent class M, 1.25 percent class B-1, 1.00 percent class B-2, and 2.25 percent non- offered class B-3 through B-5 certificates. Credit enhancement for the 'AA' class M is provided by the 1.25 percent class B-1, 1.00 percent class B-2, and 2.25 percent class B-3 through B-5 certificates, while the 1.00 percent class B-2 plus the 2.25 percent class B-3 through B-5 certificates supply 'A' coverage for class B-1. Lastly, class B-2 is rated 'BBB' based on the subordination of the 2.25 percent class B-3 through B-5.
 The subordination amounts, described above, are each divided into two components, pool 1 and 2. Pool 1 mortgage loans (30-year) collateralize the class 1-A certificates as well as the class B subordinate 1 component. The pool 2 mortgage loans (15-year) collateralize the class 2-A certificates as well as the class B subordinate 2 component. The two groups of certificates are cross- collateralized, to the extent that if on any distribution date there are insufficient funds available to distribute to the applicable class 1-A or 2-A senior certificates and the cashflow from the other pool exceeds the amount required for distribution to its own senior certificates, the excess will be applied to make up the deficient amount. In addition, the ratings reflect the strength of the legal and financial structures, and Ryland Mortgage Co.'s servicing capabilities as master servicer.
 Mortgage pools 1 and 2, consist of recently originated, conventional, fully amortizing, fixed-rate, mortgage loans secured by first liens on one- to four-family residential properties. Pool 1 consist of loans with original terms to maturity of 30-years, while pool 2 consist of original terms to maturity of 15-years. Pools 1 and 2 represent approximately, 80 percent and 20 percent, respectively. The weighted average original loan-to-value ratio (LTV) is 75.3 percent for pool 1 and 66.2 percent for pool 2. Limited documentation loans represent approximately 37 percent for pool 1 and 56 percent for pool 2, while cash-out refinance loans represent 29 percent and 24 percent, respectively. Both pools exhibit geographic concentrations in California (48 percent and 26 percent for pools 1 and 2, respectively), and Florida (17 percent and 35 percent for pools 1 and 2, respectively).
 SMSC, a limited purpose corporation, deposited the loans in the trust, which issued the certificates. Ryland will act as master servicer for the pool. The class 1-A, 2-A, and M certificates will constitute mortgage related securities for purposes of SMMEA. The class B-1 and B-2 will not constitute mortgage related securities for purposes of SMMEA. For federal income tax purposes, two separate elections will be made to treat certain assets of the trust or the "regular interests" as a real estate mortgage investment conduit.
 -0- 8/30/93
 /CONTACT: Betty Tan, 212-908-0688, or Jill M. Guido, 212-908-0682, both of Fitch/


CO: Saxon Mortgage Securities Corp. ST: New York IN: FIN SU:

TW -- NY080 -- 7214 08/30/93 16:35 EDT
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Publication:PR Newswire
Date:Aug 30, 1993
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