PT  - JOURNAL ARTICLE
AU  - William O'neill
TI  - Non-Prime Mortgage Securities
AID  - 10.3905/jsf.2005.598328
DP  - 2005 Oct 31
TA  - The Journal of Structured Finance
PG  - 17--29
VI  - 11
IP  - 3
4099  - https://pm-research.com/content/11/3/17.short
4100  - https://pm-research.com/content/11/3/17.full
AB  - This article provides an overview of the non-prime mortgage industry. Today more Americans than ever enjoy the benefits of homeownership. Low interest rates are clearly a large factor, but the non-prime mortgage industry has played a major role in this expansion of the American dream as well, particularly over the past 5 to 10 years as the industry has successfully extended credit to millions in underserved markets who may have less-than-stellar credit, be self-employed, or have other non-standard characteristics. At the core of this decade of change is loan securitization. While non-prime lending takes extra effort in both origination and servicing, data shows that the result is a high-quality loan pool that benefits borrowers and is profitable for both lenders and investors.