Subprime Lending

Commentary: Subprime Crunch Not Over Yet 

And there’s the rub: For all the negative press the subprime industry has been getting lately, Impac’s admission of significant losses this past week – along with other residential REITs outside of the subprime sector, including Opteum – signals that the problems within subprime credit may not be entirely confined just to subprime. Last week’s commentary in this space speculated that Alt-A could be the next credit sector to show some weakness, and Impac’s “earnings,â€? along with a warning on servicer stability from Moody’s, suggest that the Alt-A credit sector is seeing increasing volatility as well.