S&P: Jumbo Mortgage Issuance Rebounds

Issuance of U.S. prime jumbo mortgages rose again in the third quarter after a "roller coaster-like run" over the past year, according to Standard & Poor's.Issuance hit a peak of $79.3 billion in the fourth quarter of 2005, and then declined in the next two quarters. But issuance increased to $57.3 billion in the third quarter, up $8.6 billion (or 18%) from the second-quarter total, S&P says in a report titled "U.S. Prime Jumbo Issuance Is Back On The Rise." However, issuance is still lower than the levels recorded in 2005 as a result of higher interest rates and slower home price appreciation, the rating agency said. Issuance in the third-quarter of 2006 was off $13.5 billion (or 20%) from that of a year earlier. S&P can be found online at http://www.standardandpoors.com.