For the second time this month, Specialized Loan Servicing LLC saw its servicer rating upgraded.
Earlier this month, Moody’s Investors Service upgraded the Denver-based company’s second-lien servicer quality rating to SQ3. More time under parent Shinsei Bank Limited since its September 2008 acquisition of Specialized was cited in the upgrade.
Today, Fitch Ratings announced that it upgraded Specialized’s residential primary servicer rating for Alt-A, subprime and home-equity line-of-credit loans to RPS2- from RPS3+.
In addition, Fitch upgraded the firm’s special servicer rating to RSS2- from RSS3+, while its primary specialty servicer rating for second lien product was upgraded to RPS2- from RPS3+.
The highest possible ratings are RPS1+ and RSS1+, and the worst possible ratings are RPS5- and RSS5-.
Fitch highlighted the management team, technology enhancements and other operational improvements. Strong employee retention and the financial stability of its parent were also mentioned.
“Fitch believes that Specialized Portfolio Servicing LLC remains an effective servicer of Alt-A, subprime, closed-end second liens and HELOC products as well as a reliable special servicer,” the news release said.
Specialized’s servicing portfolio was 116,993 loans for more than $9.35 billion as of Sept. 30, Fitch reported. Second liens accounted for 63 percent of the portfolio.