Two home equity lenders priced massive securitizations recently, adding about $2.5 billion to the rapidly growing asset-backed-securities market.
Last week, Contifinancial Corp., New York, priced Contimortgage Home Equity Loan Trust 1997-5, a $1.66 billion security.
The trust uses a combination of a senior-subordinated structure and a 100% surety wrap credit enhancement. The offering was led by Greenwich Capital Markets Inc.
Monday, United Cos. priced $850 million of home equity pass-through certificates and notes for public sale. The securities are expected to be insured by MBIA Insurance Corp., United said. Prudential Securities Inc. will be lead underwriter.