The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Capital Markets

Rooftop's slimline documents help debut securitization

Bear Stearns's young UK subprime lender has entered the RMBS market using an innovative offering circular that should position it well for future deals.

Deal: Farringdon Mortgages No. 1 FRN due 2037
Size: £125 million
Originator: Rooftop Mortgages Ltd (RML)
Date closed: February 25 2005

Bear Stearns's entry into the highly competitive UK subprime mortgage market has produced its first securitization. The originator, Rooftop Mortgages, is only the second new entrant to UK subprime RMBS since 2002. The deal, Farringdon 1, features a new style of offering circular, designed by Bear Stearns and law firm Norton Rose.

In October 2003, Crown Mortgage Management launched Rooftop, a subprime lender funded by Bear Stearns. Crown is the only independent mortgage servicer in the UK to be rated by Standard & Poor's, Fitch, and Moody's.

Rooftop sources business through 18 mortgage packagers, to whom it supplies technology and training. "Rooftop was set up to meet the needs of a select group of entities, not just flood the packager market," says Richard Downer, senior managing director, mortgage and consumer assets, at Bear Stearns.

Packagers can pre-underwrite loans using software systems to which Rooftop also has real-time access. After valuation, the packager prepares a mortgage offer and sends the underwriting information to Rooftop. If the loan is accepted, the packager can print a mortgage offer.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree