______________________________________________________________________
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest Event
Reported) November 17, 1997
FINANCIAL ASSET SECURITIES CORP. (as depositor under the
Pooling and Servicing Agreement, dated as of September 1,
1997, providing for the issuance of the New Century Home
Equity Loan Trust, Series 1997-NC5, Asset Backed Pass-
Through Certificates)
FINANCIAL ASSET SECURITIES CORP.
- -----------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 333-29381 06-1442101
- ---------------------------- --------------------------------
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
600 Steamboat Road
Greenwich, Connecticut 06830
- ---------------------------------
(Address of Principal (Zip Code)
Executive Offices)
Registrant's telephone number, including area code (203) 625-2700
----- --------
_____________________________________________________________________
Item 5. Other Events
------------
Description of the Mortgage Pool.*
- --------------------------------
On October 22, 1997 (the "Funding Date"), NEW CENTURY HOME EQUITY LOAN TRUST,
SERIES 1997-NC5, formed pursuant to a pooling and servicing agreement dated
as of September 1, 1997 among the Company, as depositor, New Century
Mortgage Corporation, as seller and master servicer, and First Trust National
Association, as Trustee, purchased additional mortgage loans (the "Subsequent
Mortgage Loans") for inclusion therein. The following information reflects
the resulting characteristics of all Mortgage Loans in the Trust after the
inclusion of the Subsequent Mortgage Loans. All statistics set forth herein
are as of the related Cut-Off Date.
_________________
*Capitalized terms used and not otherwise defined herein shall have the
meanings assigned to them in the Prospectus dated September 9, 1997, and
Prospectus Supplement dated September 19, 1997, of FINANCIAL ASSET SECURITIES
CORP., relating to its New Century Home Equity Loan Trust, Series 1997-NC5,
Asset Backed Pass-Through Certificates.
MORTGAGE LOAN STATISTICS
The Initial Mortgage Loans are expected to consist of 1,909 fixed-rate
Mortgage Loans evidenced by Mortgage Notes secured by Mortgages on Mortgaged
Properties located in 34 states. Additional Mortgage Loans (the "Subsequent
Mortgage Loans") are expected to be acquired by the Trust Fund on or prior to
November 1, 1997. Initial Mortgage Loans representing approximately 94.89%
of the Initial Cut-Off Date Pool Balance are secured by first liens on the
related Mortgaged Properties, and the remainder are secured by second liens
on the related Mortgaged Properties. As of the Initial Cut-Off Date, the
aggregate Cut-Off Date Loan Balances of the Initial Mortgage Loans (the
"Initial Cut-Off Date Pool Balance") totaled approximately $164,989,547.86
after application of scheduled payments due on or before the Cut-Off Date,
whether or not received. The Initial Mortgage Loans bear interest at fixed
Mortgage Rates ranging from approximately 6.80% to 16.65% per annum. The
weighted average Mortgage Rate for the Initial Mortgage Loans was
approximately 9.50% per annum. The lowest Cut-Off Date Loan Balance of any
Initial Mortgage Loan was approximately $9,962 and the highest was
approximately $850,000. The average Cut-Off Date Loan Balance of the Initial
Mortgage Loans was approximately $86,427. The weighted average original term
to stated maturity of the Initial Mortgage Loans was approximately 326
months. The weighted average remaining term to stated maturity of the
Initial Mortgage Loans was approximately 325 months. As of the Initial Cut-
Off Date, the weighted average number of months that have elapsed since
origination of the Mortgage Loans was approximately 1 month. The lowest and
highest Combined Loan-to-Value Ratios of the Initial Mortgage Loans at
origination were approximately 6.67% and 95.25%, respectively. The weighted
average Combined Loan-to-Value Ratio of the Initial Mortgage Loans was
approximately 69.50%. The weighted average Combined Loan-to-Value Ratio of
the Initial Mortgage Loans that are Second Mortgage Loans was approximately
65.26%.
Initial Mortgage Loans representing approximately 13.12% of the Initial
Cut-Off Date Pool Balance are secured by non-owner-occupied (including second
homes) Mortgaged Properties (based solely upon statements made by the related
Mortgagors at the time of origination of the related Mortgage Loans).
Initial Mortgage Loans representing approximately 0.01%, 17.58%, 0.19%
and 81.25% of the Cut-Off Date Pool Balance are fully amortizing Mortgage
Loans having original stated maturities of approximately 10 years, 15 years,
20 years and 30 years, respectively. Initial Mortgage Loans representing
approximately 0.97% of the Initial Cut-Off Date Pool Balance are Balloon
Mortgage Loans that generally provide for scheduled amortization over 30
years from their respective dates of origination and a balloon payment at the
end of the fifteenth year. No Initial Mortgage Loan, including any Balloon
Mortgage Loan, is scheduled to mature later than October 1, 2027.
As of the Delinquency Statistic Date, approximately 1.29% of the Initial
Mortgage Loans were between 30 and 59 days past due, and no Initial Mortgage
Loan was 60 or more days past due.
The Combined Loan-to-Value Ratios of the Mortgage Loans were distributed as
follows (the sum of the percentages in the following table may not equal the
total due to rounding):
NEW CENTURY HOME EQUITY LOAN TRUST 1997-NC5, INITIAL AND SUBSEQUENT TRANSFER
<TABLE>
<CAPTION>
AGGREGATE CUT-OFF
NUMBER OF DATE PRINCIPAL PERCENT OF
COMBINED LOAN TO VALUE RATIO MORTGAGE LOANS BALANCE MORTGAGE POOL
- ---------------------------- -------------- ----------------- -------------
<S> <C> <C> <C>
6.67 - 10.00 2 $ 52,973.21 0.03%
10.01 - 15.00 4 122,345.99 0.07
15.01 - 20.00 13 479,512.83 0.29
20.01 - 25.00 28 956,291.80 0.58
25.01 - 30.00 35 1,592,481.75 0.97
30.01 - 35.00 30 1,305,564.86 0.79
35.01 - 40.00 49 2,620,858.63 1.59
40.01 - 45.00 54 3,835,116.52 2.32
45.01 - 50.00 74 4,603,420.88 2.79
50.01 - 55.00 81 5,956,409.89 3.61
55.01 - 60.00 149 13,882,296.86 8.41
60.01 - 65.00 179 14,610,526.60 8.86
65.01 - 70.00 257 21,690,914.95 13.15
70.01 - 75.00 342 31,783,339.13 19.26
75.01 - 80.00 428 43,628,965.24 26.44
80.01 - 85.00 148 15,338,347.79 9.30
85.01 - 90.00 31 2,360,478.43 1.43
90.01 - 95.00 4 132,166.61 0.08
95.01 - 95.25 1 37,535.89 0.02
- ------------------------------ ----------------- ---------------------- ----------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the weighted average Combined Loan-to-Value Ratio of
the Mortgage Loans was 69.50%.
Mortgage Rates of the Mortgage Loans were distributed as follows (the sum of
the percentages in the following table may not equal the total due to
rounding):
<TABLE>
<CAPTION>
AGGREGATE CUT-OFF
NUMBER OF DATE PRINCIPAL PERCENT OF
MORTGAGE RATES MORTGAGE LOANS BALANCE MORTGAGE POOL
- --------------------------------- ----------------------- ------------------------ ---------------------
<S> <C> <C> <C>
6.8000 - 7.0000% 2 $ 479,600.39 0.29%
7.0001 - 7.5000 25 2,448,427.08 1.48
7.5001 - 8.0000 126 13,390,210.20 8.12
8.0001 - 8.5000 186 20,555,124.98 12.46
8.5001 - 9.0000 378 39,387,340.92 23.87
9.0001 - 9.5000 239 22,738,307.54 13.78
9.5001 - 10.0000 330 26,498,727.35 16.06
10.0001 - 10.5000 163 12,360,804.66 7.49
10.5001 - 11.0000 163 11,772,074.04 7.14
11.0001 - 11.5000 72 3,803,245.14 2.31
11.5001 - 12.0000 82 4,384,060.00 2.66
12.0001 - 12.5000 49 2,351,788.92 1.43
12.5001 - 13.0000 51 3,142,834.46 1.90
13.0001 - 13.5000 19 765,622.23 0.46
13.5001 - 14.0000 9 383,629.03 0.23
14.0001 - 14.5000 9 326,138.80 0.20
14.5001 - 15.0000 2 68,891.00 0.04
15.0001 - 15.5000 2 83,137.13 0.05
16.0001 - 16.5000 1 29,993.86 0.02
16.5001 - 16.6500 1 19,590.13 0.01
- ---------------------------------- -------------------- ------------------------- ------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the weighted average Mortgage Rate of the Mortgage
Loans was 9.50% per annum.
The original terms to maturity of the Mortgage Loans were distributed as
follows (the sum of the percentages in the following table may not equal the
total due to rounding):
<TABLE>
<CAPTION>
AGGREGATE CUT-OFF
ORIGINAL TERM NUMBER OF DATE PRINCIPAL PERCENT OF
TO MATURITY (months) MORTGAGE LOANS BALANCE MORTGAGE POOL
- ------------------------------- -------------------------- ---------------------- ---------------------
<S> <C> <C> <C>
120 1 $ 23,207.76 0.01%
180 526 30,595,148.15 18.54
240 6 313,644.89 0.19
360 1,376 134,057,547.06 81.25
- ------------------------------- -------------------------- ---------------------- ---------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the weighted average original term to maturity of the
Mortgage Loans was 326 months.
The remaining terms to maturity of the Mortgage Loans were distributed as
follows (the sum of the percentages in the following table may equal the
total due to rounding):
<TABLE>
<CAPTION>
AGGREGATE CUT-OFF
REMAINING TERM TO NUMBER OF DATE PRINCIPAL PERCENT OF
MATURITY (months) MORTGAGE LOANS BALANCE MORTGAGE POOL
- ------------------------------ ------------------------- --------------------- -------------------
<S> <C> <C> <C>
116 - 120 1 $ 23,207.76 0.01%
157 - 168 1 23,151.68 0.01
169 - 180 525 30,571,996.47 18.53
229 - 240 6 313,644.89 0.19
337 - 348 2 136,455.58 0.08
349 - 360 1,374 133,921,091.48 81.17
- ------------------------------ ------------------------- --------------------- -------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the weighted average remaining term to maturity of
the Mortgage Loans was 325 months.
The Cut-Off Date Loan Balances of the Mortgage Loans were distributed as
follows (the sum of the percentages in the following table may not equal the
total due to rounding):
<TABLE>
<CAPTION>
NUMBER OF AGGREGATE CUT-OFF
MORTGAGE DATE PRINCIPAL PERCENT OF
CUT-OFF DATE PRINCIPAL BALANCE LOANS BALANCE MORTGAGE POOL
---------------------------------- ------------- -------------------- -----------------
<S> <C> <C> <C>
$ 9,961.62 - 10,000.00 1 $ 9,961.62 0.01%
10,000.01 - 15,000.00 7 96,494.39 0.06
15,000.01 - 20,000.00 50 950,007.68 0.58
20,000.01 - 25,000.00 80 1,862,961.35 1.13
25,000.01 - 30,000.00 59 1,665,848.58 1.01
30,000.01 - 35,000.00 84 2,798,398.68 1.70
35,000.01 - 40,000.00 103 3,893,142.95 2.36
40,000.01 - 45,000.00 92 3,962,012.76 2.40
45,000.01 - 50,000.00 96 4,623,747.21 2.80
50,000.01 - 55,000.00 102 5,384,950.29 3.26
55,000.01 - 60,000.00 106 6,130,730.66 3.72
60,000.01 - 65,000.00 84 5,271,463.81 3.20
65,000.01 - 70,000.00 89 6,057,529.92 3.67
70,000.01 - 75,000.00 79 5,772,543.30 3.50
75,000.01 - 80,000.00 70 5,446,725.08 3.30
80,000.01 - 85,000.00 59 4,886,973.61 2.96
85,000.01 - 90,000.00 80 7,028,974.26 4.26
90,000.01 - 95,000.00 56 5,202,192.46 3.15
95,000.01 - 100,000.00 76 7,457,104.53 4.52
100,000.01 - 105,000.00 61 6,285,719.57 3.81
105,000.01 - 110,000.00 55 5,939,374.33 3.60
110,000.01 - 115,000.00 45 5,069,750.80 3.07
115,000.01 - 120,000.00 44 5,187,647.98 3.14
120,000.01 - 125,000.00 26 3,205,243.79 1.94
125,000.01 - 130,000.00 18 2,302,200.42 1.40
130,000.01 - 135,000.00 17 2,257,435.97 1.37
135,000.01 - 140,000.00 30 4,142,542.07 2.51
140,000.01 - 145,000.00 14 2,005,171.32 1.22
145,000.01 - 150,000.00 17 2,531,662.82 1.53
150,000.01 - 200,000.00 114 19,911,120.33 12.07
200,000.01 - 250,000.00 45 10,026,410.01 6.08
250,000.01 - 300,000.00 22 6,161,782.43 3.73
300,000.01 - 350,000.00 11 3,610,921.54 2.19
350,000.01 - 400,000.00 6 2,237,099.48 1.36
400,000.01 - 450,000.00 5 2,113,882.38 1.28
450,000.01 - 500,000.00 3 1,463,430.61 0.89
550,000.01 - 600,000.00 1 571,388.87 0.35
600,000.01 - 650,000.00 1 615,000.00 0.37
800,000.01 - 850,000.00 1 850,000.00 0.52
- -------------------------------------- --------- ------------------------------ --------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the average Cut-Off Date Loan Balance of the Mortgage
Loans was $86,427.21.
As of the Cut-Off Date, the geographic distribution of the Mortgage Loans was
as follows (the sum of the percentages in the following table may not equal
the total due to rounding):
<TABLE>
<CAPTION>
NUMBER OF AGGREGATE CUT-OFF
MORTGAGE DATE PRINCIPAL PERCENT OF
GEOGRAPHIC DISTRIBUTION LOANS BALANCE MORTGAGE POOL
- --------------------------------- -------------------- ------------------------- -------------------------
<S> <C> <C> <C>
Arizona 147 $ 8,898,016.68 5.39%
California 925 93,337,920.63 56.57
Colorado 60 4,908,427.13 2.97
Delaware 1 80,893.80 0.05
Florida 43 3,792,216.01 2.30
Georgia 4 307,571.53 0.19
Hawaii 54 8,774,987.59 5.32
Idaho 3 319,231.83 0.19
Illinois 107 7,004,655.30 4.25
Indiana 17 744,976.91 0.45
Iowa 3 114,860.04 0.07
Kansas 10 386,603.56 0.23
Kentucky 2 125,915.96 0.08
Louisiana 1 103,944.04 0.06
Maryland 3 266,265.34 0.16
Massachusetts 2 85,238.24 0.05
Minnesota 25 1,753,017.19 1.06
Mississippi 2 58,500.00 0.04
Missouri 35 1,928,933.19 1.17
Montana 4 213,312.78 0.13
Nevada 41 2,941,023.46 1.78
New Jersey 7 452,844.17 0.27
New Mexico 28 2,161,601.11 1.31
North Carolina 4 248,283.12 0.15
Ohio 108 6,495,965.17 3.94
Oklahoma 7 320,531.09 0.19
Oregon 59 5,176,261.95 3.14
Pennsylvania 45 3,225,925.00 1.96
South Carolina 9 614,768.37 0.37
Tennessee 3 105,931.41 0.06
Texas 40 2,692,464.76 1.63
Utah 51 3,550,565.15 2.15
Washington 28 2,275,941.72 1.38
Wisconsin 28 1,417,853.25 0.86
Wyoming 3 104,100.38 0.06
- ---------------------------- ------------------------ ------------------------- ---------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the distribution of the types of Mortgaged Properties
related to the Mortgage Loans was as follows (the sum of the percentages in
the following table may not equal the total due to rounding):
<TABLE>
<CAPTION>
AGGREGATE CUT-OFF
NUMBER OF DATE PRINCIPAL PERCENT OF
MORTGAGE PROPERTY TYPE MORTGAGE LOANS BALANCE MORTGAGE POOL
- ------------------------------ ---------------------- -------------------------- ------------------------
<S> <C> <C> <C>
Single Family 1,653 $142,100,368.81 86.13%
2-4 Units 140 14,602,866.24 8.85
PUD 59 5,116,629.38 3.10
Condominium 53 2,970,146.82 1.80
Manufactured Housing 3 159,607.26 0.10
Mobile Home 1 39,929.35 0.02
- ------------------------------ ---------------------- -------------------------- ------------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the distribution of the occupancy status of the
Mortgaged Properties related to the Mortgage Loans was as follows (the sum of
the percentages in the following table may not equal the total due to
rounding):
<TABLE>
<CAPTION>
NUMBER OF AGGREGATE CUT-OFF
MORTGAGE DATE PRINCIPAL PERCENT OF
OCCUPANCY STATUS LOANS BALANCE MORTGAGE POOL
- -------------------------- ------------------------ ----------------------------- -----------------------
<S> <C> <C> <C>
Owner Occupied 1,611 $142,543,179.86 86.40%
Investor 286 21,414,242.68 12.98
Second Home 12 1,032,125.32 0.63
- ------------------------- ------------------------- ----------------------------- -----------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the distribution of the lien priority of the
Mortgages related to the Mortgage Loans was as follows (the sum of the
percentages in the following table may not equal the total due to rounding):
<TABLE>
<CAPTION>
NUMBER OF AGGREGATE CUT-OFF
MORTGAGE DATE PRINCIPAL PERCENT OF
LIEN PRIORITY LOANS BALANCE MORTGAGE POOL
- ---------------------- --------------------------- ------------------------------- -----------------------
<S> <C> <C> <C>
First Lien 1,714 $156,553,706.52 94.89%
Second Lien 195 8,435,841.34 5.11
- ---------------------- --------------------------- ------------------------------- -----------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the distribution of the months since origination of
the Mortgage Loans was as follows (the sum of the percentages in the
following table may not equal the total due to rounding):
<TABLE>
<CAPTION>
NUMBER OF AGGREGATE CUT-OFF
MONTHS SINCE MORTGAGE DATE PRINCIPAL PERCENT OF
ORIGINATION (Months) LOANS BALANCE MORTGAGE POOL
- -------------------------- ---------------------- ------------------------------- ------------------------
<S> <C> <C> <C>
0 594 $ 54,931,071.00 33.29%
1 721 62,281,405.12 37.75
2 447 37,237,920.11 22.57
3 92 6,238,430.02 3.78
4 27 2,130,267.96 1.29
5 12 1,051,882.86 0.64
6 6 490,228.75 0.30
7 3 132,458.58 0.08
8 2 180,283.93 0.11
10 1 16,601.41 0.01
11 1 139,390.86 0.08
14 1 23,151.68 0.01
15 2 136,455.58 0.08
- --------------------------- ---------------------- -------------------------------- ---------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the weighted average number of months since
origination of the Mortgage Loans was 1 month.
As of the Cut-Off Date, the Mortgage Loans were originated under the
different loan programs as follows (the sum of the percentages in the
following table may not equal the total due to rounding):
<TABLE>
<CAPTION>
NUMBER OF AGGREGATE CUT-OFF
MORTGAGE DATE PRINCIPAL PERCENT OF
LOAN PROGRAMS LOANS BALANCE MORTGAGE POOL
- --------------------------- ------------------------ ---------------------------- -----------------------
<S> <C> <C> <C>
Full Documentation 1,290 $108,607,907.19 65.83%
Limited Documentation 112 11,847,103.51 7.18
Stated Income 507 44,534,537.16 26.99
- --------------------------- ------------------------ ---------------------------- -----------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the Mortgage Loans were rated in the following risk
categories (the sum of the percentages in the following table may not equal
the total due to rounding):
<TABLE>
<CAPTION>
NUMBER OF AGGREGATE CUT-OFF
MORTGAGE DATE PRINCIPAL PERCENT OF
RISK CATEGORIES LOANS BALANCE MORTGAGE POOL
- ------------------------ --------------------------- ---------------------------- ----------------------
<S> <C> <C> <C>
A+ 583 $ 52,157,819.09 31.61%
A+MO 55 4,721,321.06 2.86
A- 682 60,546,385.68 36.70
A-MO 19 1,691,405.08 1.03
B 289 25,145,530.37 15.24
C 144 10,555,872.16 6.40
C- 136 10,122,614.42 6.14
C-HS 1 48,600.00 0.03
- ------------------------ -------------------------- ------------------------------ --------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
As of the Cut-Off Date, the Mortgage Loans were originated for the following
purposes (the sum of the percentages in the following table may not equal the
total due to rounding):
<TABLE>
<CAPTION>
NUMBER OF AGGREGATE CUT-OFF
MORTGAGE DATE PRINCIPAL PERCENT OF
PURPOSE LOANS BALANCE MORTGAGE POOL
- --------------------------- --------------------- -------------------------------- ------------------------
<S> <C> <C> <C>
Cash Out Refinance 1,387 $117,286,881.02 71.09%
Purchase 119 9,449,557.24 5.73
Rate/Term Refinance 403 38,253,109.60 23.19
- --------------------------- --------------------- -------------------------------- ------------------------
TOTAL 1,909 $164,989,547.86 100.00%
</TABLE>
Item 7. Financial Statements, Pro Forma Financial
- ---- -----------------------------------------
Information and Exhibits.
------------------------
(a) Not applicable.
(b) Not applicable.
(c) Exhibits:
None.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.
FINANCIAL ASSET SECURITIES CORP.
By:
------------------------
Peter McMullin
Dated: November 17, 1997
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.
FINANCIAL ASSET SECURITIES CORP.
By: /s/ Peter McMullin
------------------------
Peter McMullin
Dated: November 17, 1997
