The market for residential mortgage-backed securities is returning to more attractive price levels for issuers, with ME pricing the senior notes of its latest issue at lower margins than those paid by Commonwealth Bank and National Australia Bank earlier in the year.ME's transaction, SMHL Series Securitisation Fund 2016-1, raised A$1.5 billion. The $1.38 billion of A1 notes, which have a weighted average life of 2.7 years, were priced at 118 basis points over the bank bill swap rate.The $46.5 million of A2 notes, which have a WAL of 2.7 years, were priced at 175 bps over swap.The $43.5 million of B notes, which have a WAL of 5.6 years, were priced at 250 bps over swap.The C notes were priced at 315 bps, the D notes at 415 bps and the E notes at 615 bps. They were worth a total of $30 million.The RMBS market got off to a slow start this year and when it did the margins were relatively high. Commonwealth bank paid a margin of 140 bps on the senior notes of its $1.6 billion transaction in March.NAB paid a margin of 127 bps on the senior notes of its $2 billion transaction in June.In August, Bendigo and Adelaide Bank paid a margin of 133 bps on the senior notes of its $700 million transaction.