

                                    UNITED STATES
                          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): December 27, 2004
                             (Date of earliest event reported)


                                MORGAN STANLEY ABS CAPITAL I INC.
              (as Depositor under the Pooling and Servicing Agreement, dated as
               July 1, 2004, providing for the issuance of Mortgage Pass-Through
                              Certificates, Series 2004-HE5)
                      (Exact name of registrant as specified in charter)



                                         DELAWARE
                     (State or Other Jurisdiction of Incorporation)

               333-113543-08                        13-3939229
          (Commission File Number)        (I.R.S. Employer Identification No.)


           1585 BROADWAY, 2ND FLOOR
           NEW YORK, NEW YORK                             10036
          (Address of principal executive offices)     (Zip Code)


          Registrant's Telephone Number, Including Area Code:  (212) 761-4000


             (Former name or former address, if changed since last report.)


     Check the appropriate box below if the Form 8-K filing is intended to
     simultaneously satisfy the filing obligation of the registrant under any
     of the following provisions (see General Instruction A.2. below):

     [  ] Written communications pursuant to Rule 425 under the Securities Act
     (17 CFR 230.425)

     [  ] Soliciting material pursuant to Rule 14a-12(b) under the Exchange Act
     (17 CFR 240.14a-12(b))

     [  ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
     Exchange Act (17 CFR 240.14d-2(b))

     [  ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
     Exchange Act (17 CFR 240.13e-4(c))


     Item 8.01 Other Events.

     This current report on Form 8-K relates to the monthly distribution reported to the holders of
     Morgan Stanley ABS Capital I Inc. Mortgage Pass-Through Certificates, Series 2004-HE5, which
     was made on July 1, 2004


     Item 9.01 Financial Statements and Exhibits.

     (c) Exhibits

     Exhibit No. Description

     99.1 Monthly Remittance Statement to the Certificateholders dated as of
     December 27, 2004.


                                  SIGNATURES


    Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly
    caused this report to be signed on behalf of the Registrant by the undersigned thereunto duly
    authorized.



     DEUTSCHE BANK NATIONAL TRUST COMPANY, IN ITS CAPACITY AS TRUSTEE UNDER THE
     POOLING AND SERVICING AGREEMENT ON BEHALF OF MORGAN STANLEY ABS CAPITAL I INC.,
     REGISTRANT



          Date:  Dec 28, 2004               By:  /s/  Katherine M. Wannenmacher
                                            Katherine M. Wannenmacher
                                            Vice President



                                   EXHIBIT INDEX

         DOCUMENT

         99.1 Monthly Remittance Statement to the Certificateholders dated as of
              December 27, 2004.



Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

				External Parties					Table of Contents

												Page
				Seller
									1. Certificate Payment Report					2
				Morgan Stanley
									2. Collection Account Report					4

									3. Credit Enhancement Report					6
									4. Collateral Report					7
				Certificate Insurer(s)					5. Delinquency Report					10

									6. REO Report					13

									7. Foreclosure Report					14
									8. Prepayment Report					15
									9. Prepayment Detail Report					18

									10. Realized Loss Report					24
									11. Realized Loss Detail Report					27
				Servicer(s)
									12. Triggers and Adj. Cert. Report					28
				Chase Manhattan Mortgage
									13. Other Related Information					29
				HomeQ Servicing Corp.

				Countrywide Home Loans Serv


				Underwriter(s)
				Morgan Stanley


									Total Number of Pages					29


				Dates					Contacts

				Cut-Off Date:		July 01, 2004			Eiko Akiyama
				Close Date:		July 27, 2004			Administrator
				First Distribution Date:		August 25, 2004			(714) 247-6328

									Address:
									1761 East St. Andrew Place, Santa Ana, CA 92514
				Distribution Date:		December 27, 2004
									Factor Information:			(800) 735-7777
				Record Date:		November 30, 2004
									Main Phone Number:			(714) 247-6000

						December 24, 2004


									https://www.tss.db.com/invr






Page 1 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Certificate Payment Report
Current Period Distribution - REMIC 2
					Prior											Current
	Class		Original		Principal					Total		Realized		Deferred		Principal

Class	Type	Cur	Face Value		Balance	Interest		Principal		Distribution		Loss		Interest		Balance


					(1)	(2)		(3)		(4)=(2)+(3)		(5)		(6)		(7)=(1)-(3)-(5)+(6)

A-1	FLT	$	545,498,000.00		476,074,259.66	1,064,085.88		22,434,635.53		23,498,721.41		0.00		0.00		453,639,624.13

A-2	FLT	$	125,000,000.00		109,062,544.02	240,481.49		5,846,696.38		6,087,177.87		0.00		0.00		103,215,847.64
A-3	FLT	$	142,000,000.00		117,980,723.86	245,922.72		8,811,532.72		9,057,455.44		0.00		0.00		109,169,191.14
A-4	FLT	$	46,387,000.00		46,387,000.00	108,274.38		0.00		108,274.38		0.00		0.00		46,387,000.00
M-1	MEZ, FLT	$	68,497,000.00		68,497,000.00	165,780.87		0.00		165,780.87		0.00		0.00		68,497,000.00
M-2	MEZ, FLT	$	58,864,000.00		58,864,000.00	173,893.30		0.00		173,893.30		0.00		0.00		58,864,000.00
M-3	MEZ, FLT	$	16,054,000.00		16,054,000.00	49,499.62		0.00		49,499.62		0.00		0.00		16,054,000.00
B-1	MEZ, FLT	$	16,054,000.00		16,054,000.00	55,720.55		0.00		55,720.55		0.00		0.00		16,054,000.00
B-2	MEZ, FLT	$	14,984,000.00		14,984,000.00	53,942.20		0.00		53,942.20		0.00		0.00		14,984,000.00
B-3	MEZ, FLT	$	11,773,000.00		11,773,000.00	60,123.90		0.00		60,123.90		0.00		0.00		11,773,000.00
X	EXE	$	25,151,586.00		25,151,170.77	3,025,313.12		0.00		3,025,313.12		0.00		0.00		25,151,170.77
UT-R	R	$	0.00		0.00	0.00		0.00		0.00		0.00		0.00		0.00
P	SUB	$	0.00		0.00	701,706.69		0.00		701,706.69		0.00		0.00		0.00


Total			1,070,262,586.00		960,881,698.31	5,944,744.72		37,092,864.63		43,037,609.35		0.00		0.00		923,788,833.68





Interest Accrual Detail Current Period Factor Information per $1,000 of Original Face-
								Orig. Principal		Prior							Current

	Period		Period					(with Notional)		Principal						Total	Principal

Class	Starting		Ending		Method	Cusip		Balance		Balance		Interest		Principal		Distribution	Balance

								(1)		(1)		(2)		(3)		(4)=(2)+(3)	(5)
A-1	11/26/04		12/26/04		A-Act/360	61746RHL8		545,498,000.00		872.733282		1.950669		41.126889		43.077557	831.606393
A-2	11/26/04		12/26/04		A-Act/360	61746RHB0		125,000,000.00		872.500352		1.923852		46.773571		48.697423	825.726781
A-3	11/26/04		12/26/04		A-Act/360	61746RHC8		142,000,000.00		830.850168		1.731850		62.053047		63.784897	768.797121
A-4	11/26/04		12/26/04		A-Act/360	61746RHD6		46,387,000.00		1,000.000000		2.334154		0.000000		2.334154	1,000.000000
M-1	11/26/04		12/26/04		A-Act/360	61746RHE4		68,497,000.00		1,000.000000		2.420265		0.000000		2.420265	1,000.000000
M-2	11/26/04		12/26/04		A-Act/360	61746RHF1		58,864,000.00		1,000.000000		2.954154		0.000000		2.954154	1,000.000000
M-3	11/26/04		12/26/04		A-Act/360	61746RHG9		16,054,000.00		1,000.000000		3.083320		0.000000		3.083320	1,000.000000
B-1	11/26/04		12/26/04		A-Act/360	61746RHH7		16,054,000.00		1,000.000000		3.470820		0.000000		3.470820	1,000.000000
B-2	11/26/04		12/26/04		A-Act/360	61746RHJ3		14,984,000.00		1,000.000000		3.599987		0.000000		3.599987	1,000.000000
B-3	11/26/04		12/26/04		A-Act/360	61746RHK0		11,773,000.00		1,000.000000		5.106931		0.000000		5.106931	1,000.000000
X	11/26/04		12/26/04		A-Act/360			25,151,586.00		999.983491		120.283195		0.000000		120.283195	999.983491
UT-R	11/25/04		12/24/04		A-30/360			0.00		0.000000		0.000000		0.000000		0.000000	0.000000
P	11/25/04		12/24/04		A-30/360			0.00		0.000000		0.000000		0.000000		0.000000	0.000000




Page 2 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

Distribution to Date - REMIC 2
																Current


	Original				Unscheduled	Scheduled		Total		Total		Realized		Deferred		Principal

Class	Face Value		Interest		Principal	Principal		Principal		Distribution		Loss		Interest		Balance
	(1)		(2)		(3)	(4)		(5)=(3)+(4)		(6)=(2)+(5)		(7)		(8)		(9)=(1)-(5)-(7)+(8)
A-1	545,498,000.00		4,830,007.75		89,186,441.42	2,671,934.45		91,858,375.87		96,688,383.62		0.00		0.00		453,639,624.13
A-2	125,000,000.00		1,085,763.19		21,144,843.16	639,309.20		21,784,152.36		22,869,915.55		0.00		0.00		103,215,847.64
A-3	142,000,000.00		1,127,635.64		31,867,308.52	963,500.34		32,830,808.86		33,958,444.50		0.00		0.00		109,169,191.14
A-4	46,387,000.00		460,512.77		0.00	0.00		0.00		460,512.77		0.00		0.00		46,387,000.00
M-1	68,497,000.00		709,123.81		0.00	0.00		0.00		709,123.81		0.00		0.00		68,497,000.00
M-2	58,864,000.00		764,503.61		0.00	0.00		0.00		764,503.61		0.00		0.00		58,864,000.00
M-3	16,054,000.00		218,737.77		0.00	0.00		0.00		218,737.77		0.00		0.00		16,054,000.00
B-1	16,054,000.00		249,441.05		0.00	0.00		0.00		249,441.05		0.00		0.00		16,054,000.00
B-2	14,984,000.00		242,368.07		0.00	0.00		0.00		242,368.07		0.00		0.00		14,984,000.00
B-3	11,773,000.00		277,991.44		0.00	0.00		0.00		277,991.44		0.00		0.00		11,773,000.00
X	25,151,586.00		17,939,170.05		397.72	17.51		415.23		17,939,585.28		0.00		0.00		25,151,170.77
UT-R	0.00		0.00		0.00	0.00		0.00		0.00		0.00		0.00		0.00
P	0.00		2,482,751.00		0.00	0.00		0.00		2,482,751.00		0.00		0.00		0.00


Total	1,070,262,586.00		30,388,006.15		142,198,990.82	4,274,761.50		146,473,752.32		176,861,758.47		0.00		0.00		923,788,833.68


Interest Detail - REMIC 2
	Pass		Prior Principal			Non-		Prior		Unscheduled				Paid or		Current


	Through		(with Notional)		Accrued	Supported		Unpaid		Interest		Optimal		Deferred		Unpaid

Class	Rate		Balance		Interest	Interest SF		Interest		Adjustment		Interest		Interest		Interest
					(1)	(2)		(3)		(4)		(5)=(1)-(2)+(3)+(4)		(6)		(7)=(5)-(6)
A-1	2.59563%		476,074,259.66		1,064,085.88	0.00		0.00		0.00		1,064,085.88		1,064,085.88		0.00
A-2	2.56063%		109,062,544.02		240,481.49	0.00		0.00		0.00		240,481.49		240,481.49		0.00
A-3	2.42063%		117,980,723.86		245,922.72	0.00		0.00		0.00		245,922.72		245,922.72		0.00
A-4	2.71063%		46,387,000.00		108,274.38	0.00		0.00		0.00		108,274.38		108,274.38		0.00
M-1	2.81063%		68,497,000.00		165,780.87	0.00		0.00		0.00		165,780.87		165,780.87		0.00
M-2	3.43063%		58,864,000.00		173,893.30	0.00		0.00		0.00		173,893.30		173,893.30		0.00
M-3	3.58063%		16,054,000.00		49,499.62	0.00		0.00		0.00		49,499.62		49,499.62		0.00
B-1	4.03063%		16,054,000.00		55,720.55	0.00		0.00		0.00		55,720.55		55,720.55		0.00
B-2	4.18063%		14,984,000.00		53,942.20	0.00		0.00		0.00		53,942.20		53,942.20		0.00
B-3	5.93063%		11,773,000.00		60,123.90	0.00		0.00		0.00		60,123.90		60,123.90		0.00
X	139.68602%		25,151,170.77		0.00	0.00		0.00		0.00		0.00		3,025,313.12		0.00
UT-R	0.00000%		0.00		0.00	0.00		0.00		0.00		0.00		0.00		0.00
P	0.00000%		0.00		0.00	0.00		0.00		0.00		0.00		701,706.69		0.00


Total			960,881,698.31		2,217,724.91	0.00		0.00		0.00		2,217,724.91		5,944,744.72		0.00



Page 3 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Collection Account Report
SUMMARY

									Group 2		Group 1		Total
Principal Collections									14,657,944.06		22,434,199.28		37,092,143.34
Principal Withrawals									0.00		0.00		0.00
Principal Other Accounts									0.00		0.00		0.00
TOTAL NET PRINCIPAL									14,657,944.06		22,434,199.28		37,092,143.34
Interest Collections									1,932,384.91		3,347,075.36		5,279,460.27
Interest Withdrawals									-0.00		-0.00		-0.00
Interest Other Accounts									0.00		0.00		701,706.69
Interest Fees									-17,395.14		-18,305.81		-35,700.95
TOTAL NET INTEREST									1,914,989.77		3,328,769.55		5,945,466.01
TOTAL AVAILABLE FUNDS FOR DISTRIBUTION									16,572,933.83		25,762,968.83		43,037,609.35



PRINCIPAL - COLLECTIONS

										Group 2		Group 1		Total
Scheduled Principal Received										294,805.73		520,141.45		814,947.18
Prepayments In Full										14,226,675.87		21,859,625.85		36,086,301.72
Curtailments										12,492.15		54,431.98		66,924.13
Liquidations										124,691.60		0.00		124,691.60
Insurance Principal										0.00		0.00		0.00
Repurchased Principal Amounts										0.00		0.00		0.00
Other Principal										0.00		0.00		0.00
Total Realized Loss Of Principal										-721.29		-0.00		-721.29
Delinquent Principal										-271,775.51		-504,297.26		-776,072.77
Advanced Principal										271,775.51		504,297.26		776,072.77
TOTAL PRINCIPAL COLLECTED										14,657,944.06		22,434,199.28		37,092,143.34


PRINCIPAL - WITHDRAWALS

SPACE INTENTIONALLY LEFT BLANK



PRINCIPAL - OTHER ACCOUNTS

									Group 2		Group 1		Total
Closing Deposit									0.00		0.00		0.00
TOTAL OTHER ACCOUNTS PRINCIPAL									0.00		0.00		0.00





Page 4 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

INTEREST - COLLECTIONS

									Group 2		Group 1		Total
Scheduled Interest									2,061,596.46		3,585,207.62		5,646,804.08
Liquidation Interest									685.70		0.00		685.70
Repurchased Interest									0.00		0.00		0.00
Insurance Interest									0.00		0.00		0.00
Other Interest									0.00		0.00		0.00
Relief Act Interest Shortfalls									-0.00		-0.00		-0.00
Prepayment Interest Shortfalls									-16,031.72		-24,075.75		-40,107.47
Compensating Interest									16,031.72		24,075.75		40,107.47
Delinquent Interest									-1,832,292.97		-3,353,998.98		-5,186,291.94
Interest Advanced									1,702,395.72		3,115,866.72		4,818,262.44
TOTAL INTEREST COLLECTED									1,932,384.91		3,347,075.36		5,279,460.27


INTEREST - WITHDRAWALS

									Group 2		Group 1		Total
Nonrecoverable Advances									0.00		0.00		0.00
TOTAL INTEREST WITHDRAWALS									0.00		0.00		0.00



INTEREST - OTHER ACCOUNTS

									Group 2		Group 1		Total
Prepayment Charges													701,706.69
TOTAL INTEREST OTHER ACCOUNTS									0.00		0.00		701,706.69



INTEREST - FEES

									Group 2		Group 1		Total
Current Servicing Fees									6,973.56		25,364.31		32,337.86
Current Trustee Fees									914.55		2,448.54		3,363.09
TOTAL INTEREST OTHER FEES									17,395.14		18,305.81		35,700.95




Page 5 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Credit Enhancement Report
ACCOUNTS

SPACE INTENTIONALLY LEFT BLANK



INSURANCE

SPACE INTENTIONALLY LEFT BLANK



STRUCTURAL FEATURES

									Group 2		Group 1		Total
Overcollateralization Amount													25,150,449.48
Overcollateralization Target Amount													25,151,170.77
Overcollateralization Deficiency Amount													721.29
Overcollateralization Release Amount													0.00




Page 6 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Collateral Report


COLLATERAL



										Group 2		Group 1		Total



*Loan Count:*


Original									2,039		4,455		6,494
Prior									1,867		4,080		5,947
Prefunding									0		0		0
Scheduled Paid Offs									-0		-0		-0
Full Voluntary Prepayments									-56		-137		-193
Repurchases									-0		-0		-0
Liquidations									-1		-0		-1
Current									1,810		3,943		5,753
*Principal Balance:*


Original									390,487,849.78		679,745,679.88		1,070,233,529.66
Prior									350,557,065.96		610,324,632.35		960,881,698.31
Prefunding									0.00		0.00		0.00
Scheduled Principal									-294,805.73		-520,141.45		-814,947.18
Partial Prepayments									-12,492.15		-54,431.98		-66,924.13
Full Voluntary Prepayments									#######		-21,859,625.85		-36,086,301.72
Repurchases									-0.00		-0.00		-0.00
Liquidations									-124,691.60		-0.00		-124,691.60
Current									335,898,400.61		587,890,433.07		923,788,833.68





PREFUNDING

SPACE INTENTIONALLY LEFT BLANK






Page 7 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

CHARACTERISTICS

									Group 2		Group 1		Total
Weighted Average Coupon Original									7.08596%		7.06740%		7.07417%
Weighted Average Coupon Prior									7.06865%		7.05320%		7.05883%
Weighted Average Coupon Current									7.05945%		7.04912%		7.05288%
Weighted Average Months to Maturity Original									348		348		348
Weighted Average Months to Maturity Prior									345		345		345
Weighted Average Months to Maturity Current									344		344		344
Weighted Avg Remaining Amortization Term Original									348		348		348
Weighted Avg Remaining Amortization Term Prior									345		345		345
Weighted Avg Remaining Amortization Term Current									344		344		344
Weighted Average Seasoning Original									4.91		4.38		4.57
Weighted Average Seasoning Prior									7.89		7.38		7.57
Weighted Average Seasoning Current									8.89		8.37		8.56









Page 8 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

ARM CHARACTERISTICS

									Group 2		Group 1		Total
Weighted Average Margin Original									5.77097%		5.58643%		5.65228%
Weighted Average Margin Prior									5.76540%		5.57756%		5.64440%
Weighted Average Margin Current									5.75798%		5.58138%		5.64442%
Weighted Average Max Rate Original									14.06458%		13.99558%		14.02020%
Weighted Average Max Rate Prior									14.05225%		13.98226%		14.00717%
Weighted Average Max Rate Current									14.04637%		13.97590%		14.00105%
Weighted Average Min Rate Original									7.05798%		6.99518%		7.01759%
Weighted Average Min Rate Prior									7.04664%		6.98179%		7.00487%
Weighted Average Min Rate Current									7.04052%		6.97535%		6.99861%
Weighted Average Cap Up Original									1.52662%		1.51151%		1.51691%
Weighted Average Cap Up Prior									1.52285%		1.51174%		1.51569%
Weighted Average Cap Up Current									1.52410%		1.51092%		1.51563%
Weighted Average Cap Down Original									1.52662%		1.51151%		1.51691%
Weighted Average Cap Down Prior									1.52285%		1.51174%		1.51569%
Weighted Average Cap Down Current									1.52410%		1.51092%		1.51563%




SERVICING FEES & ADVANCES

										Group 2		Group 1		Total




Current Servicing Fees									6,973.56		25,364.31		32,337.86
Delinquent Servicing Fees									129,897.25		238,132.26		368,029.51
TOTAL SERVICING FEES									146,065.45		254,301.94		400,367.39


Compensating Interest									-16,031.72		-24,075.75		-40,107.47
Delinquent Servicing Fees									-129,897.25		-238,132.26		-368,029.51
COLLECTED SERVICING FEES									52,884.96		-7,906.07		-7,769.58


Aggregate Advances with respect to this Distribution									1,362,436.36		2,591,885.37		3,954,321.72





ADDITIONAL COLLATERAL INFORMATION
									Group 2		Group 1		Total
Net Prepayment Interest Shortfall									0.00		0.00		0.00
Libor For Current Period													2.1806%




Page 9 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Delinquency Report

	TOTAL
					< 1 PAYMENT	1 PAYMENT		2 PAYMENTS		3+ PAYMENTS		TOTAL
	DELINQUENT		Balance			18,714,272.21		6,061,893.66		83,082,178.28		107,858,344.15
			% Balance			2.03%		0.66%		8.99%		11.68%
			# Loans			125		42		547		714
			% # Loans			2.17%		0.73%		9.51%		12.41%
	FORECLOSURE		Balance		169,651.36	0.00		892,668.60		2,095,461.94		3,157,781.90
			% Balance		0.02%	0.00%		0.10%		0.23%		0.34%
			# Loans		1	0		6		14		21
			% # Loans		0.02%	0.00%		0.10%		0.24%		0.37%
	BANKRUPTCY		Balance		457,601.46	135,673.29		449,179.02		59,823.41		1,102,277.18
			% Balance		0.05%	0.01%		0.05%		0.01%		0.12%
			# Loans		3	1		2		1		7
			% # Loans		0.05%	0.02%		0.03%		0.02%		0.12%
	REO		Balance		0.00	0.00		0.00		0.00		0.00
			% Balance		0.00%	0.00%		0.00%		0.00%		0.00%
			# Loans		0	0		0		0		0
			% # Loans		0.00%	0.00%		0.00%		0.00%		0.00%
	TOTAL		Balance		627,252.82	18,849,945.50		7,403,741.28		85,237,463.63		112,118,403.23
			% Balance		0.07%	2.04%		0.80%		9.23%		12.14%
			# Loans		4	126		50		562		742
			% # Loans		0.07%	2.19%		0.87%		9.77%		12.90%









Page 10 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution


	GROUP 1
					< 1 PAYMENT	1 PAYMENT		2 PAYMENTS		3+ PAYMENTS		TOTAL
	DELINQUENT		Balance			12,838,487.56		4,147,828.25		64,571,401.73		81,557,717.54
			% Balance			2.18%		0.71%		10.98%		13.87%
			# Loans			92		29		457		578
			% # Loans			2.33%		0.74%		11.59%		14.66%
	FORECLOSURE		Balance		0.00	0.00		390,781.50		1,214,785.48		1,605,566.98
			% Balance		0.00%	0.00%		0.07%		0.21%		0.27%
			# Loans		0	0		2		8		10
			% # Loans		0.00%	0.00%		0.05%		0.20%		0.25%
	BANKRUPTCY		Balance		322,403.85	0.00		97,282.81		0.00		419,686.66
			% Balance		0.05%	0.00%		0.02%		0.00%		0.07%
			# Loans		2	0		1		0		3
			% # Loans		0.05%	0.00%		0.03%		0.00%		0.08%
	REO		Balance		0.00	0.00		0.00		0.00		0.00
			% Balance		0.00%	0.00%		0.00%		0.00%		0.00%
			# Loans		0	0		0		0		0
			% # Loans		0.00%	0.00%		0.00%		0.00%		0.00%
	TOTAL		Balance		322,403.85	12,838,487.56		4,635,892.56		65,786,187.21		83,582,971.18
			% Balance		0.05%	2.18%		0.79%		11.19%		14.22%
			# Loans		2	92		32		465		591
			% # Loans		0.05%	2.33%		0.81%		11.79%		14.99%










Page 11 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

	GROUP 2
					< 1 PAYMENT	1 PAYMENT		2 PAYMENTS		3+ PAYMENTS		TOTAL
	DELINQUENT		Balance			5,875,784.65		1,914,065.41		18,510,776.55		26,300,626.61
			% Balance			1.75%		0.57%		5.51%		7.83%
			# Loans			33		13		90		136
			% # Loans			1.82%		0.72%		4.97%		7.51%
	FORECLOSURE		Balance		169,651.36	0.00		501,887.10		880,676.46		1,552,214.92
			% Balance		0.05%	0.00%		0.15%		0.26%		0.46%
			# Loans		1	0		4		6		11
			% # Loans		0.06%	0.00%		0.22%		0.33%		0.61%
	BANKRUPTCY		Balance		135,197.61	135,673.29		351,896.21		59,823.41		682,590.52
			% Balance		0.04%	0.04%		0.10%		0.02%		0.20%
			# Loans		1	1		1		1		4
			% # Loans		0.06%	0.06%		0.06%		0.06%		0.22%
	REO		Balance		0.00	0.00		0.00		0.00		0.00
			% Balance		0.00%	0.00%		0.00%		0.00%		0.00%
			# Loans		0	0		0		0		0
			% # Loans		0.00%	0.00%		0.00%		0.00%		0.00%
	TOTAL		Balance		304,848.97	6,011,457.94		2,767,848.72		19,451,276.42		28,535,432.05
			% Balance		0.09%	1.79%		0.82%		5.79%		8.50%
			# Loans		2	34		18		97		151
			% # Loans		0.11%	1.88%		0.99%		5.36%		8.34%









Page 12 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
REO Report
Loan Number			Original		Stated			Current		State &

													First
&			Principal		Principal	Paid to		Note		LTV at		Original		Payment

Loan Group			Balance		Balance	Date		Rate		Origination		Term		Date
SPACE INTENTIONALLY LEFT BLANK




TOTAL



Page 13 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Foreclosure Report
Loan Number			Original		Stated			Current		State &

													First
&			Principal		Principal	Paid to		Note		LTV at		Original		Payment

Loan Group			Balance		Balance	Date		Rate		Origination		Term		Date
1174164 1
			144,000.00		142,832.39	01-Jul-2004		8.150%		NC - 80.00%		360		01-Jan-2004

312017600 1			132,000.00		130,992.37	01-Jul-2004		7.999%		FL - 80.00%		360		01-Feb-2004
401094316 1			156,000.00		154,411.58	01-Aug-2004		6.000%		CA - 80.00%		360		01-Mar-2004
401202336 1			193,500.00		192,226.06	01-May-2004		7.700%		WA - 90.00%		360		01-Apr-2004
401213463 1			238,000.00		236,369.92	01-Aug-2004		7.500%		IL - 85.00%		360		01-Apr-2004
401279069 1			131,325.00		130,658.28	01-May-2004		8.990%		OH - 85.00%		360		01-Apr-2004
401281428 1			160,000.00		158,789.37	01-Jul-2004		6.990%		TX - 80.00%		360		01-Apr-2004
402035423 1			119,200.00		118,383.58	01-Jun-2004		7.500%		LA - 80.00%		360		01-Apr-2004
402046578 1			203,580.00		202,185.64	01-Jun-2004		7.500%		PA - 80.00%		360		01-Apr-2004
402102211 1			140,000.00		138,717.79	01-Jun-2004		5.990%		CA - 80.00%		360		01-Apr-2004
308068547 2			106,250.00		105,211.15	01-Jun-2004		7.625%		PA - 85.00%		360		01-Dec-2003
312128227 2			71,400.00		70,931.23	01-Aug-2004		8.750%		OK - 85.00%		360		01-Feb-2004
312170941 2			152,000.00		150,365.87	01-Aug-2004		6.250%		CA - 80.00%		360		01-Feb-2004
401137001 2			234,552.12		232,777.37	01-Jul-2004		6.990%		CO - 80.00%		360		01-Apr-2004
401137006 2			68,000.00		67,486.28	01-Apr-2004		6.999%		IN - 80.00%		360		01-Apr-2004
401225060 2			266,400.00		264,682.52	01-Jul-2004		7.990%		MA - 80.00%		360		01-Apr-2004
401225447 2			171,200.00		169,651.36	01-Nov-2004		6.625%		RI - 80.00%		360		01-Mar-2004
401237291 2			241,600.00		239,972.36	01-Aug-2004		7.750%		NV - 80.00%		360		01-Apr-2004
402058260 2			40,912.00		40,617.64	01-Aug-2004		7.250%		FL - 80.00%		360		01-Apr-2004
402124654 2			108,000.00		107,164.38	01-May-2004		6.875%		FL - 80.00%		360		01-Apr-2004
402177240 2			104,000.00		103,354.76	01-Jun-2004		7.999%		OK - 80.00%		360		01-Apr-2004
402177258 2			448,000.00		0.00	01-Dec-2004		7.990%		SC - 80.00%		360		01-Apr-2004


TOTAL			3,629,919.12		3,157,781.90



Page 14 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Prepayment Report

VOLUNTARY PREPAYMENTS


										Group 2		Group 1		Total




*Current*


Number of Paid in Full Loans									56		137		193
Number of Repurchased Loans									0		0		0
Total Number of Loans Prepaid in Full									56		137		193
Curtailments Amount									12,492.15		54,431.98		66,924.13
Paid in Full Balance									14,226,675.87		21,859,625.85		36,086,301.72
Repurchased Loans Balance									0.00		0.00		0.00
Total Prepayment Amount									14,239,168.02		21,914,057.83		36,153,225.85

*Cumulative*


Number of Paid in Full Loans									228		511		739
Number of Repurchased Loans									0		0		0
Total Number of Loans Prepaid in Full									228		511		739
Paid in Full Balance									52,822,965.26		88,744,766.21		141,567,731.47
Repurchased Loans Balance									0.00		0.00		0.00
Curtailments Amount									93,673.30		249,540.22		343,213.52
Total Prepayment Amount									52,916,638.56		88,994,306.43		141,910,944.99










Page 15 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

VOLUNTARY PREPAYMENTS RATES


										Group 2		Group 1		Total



SMM									4.10%		3.59%		3.78%
3 Months Avg SMM									3.33%		3.35%		3.34%
12 Months Avg SMM									2.89%		2.78%		2.82%
Avg SMM Since Cut-off									2.89%		2.78%		2.82%


CPR									39.50%		35.54%		37.01%
3 Months Avg CPR									33.42%		33.54%		33.49%
12 Months Avg CPR									29.63%		28.70%		29.04%
Avg CPR Since Cut-off									29.63%		28.70%		29.04%


PSA									2,221.09%		2,122.16%		2,161.35%
3 Months Avg PSA Approximation									2,116.54%		2,273.17%		2,213.64%
12 Months Avg PSA Approximation									2,147.04%		2,250.16%		2,210.85%
Avg PSA Since Cut-off Approximation									2,147.04%		2,250.16%		2,210.85%










Page 16 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution






PREPAYMENT CALCULATION METHODOLOGY

	Single Monthly Mortality (SMM): (Voluntary partial and full prepayments + Repurchases + Liquidations )/(Beg Principal Balance - Sched Principal)

	Conditional Prepayment Rate (CPR): 1-((1-SMM)^12)
	PSA Standard Prepayment Model: CPR/(0.002*min(30,WAS))

	Average SMM over period between nth month and mth month (AvgSMMn,m): [(1-SMMn)(1-SMMn+1)...*(1-SMMm)]^(1/months in period n,m)
	Average CPR over period between the nth month and mth month (AvgCPRn,m): 1-((1-AvgSMMn,m)^12)

	Average PSA Approximation over period between the nth month and mth month: AvgCPRn,m/(0.002*Avg WASn,m))
	Average WASn,m: (min(30,WASn)+min(30,WASn+1)+...+min(30,WASm)/(number of months in the period n,m)

	Weighted Average Seasoning (WAS)

	Note: Prepayment rates are calculated since deal issue date and include partial and full voluntary prepayments, liquidations, and repurchases.
	Dates correspond to distribution dates.




Page 17 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Prepayment Detail Report
Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original						Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment		Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount		Date		Rate		Origination		Original Term		Date

1264432 1			47,980.00		46,782.08		01-Dec-2004		9.600%		CA - 20.00%		Paid Off - 240		02/01/2004

1265816 1			39,600.00		39,199.51		01-Dec-2004		10.550%		CA - 20.00%		Paid Off - 240		04/01/2004
1271899 1			35,000.00		34,510.95		07-Dec-2004		8.950%		AZ - 19.89%		Paid Off - 240		03/01/2004
1277109 1			81,000.00		79,269.90		13-Dec-2004		7.600%		CA - 65.85%		Paid Off - 180		05/01/2004
1280850 1			36,000.00		35,496.94		03-Dec-2004		8.950%		NV - 20.00%		Paid Off - 240		03/01/2004
1283369 1			20,900.00		20,613.73		30-Nov-2004		9.200%		ID - 22.00%		Paid Off - 240		03/01/2004
1285833 1			50,800.00		49,639.08		01-Dec-2004		9.800%		CA - 20.00%		Paid Off - 180		03/01/2004
1290055 2			97,000.00		94,724.02		01-Dec-2004		9.500%		CA - 20.00%		Paid Off - 180		03/01/2004
1293188 1			63,000.00		62,226.94		15-Dec-2004		9.990%		CA - 20.00%		Paid Off - 240		03/01/2004
1294577 2			499,500.00		496,162.02		26-Nov-2004		6.300%		NJ - 74.00%		Paid Off - 360		05/01/2004
1297527 1			36,000.00		35,544.67		15-Nov-2004		9.750%		CA - 20.00%		Paid Off - 240		03/01/2004
1298927 1			51,271.00		51,070.67		10-Dec-2004		10.250%		CA - 20.00%		Paid Off - 360		03/01/2004
1299069 1			133,000.00		132,514.31		18-Nov-2004		9.990%		MI - 70.00%		Paid Off - 360		04/01/2004
1301684 2			168,000.00		167,311.93		18-Nov-2004		9.300%		RI - 76.36%		Paid Off - 360		05/01/2004
1302875 1			34,800.00		34,424.03		29-Nov-2004		10.990%		CA - 20.00%		Paid Off - 240		03/01/2004
1304607 1			118,750.00		118,739.30		03-Dec-2004		5.900%		UT - 95.00%		Paid Off - 360		05/01/2004
1308070 1			40,000.00		39,457.08		03-Dec-2004		9.200%		CA - 20.00%		Paid Off - 240		03/01/2004
1308713 1			46,090.00		45,545.72		02-Dec-2004		10.650%		CA - 20.00%		Paid Off - 240		03/01/2004
1315634 1			250,000.00		249,119.84		01-Nov-2004		10.175%		IL - 33.56%		Paid Off - 360		04/01/2004
1322180 2			440,000.00		435,940.05		30-Nov-2004		5.950%		CA - 80.00%		Paid Off - 360		03/01/2004
1322306 2			110,000.00		108,575.82		26-Nov-2004		9.650%		CA - 20.00%		Paid Off - 240		03/01/2004
1323328 1			124,000.00		122,139.16		30-Nov-2004		8.400%		FL - 80.00%		Paid Off - 360		03/01/2004
1325197 1			55,005.00		54,745.23		02-Dec-2004		8.750%		CA - 20.00%		Paid Off - 360		04/01/2004
1327283 2			400,000.00		397,701.16		15-Dec-2004		7.775%		NH - 78.43%		Paid Off - 360		04/01/2004
1327931 1			247,000.00		244,619.61		26-Nov-2004		8.025%		DE - 95.00%		Paid Off - 360		04/01/2004
1329012 1			67,500.00		66,962.62		07-Dec-2004		7.250%		OH - 57.69%		Paid Off - 360		03/01/2004
1334356 1			316,350.00		314,313.60		29-Nov-2004		7.200%		CA - 95.00%		Paid Off - 360		04/01/2004
1335166 1			291,550.00		289,756.87		02-Dec-2004		7.750%		CA - 85.00%		Paid Off - 360		04/01/2004
1339479 1			160,000.00		158,750.35		18-Nov-2004		6.150%		NJ - 80.00%		Paid Off - 360		05/01/2004
1340334 1			140,000.00		123,469.19		18-Nov-2004		4.625%		HI - 32.94%		Paid Off - 300		04/01/2004
1344722 1			283,200.00		281,166.85		18-Nov-2004		6.900%		WA - 80.00%		Paid Off - 360		04/01/2004
1345172 1			250,000.00		248,860.77		22-Nov-2004		8.250%		NJ - 42.02%		Paid Off - 360		05/01/2004
1345772 2			384,500.00		381,470.73		06-Dec-2004		6.150%		CA - 94.47%		Paid Off - 360		04/01/2004
1346840 1			262,500.00		261,412.95		16-Nov-2004		9.398%		NJ - 75.00%		Paid Off - 360		04/01/2004
1349847 1			78,750.00		78,227.97		10-Dec-2004		7.050%		CA - 75.00%		Paid Off - 360		04/01/2004
1350214 2			378,000.00		374,934.22		22-Nov-2004		6.000%		CA - 90.00%		Paid Off - 360		04/01/2004
1350384 1			105,500.00		104,684.36		08-Dec-2004		6.250%		CA - 60.29%		Paid Off - 360		04/01/2004




Page 18 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original						Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment		Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount		Date		Rate		Origination		Original Term		Date

1351514 1			284,750.00		283,315.60		14-Dec-2004		7.750%		CT - 85.00%		Paid Off - 360		05/01/2004

1351663 2			397,400.00		394,875.02		08-Dec-2004		7.350%		VA - 95.00%		Paid Off - 360		04/01/2004
1352436 2			336,000.00		333,172.51		09-Dec-2004		5.800%		CA - 80.00%		Paid Off - 360		04/01/2004
1353523 1			26,060.00		25,821.40		18-Nov-2004		10.250%		NV - 20.00%		Paid Off - 240		05/01/2004
1356111 1			300,000.00		296,300.90		16-Nov-2004		6.650%		IL - 100.00%		Paid Off - 360		04/01/2004
1356720 1			58,000.00		57,847.94		08-Dec-2004		10.900%		IL - 17.58%		Paid Off - 360		05/01/2004
1360408 1			313,500.00		313,500.00		30-Nov-2004		5.750%		CA - 61.00%		Paid Off - 360		04/01/2004
1360758 1			40,000.00		39,669.63		07-Dec-2004		11.050%		VA - 13.42%		Paid Off - 240		05/01/2004
1361365 1			53,000.00		52,446.52		14-Dec-2004		10.300%		CA - 20.00%		Paid Off - 240		04/01/2004
1361438 2			393,000.00		392,999.00		16-Nov-2004		4.625%		CA - 89.32%		Paid Off - 300		04/01/2004
1362150 1			236,000.00		234,594.84		10-Dec-2004		6.900%		CA - 80.00%		Paid Off - 360		05/01/2004
1363653 1			237,500.00		236,327.19		01-Dec-2004		7.850%		GA - 95.00%		Paid Off - 360		05/01/2004
1363658 1			85,000.00		84,529.85		01-Dec-2004		7.440%		MD - 61.59%		Paid Off - 360		05/01/2004
1363698 1			63,750.00		63,487.52		06-Dec-2004		8.750%		NJ - 85.00%		Paid Off - 360		05/01/2004
1366537 1			60,000.00		59,646.20		29-Nov-2004		6.950%		FL - 75.00%		Paid Off - 360		05/01/2004
1368134 1			215,000.00		213,948.86		06-Dec-2004		7.900%		MD - 100.00%		Paid Off - 360		05/01/2004
1369340 2			221,250.00		219,695.74		23-Nov-2004		6.750%		CA - 73.02%		Paid Off - 360		04/01/2004
1370829 1			128,000.00		127,410.79		01-Dec-2004		8.200%		WA - 80.00%		Paid Off - 360		05/01/2004
1374390 2			359,200.00		357,298.58		06-Dec-2004		7.500%		CA - 80.00%		Paid Off - 360		05/01/2004
1375527 1			195,000.00		194,282.49		26-Nov-2004		9.300%		CA - 60.00%		Paid Off - 360		05/01/2004
1375709 1			199,000.00		197,682.78		24-Nov-2004		6.350%		CA - 84.68%		Paid Off - 360		05/01/2004
1375823 1			229,000.00		227,204.55		19-Nov-2004		6.700%		CA - 64.87%		Paid Off - 360		05/01/2004
1376126 1			132,000.00		131,504.61		26-Nov-2004		9.200%		DC - 55.00%		Paid Off - 360		05/01/2004
1376918 1			50,875.00		50,726.55		08-Dec-2004		10.400%		GA - 20.00%		Paid Off - 360		05/01/2004
1380084 1			96,200.00		95,904.05		18-Nov-2004		10.150%		FL - 65.00%		Paid Off - 360		05/01/2004
1380148 1			53,800.00		53,615.93		15-Nov-2004		10.300%		CA - 20.00%		Paid Off - 360		04/01/2004
1383107 1			146,400.00		145,552.29		13-Dec-2004		7.050%		CA - 80.00%		Paid Off - 360		05/01/2004
1383358 1			36,600.00		36,267.01		13-Dec-2004		10.300%		CA - 20.00%		Paid Off - 240		05/01/2004
1383892 1			150,450.00		150,010.59		01-Dec-2004		7.050%		CA - 85.00%		Paid Off - 360		05/01/2004
1383941 1			132,000.00		131,083.68		14-Dec-2004		6.100%		CA - 80.00%		Paid Off - 360		05/01/2004
1383965 2			33,000.00		32,692.01		14-Dec-2004		10.100%		CA - 20.00%		Paid Off - 240		05/01/2004
1384470 1			220,000.00		220,000.00		19-Nov-2004		5.990%		CA - 78.57%		Paid Off - 360		05/01/2004
1385408 1			229,000.00		227,311.62		02-Dec-2004		5.780%		CA - 84.81%		Paid Off - 360		05/01/2004
1385995 1			65,450.00		65,139.45		24-Nov-2004		8.050%		FL - 85.00%		Paid Off - 360		05/01/2004
1387038 2			360,000.00		360,000.00		22-Nov-2004		7.625%		CA - 90.00%		Paid Off - 360		05/01/2004
1387097 1			188,000.00		186,559.84		02-Dec-2004		5.600%		CA - 80.00%		Paid Off - 360		05/01/2004
1388452 1			71,250.00		70,977.02		14-Dec-2004		9.100%		MI - 75.00%		Paid Off - 360		05/01/2004
1388684 1			37,580.00		37,242.42		08-Dec-2004		10.400%		CO - 20.00%		Paid Off - 240		05/01/2004




Page 19 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original						Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment		Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount		Date		Rate		Origination		Original Term		Date

1390326 1			110,500.00		109,970.49		15-Dec-2004		8.000%		MI - 85.00%		Paid Off - 360		05/01/2004

1390497 1			212,800.00		211,253.08		13-Dec-2004		6.650%		IL - 80.00%		Paid Off - 360		05/01/2004
1392316 1			88,400.00		88,400.00		06-Dec-2004		8.100%		IL - 85.00%		Paid Off - 360		05/01/2004
1393478 1			170,000.00		168,855.56		30-Nov-2004		6.500%		CA - 73.91%		Paid Off - 360		05/01/2004
1394107 1			144,000.00		144,000.00		17-Nov-2004		7.150%		CA - 80.00%		Paid Off - 360		05/01/2004
1394179 1			61,900.00		61,751.10		23-Nov-2004		11.300%		AZ - 20.00%		Paid Off - 360		05/01/2004
1395671 1			36,000.00		35,673.37		17-Nov-2004		11.300%		CA - 20.00%		Paid Off - 240		05/01/2004
1396942 1			295,960.00		295,954.96		17-Nov-2004		4.625%		CA - 80.01%		Paid Off - 300		05/01/2004
1397327 1			59,500.00		59,159.27		23-Nov-2004		7.100%		NM - 85.00%		Paid Off - 360		05/01/2004
1397469 1			98,400.00		97,773.12		24-Nov-2004		6.550%		ID - 80.00%		Paid Off - 360		05/01/2004
1397820 1			292,000.00		289,580.39		16-Nov-2004		5.150%		CA - 73.00%		Paid Off - 360		05/01/2004
1398138 1			279,000.00		277,508.44		03-Dec-2004		7.450%		CA - 90.00%		Paid Off - 360		05/01/2004
1398777 2			500,000.00		496,814.80		30-Nov-2004		6.550%		CA - 89.29%		Paid Off - 360		05/01/2004
1399138 1			74,800.00		74,375.78		14-Dec-2004		7.150%		MI - 85.00%		Paid Off - 360		05/01/2004
1401696 1			80,000.00		79,550.70		13-Dec-2004		7.200%		DC - 80.00%		Paid Off - 360		05/01/2004
1406372 2			340,000.00		337,431.51		09-Dec-2004		5.650%		CA - 89.47%		Paid Off - 360		05/01/2004
1406377 2			165,000.00		164,341.29		13-Dec-2004		8.900%		FL - 71.74%		Paid Off - 360		05/01/2004
1406417 1			127,500.00		126,740.85		02-Dec-2004		6.900%		CA - 85.00%		Paid Off - 360		05/01/2004
1406757 1			253,500.00		252,124.05		03-Dec-2004		7.375%		CA - 65.00%		Paid Off - 360		05/01/2004
1408984 1			44,400.00		43,996.03		17-Nov-2004		10.300%		CA - 20.00%		Paid Off - 240		05/01/2004
1409824 1			149,600.00		148,815.84		14-Dec-2004		7.550%		CA - 80.00%		Paid Off - 360		05/01/2004
1410659 1			314,500.00		312,645.57		02-Dec-2004		6.950%		CA - 85.00%		Paid Off - 360		05/01/2004
1411620 1			280,500.00		279,106.41		03-Dec-2004		8.500%		CA - 85.00%		Paid Off - 360		04/01/2004
1412339 1			178,500.00		177,883.58		18-Nov-2004		9.600%		CA - 85.00%		Paid Off - 360		05/01/2004
1412842 1			189,000.00		188,937.90		03-Dec-2004		7.450%		CA - 90.00%		Paid Off - 360		05/01/2004
1413120 1			132,600.00		132,069.85		10-Dec-2004		8.900%		GA - 85.00%		Paid Off - 360		05/01/2004
1416023 1			107,200.00		106,510.47		23-Nov-2004		6.500%		CA - 80.00%		Paid Off - 360		05/01/2004
1416068 1			180,000.00		178,850.56		30-Nov-2004		6.650%		CA - 85.71%		Paid Off - 360		05/01/2004
1417846 1			340,000.00		337,502.62		18-Nov-2004		5.800%		NY - 80.00%		Paid Off - 360		05/01/2004
1418113 1			123,300.00		122,634.26		02-Dec-2004		7.400%		CA - 90.00%		Paid Off - 360		05/01/2004
1420243 1			244,000.00		242,499.59		26-Nov-2004		6.800%		CA - 80.00%		Paid Off - 360		05/01/2004
1420428 1			220,500.00		219,261.78		17-Nov-2004		7.200%		NY - 90.00%		Paid Off - 360		05/01/2004
1424451 1			171,000.00		170,112.55		10-Dec-2004		7.600%		CA - 84.86%		Paid Off - 360		05/01/2004
1425048 1			227,900.00		227,029.47		22-Nov-2004		9.150%		MA - 95.00%		Paid Off - 360		05/01/2004
1425764 1			191,250.00		189,894.56		16-Nov-2004		5.990%		CA - 85.00%		Paid Off - 360		05/01/2004
1426279 1			212,500.00		211,133.18		22-Nov-2004		6.500%		CA - 85.00%		Paid Off - 360		05/01/2004
1426389 1			354,200.00		351,810.29		15-Dec-2004		6.250%		NY - 64.99%		Paid Off - 360		05/01/2004
1426460 1			184,000.00		182,698.34		19-Nov-2004		6.000%		CA - 80.00%		Paid Off - 360		05/01/2004




Page 20 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original						Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment		Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount		Date		Rate		Origination		Original Term		Date

1426496 1			144,000.00		143,100.14		22-Nov-2004		6.650%		NV - 90.00%		Paid Off - 360		05/01/2004

1426652 1			66,400.00		66,109.42		17-Nov-2004		8.450%		FL - 80.00%		Paid Off - 360		05/01/2004
1427003 1			160,000.00		158,970.90		10-Dec-2004		6.500%		CA - 84.21%		Paid Off - 360		05/01/2004
1427545 1			242,250.00		240,876.29		09-Dec-2004		7.150%		CA - 83.53%		Paid Off - 360		05/01/2004
1428521 2			224,000.00		222,430.29		13-Dec-2004		6.050%		MD - 89.60%		Paid Off - 360		05/01/2004
1428791 1			#######		163,376.25		23-Nov-2004		7.475%		IL - 90.00%		Paid Off - 360		05/01/2004
1432884 2			364,500.00		362,839.03		09-Dec-2004		8.250%		IL - 90.00%		Paid Off - 360		05/01/2004
1432959 1			200,000.00		198,807.79		09-Dec-2004		7.200%		WA - 80.00%		Paid Off - 360		05/01/2004
1433200 2			484,000.00		481,338.94		22-Nov-2004		6.500%		IL - 80.00%		Paid Off - 360		06/01/2004
1434596 1			124,200.00		124,172.26		14-Dec-2004		7.525%		MT - 90.00%		Paid Off - 360		05/01/2004
1435502 1			126,000.00		125,442.76		02-Dec-2004		8.600%		IL - 60.58%		Paid Off - 360		05/01/2004
1437979 1			223,250.00		221,740.54		01-Dec-2004		6.250%		CA - 95.00%		Paid Off - 360		05/01/2004
1438621 1			252,000.00		250,379.11		02-Dec-2004		6.500%		CA - 84.00%		Paid Off - 360		05/01/2004
1441880 1			157,600.00		156,454.34		13-Dec-2004		5.875%		CA - 80.00%		Paid Off - 360		05/01/2004
1444075 1			133,200.00		132,437.22		02-Dec-2004		7.100%		FL - 89.40%		Paid Off - 360		05/01/2004
1445791 2			342,000.00		342,000.00		08-Dec-2004		8.250%		CA - 90.00%		Paid Off - 360		05/01/2004
1445806 1			61,000.00		60,749.00		29-Nov-2004		7.975%		FL - 87.14%		Paid Off - 360		06/01/2004
1445846 2			113,900.00		113,445.26		14-Dec-2004		8.900%		IL - 85.00%		Paid Off - 360		05/01/2004
1453180 1			325,000.00		321,935.33		19-Nov-2004		5.725%		CA - 65.66%		Paid Off - 360		05/01/2004
1454064 1			114,000.00		113,506.11		10-Dec-2004		8.500%		FL - 75.00%		Paid Off - 360		05/01/2004
1454982 1			216,750.00		215,679.71		07-Dec-2004		7.850%		FL - 85.00%		Paid Off - 360		05/01/2004
1458564 1			250,100.00		248,363.90		03-Dec-2004		6.100%		CA - 70.45%		Paid Off - 360		05/01/2004
1458867 1			157,500.00		156,578.49		06-Dec-2004		6.990%		CA - 90.00%		Paid Off - 360		05/01/2004
1460779 1			161,500.00		160,670.10		26-Nov-2004		7.650%		VA - 85.00%		Paid Off - 360		05/01/2004
1462738 1			168,750.00		167,813.35		13-Dec-2004		6.800%		CA - 75.00%		Paid Off - 360		06/01/2004
1462977 1			160,000.00		159,074.73		10-Dec-2004		7.050%		CA - 43.84%		Paid Off - 360		05/01/2004
1464299 1			207,750.00		206,752.48		03-Dec-2004		7.990%		CA - 75.00%		Paid Off - 360		05/01/2004
1468395 1			330,000.00		327,606.88		29-Nov-2004		5.875%		CA - 74.16%		Paid Off - 360		05/01/2004
1468618 1			275,000.00		273,017.62		13-Dec-2004		5.900%		CA - 57.89%		Paid Off - 360		05/01/2004
1471239 1			137,340.00		136,321.72		17-Nov-2004		5.750%		NV - 90.00%		Paid Off - 360		05/01/2004
1471781 2			400,000.00		397,451.82		19-Nov-2004		6.550%		CA - 80.00%		Paid Off - 360		05/01/2004
309226646 1			299,250.00		296,084.99		09-Nov-2004		6.790%		NY - 95.00%		Paid Off - 360		12/01/2003
309237413 2			181,500.00		180,041.43			8.625%		FL - 75.00%		Paid Off - 360		11/01/2003
311111550 1			110,500.00		109,938.99			8.990%		MA - 85.00%		Paid Off - 360		03/01/2004
311244451 1			158,000.00		156,695.79		16-Nov-2004		7.100%		CA - 95.76%		Paid Off - 360		02/01/2004
311244726 2			248,000.00		247,939.09		12-Nov-2004		5.875%		HI - 80.00%		Paid Off - 360		02/01/2004
312039799 2			252,000.00		250,187.97		01-Nov-2004		9.750%		IL - 80.00%		Paid Off - 360		03/01/2004
312094307 2			142,000.00		141,025.74		01-Nov-2004		6.990%		CA - 68.60%		Paid Off - 360		04/01/2004




Page 21 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original						Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment		Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount		Date		Rate		Origination		Original Term		Date

312094686 2			242,000.00		240,106.74			7.375%		CA - 73.78%		Paid Off - 360		02/01/2004

312116547 2			213,750.00		212,135.42		02-Nov-2004		6.999%		FL - 75.00%		Paid Off - 360		03/01/2004
312160692 2			127,500.00		126,600.67			7.350%		CA - 79.69%		Paid Off - 360		03/01/2004
312171056 2			240,000.00		238,470.11			7.250%		CA - 80.00%		Paid Off - 360		04/01/2004
312193284 2			359,200.00		357,718.08			9.990%		CA - 79.84%		Paid Off - 360		03/01/2004
312246163 2			97,750.00		97,128.37		26-Nov-2004		7.875%		HI - 85.00%		Paid Off - 360		03/01/2004
312307532 2			67,600.00		66,869.63		19-Nov-2004		6.500%		MO - 80.00%		Paid Off - 360		02/01/2004
312307811 2			170,400.00		169,340.98			7.990%		PA - 80.00%		Paid Off - 360		03/01/2004
401059567 1			126,200.00		125,505.11		16-Nov-2004		7.990%		TN - 97.08%		Paid Off - 360		04/01/2004
401072370 2			200,000.00		198,783.87			7.490%		MA - 80.00%		Paid Off - 360		04/01/2004
401082987 2			350,000.00		347,875.89		19-Nov-2004		7.500%		CA - 77.78%		Paid Off - 360		04/01/2004
401083700 1			292,000.00		289,847.74		16-Nov-2004		6.500%		CA - 80.00%		Paid Off - 360		04/01/2004
401094738 2			269,450.00		267,643.06		01-Nov-2004		6.990%		NJ - 85.00%		Paid Off - 360		04/01/2004
401169883 1			115,200.00		114,308.66			6.875%		NY - 80.00%		Paid Off - 360		03/01/2004
401169907 2			114,000.00		113,328.37			7.650%		CA - 84.44%		Paid Off - 360		04/01/2004
401202495 1			208,250.00		206,922.49		30-Nov-2004		7.250%		MD - 85.00%		Paid Off - 360		04/01/2004
401213385 2			88,000.00		87,554.04			8.999%		MO - 80.00%		Paid Off - 360		03/01/2004
401236714 1			136,000.00		135,044.54		02-Nov-2004		6.750%		NJ - 80.00%		Paid Off - 360		04/01/2004
401267740 1			220,000.00		217,955.13			6.125%		CA - 74.58%		Paid Off - 360		03/01/2004
401291538 2			56,000.00		55,660.08		16-Nov-2004		7.500%		NJ - 80.00%		Paid Off - 360		04/01/2004
402035109 2			206,250.00		205,194.40			8.750%		NJ - 75.00%		Paid Off - 360		04/01/2004
402047037 1			258,300.00		256,485.44		02-Nov-2004		6.750%		MA - 90.00%		Paid Off - 360		04/01/2004
402047349 2			196,000.00		194,750.59		29-Nov-2004		7.250%		NV - 80.00%		Paid Off - 360		04/01/2004
402047660 2			253,600.00		252,203.74		17-Nov-2004		7.990%		NV - 80.00%		Paid Off - 360		04/01/2004
402090635 1			139,500.00		138,380.58			7.990%		MD - 90.00%		Paid Off - 360		04/01/2004
402090923 2			385,000.00		382,023.68			6.250%		CA - 77.78%		Paid Off - 360		04/01/2004
402102194 2			217,500.00		216,147.16		26-Nov-2004		7.375%		NJ - 75.00%		Paid Off - 360		04/01/2004
402102347 2			200,000.00		198,635.63		17-Nov-2004		6.990%		CA - 80.00%		Paid Off - 360		04/01/2004
402102493 2			378,000.00		375,816.80		17-Nov-2004		7.750%		NJ - 70.00%		Paid Off - 360		04/01/2004
402102549 2			435,000.00		432,360.06		26-Nov-2004		7.500%		NJ - 75.00%		Paid Off - 360		04/01/2004
402113691 1			284,000.00		281,741.77		22-Nov-2004		6.375%		CA - 80.00%		Paid Off - 360		04/01/2004
402136172 2			123,750.00		123,135.10		16-Nov-2004		8.500%		CA - 75.00%		Paid Off - 360		04/01/2004
402136372 1			216,000.00		214,953.42			8.990%		CA - 90.00%		Paid Off - 360		04/01/2004
402136706 1			256,000.00		254,113.05		24-Nov-2004		6.500%		NV - 80.00%		Paid Off - 360		04/01/2004
402177238 1			260,000.00		255,810.04		04-Nov-2004		5.990%		NY - 68.42%		Paid Off - 360		04/01/2004
402177258 2		FCL	448,000.00		445,533.36		30-Nov-2004		7.990%		SC - 80.00%		Paid Off - 360		04/01/2004
402177584 2			94,500.00		93,853.89		17-Nov-2004		6.990%		FL - 90.00%		Paid Off - 360		04/01/2004
402189092 1			136,000.00		135,388.61			8.990%		MD - 85.00%		Paid Off - 360		04/01/2004




Page 22 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number			Original						Current		State &		Type Prepayment		First


&		Loan	Principal		Prepayment		Prepayment		Note		LTV at		&		Payment

Loan Group		Status	Balance		Amount		Date		Rate		Origination		Original Term		Date

402190075 2			53,000.00		52,645.18		04-Nov-2004		7.000%		IN - 67.95%		Paid Off - 360		04/01/2004

402201656 1			212,500.00		211,272.65		02-Nov-2004		7.750%		CA - 85.00%		Paid Off - 360		04/01/2004
402243735 2			158,000.00		155,903.61			7.875%		OK - 80.00%		Paid Off - 360		04/01/2004
402255153 2			236,000.00		234,417.38			6.990%		CA - 80.00%		Paid Off - 360		04/01/2004


TOTAL			36,327,461.00		36,086,301.72



Page 23 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Realized Loss Report

COLLATERAL REALIZED LOSSES



										Group 2		Group 1		Total


*Current*




Number of Loans Liquidated									1		0		1
Collateral Principal Realized Loss/(Gain) Amount									721.29		0.00		721.29
Collateral Interest Realized Loss/(Gain) Amount									0.00		0.00		0.00
Net Liquidation Proceeds									123,970.31		0.00		123,970.31

*Cumulative*




Number of Loans Liquidated									1		1		2
Collateral Realized Loss/(Gain) Amount									721.29		0.00		721.29
Net Liquidation Proceeds									123,970.31		134,297.90		258,268.21










Page 24 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution


DEFAULT SPEEDS



										Group 2		Group 1		Total



MDR									0.04%		0.00%		0.01%
3 Months Avg MDR									0.01%		0.01%		0.01%
12 Months Avg MDR									0.01%		0.00%		0.01%
Avg MDR Since Cut-off									0.01%		0.00%		0.01%


CDR									0.43%		0.00%		0.16%
3 Months Avg CDR									0.14%		0.08%		0.10%
12 Months Avg CDR									0.09%		0.05%		0.06%
Avg CDR Since Cut-off									0.09%		0.05%		0.06%


SDA									2.40%		0.00%		0.91%
3 Months Avg SDA Approximation									0.90%		0.56%		0.69%
12 Months Avg SDA Approximation									0.62%		0.39%		0.48%
Avg SDA Since Cut-off Approximation									0.62%		0.39%		0.48%


Loss Severity Approximation for Current Period									0.58%		0.00%		0.58%
3 Months Avg Loss Severity Approximation									0.19%		0.00%		0.19%
12 Months Avg Loss Severity Approximation									0.12%		0.00%		0.12%
Avg Loss Severity Approximation Since Cut-off									0.12%		0.00%		0.12%












Page 25 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution





COLLATERAL REALIZED LOSS CALCULATION METHODOLOGY
	Monthly Default Rate (MDR): (Beg Principal Balance of Liquidated Loans)/(Total Beg Principal Balance)



	Conditional Default Rate (CDR): 1-((1-MDR)^12)

	SDA Standard Default Assumption: CDR/IF(WAS<61,MIN(30,WAS)0.02,MAX(0.03,MIN(30,WAS)0.02-0.0095*(WAS-60)))

	Average MDR over period between nth month and mth month (AvgMDRn,m): [(1-MDRn)(1-MDRn+1)...*(1-MDRm)]^(1/months in period n,m)
	Average CDR over period between the nth month and mth month (AvgCDRn,m): 1-((1-AvgMDRn,m)^12)

	Average SDA Approximation over period between the nth month and mth month:
	AvgCDRn,m/IF(Avg WASn,m<61,MIN(30,Avg WASn,m)0.02,MAX(0.03,MIN(30,Avg WASn,m)0.02-0.0095*(Avg WASn,m-60)))

	Average WASn,m: (WASn + WASn+1 +...+ WASm )/(number of months in the period n,m)
	Loss Severity Approximation for current period: sum(Realized Loss Amount)/sum(Beg Principal Balance of Liquidated Loans)

	Average Loss Severity Approximation over period between nth month and mth month: Avg(Loss Severityn,m)

	Note: Default rates are calculated since deal issue date and include realized gains and additional realized losses and gains from prior periods.
	Dates correspond to distribution dates.




Page 26 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Realized Loss Detail Report
Loan Number			Current		State &			Prior		Realized				Cumulative

&		Loan	Note		LTV at	Original		Principal		Loss/(Gain)		Realized		Realized

Loan Group		Status	Rate		Origination	Term		Balance		Revision		Loss/(Gain)		Loss/(Gain)

401291875 2
			6.599%		MO - 80.00%	360		124,691.60				721.29



TOTAL								124,691.60			721.29		0.00



Page 27 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Triggers and Adj. Cert. Report
TRIGGER EVENTS

									Group 2		Group 1		Total
Trigger Event in effect (0=No , 1=Yes)													0
Stepdown Date has occurred (0 = No, 1=Yes)													0
3M Rolling Avg. Bal. 60+ Delinq.(includes Bankruptcy and													38,189,233.97
Ending Balance													923,788,833.68
Senior Enhancement Percentage													22.0000%



ADJUSTABLE RATE CERTIFICATE INFORMATION

SPACE INTENTIONALLY LEFT BLANK



ADDITIONAL INFORMATION

									Group 2		Group 1		Total
Basis Risk CarryForward Amount paid													0.00
Basis Risk CarryForward Amount unpaid													0.00
Excess Reserve Fund Account Balance													0.00




Page 28 of 29
Morgan Stanley ABS Capital I Inc. 2004-HE5

Mortgage Pass-Through Certificates

2004-HE5

December 27, 2004 Distribution
Other Related Information
ADDITIONAL INFORMATION

									Group 2		Group 1		Total
Current Scheduled Payments									1,855,528.12		4,606,223.13		6,461,751.26
Current Scheduled Payments 1 Month Prior									1,891,183.66		4,823,041.62		6,714,225.29
Current Scheduled Payments 2 Month Prior									1,921,914.16		4,975,253.10		6,897,167.25
Current Scheduled Payments 3 Month Prior									1,949,596.62		5,106,381.80		7,055,978.42
Current Scheduled Payments 4 Month Prior									1,971,202.96		5,223,610.27		7,194,813.23
Current Scheduled Payments 5 Month Prior									0.00		0.00		0.00
Current Scheduled Payments 6 Month Prior									0.00		0.00		0.00
Current Scheduled Payments 7 Month Prior									0.00		0.00		0.00
Current Scheduled Payments 8 Month Prior									0.00		0.00		0.00
Current Scheduled Payments 9 Month Prior									0.00		0.00		0.00
Current Scheduled Payments 10 Month Prior									0.00		0.00		0.00
Current Scheduled Payments 11 Month Prior									0.00		0.00		0.00





Sched. Payments for 60+Day Delinquent Loans									150,719.83		471,771.84		622,491.67
Sched. Pmts - 60+Day Delinquent Loans, 1 Month Prior									36,669.48		61,985.23		98,654.71
Sched. Pmts - 60+Day Delinquent Loans, 2 Month Prior									30,925.12		30,950.91		61,876.03
Sched. Pmts - 60+Day Delinquent Loans, 3 Month Prior									15,201.73		10,355.27		25,557.01
Sched. Pmts - 60+Day Delinquent Loans, 4 Month Prior									8,644.87		1,697.37		10,342.24
Sched. Pmts - 60+Day Delinquent Loans, 5 Month Prior									0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 6 Month Prior									0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 7 Month Prior									0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 8 Month Prior									0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 9 Month Prior									0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 10 Month Prior									0.00		0.00		0.00
Sched. Pmts - 60+Day Delinquent Loans, 11 Month Prior									0.00		0.00		0.00




Page 29 of 29

Morgan Stanley ABS Capital I Inc. Trust 2004-HE5 8-K