NEW YORK--(EON: Enhanced Online News)--Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to six classes of mortgage pass-through certificates from Shellpoint Asset Funding Trust 2013-2 (SAFT 2013-2), a jumbo prime RMBS transaction.
The mortgage pool backing SAFT 2013-2 is comprised of 345 first-lien mortgage loans with an aggregate principal balance of $250,846,001 as of the cut-off date. The loans in the pool are nearly all fixed-rate mortgages (FRMs) with 342 loans having 30-year maturities and one of the FRMs having 15-year maturities. The remaining two loans are hybrid adjustable-rate mortgages (ARMs; one 5/1, one 10/1). There are eight 10-year interest-only loans in the pool. The pool is characterized by substantial borrower equity in each mortgaged property, as evidenced by the weighted average (WA) loan-to-value (LTV) ratio (65%) and combined LTV (CLTV; 67%). The original WA credit score of the mortgage pool is 773, which is well within the prime mortgage range.
KBRA’s analysis of the transaction included a loan-level analysis of the mortgage pools using our Residential Mortgage Default and Loss Model, together with a review of the key transaction parties, results of loan file reviews performed by independent third party firms and review of the legal structure and key documentation. This analysis is further described in our U.S. RMBS Rating Methodology.
For complete details on the analysis, please see our Pre-Sale Report, Shellpoint Asset Funding Trust 2013-2, which was published on October 17th 2013 at www.krollbondratings.com.
Shellpoint Asset Funding Trust 2013-2 Preliminary Ratings
About Kroll Bond Rating Agency
KBRA was established in 2010 by Jules Kroll to restore trust in credit ratings by creating new standards for assessing risk and by offering accurate, clear and transparent ratings. KBRA is registered with the U.S. Securities and Exchange Commission as a Nationally Recognized Statistical Rating Organization (NRSRO). In addition, KBRA is recognized by the National Association of Insurance Commissioners (NAIC) as a Credit Rating Provider (CRP).