NEW YORK--(BUSINESS WIRE)--Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to thirty-six classes of mortgage pass-through certificates from SoFi Lending Corp.’s inaugural prime jumbo RMBS securitization, SoFi Mortgage Trust Series 2016-1 (SFPMT 2016-1).
The SFPMT 2016-1 mortgage pool is composed of 270 first-lien mortgage loans with an aggregate principal balance of $168,790,946 as of the cut-off date. The pool consists entirely of fixed-rate mortgages (FRMs), with maturity terms of 15 years (21.8%) and 30 years (78.2%). The pool is characterized by substantial borrower equity in each mortgaged property, as evidenced by the WA original LTV of 56.5% and WA original CLTV of 57.0%. The weighted average original credit score is 777, which is well within the prime mortgage range.
SoFi is a wholly-owned subsidiary of Social Finance and was founded in May 2011 primarily as a marketplace lender that offers consumer products, including student loans and personal loans, each of which it has securitized in Asset Backed Security transactions. Its first structured finance transaction, which was comprised of student loans, occurred in late 2013 and it has been a frequent issuer since that time.
KBRA’s rating approach incorporated loan-level analysis of the mortgage pool through its Residential Mortgage Default and Loss Model, an examination of the results from third-party loan file due diligence, cash flow modeling analysis of the transaction’s payment structure, reviews of key transaction parties and an assessment of the transaction’s legal structure and documentation. This analysis is further described in our U.S. RMBS Rating Methodology.
For complete details on the analysis, please see our SoFi Mortgage Trust Series 2016-1 Pre-Sale Report, which was published on December 12, 2016 on www.kbra.com.
Related publications:
U.S. RMBS Rating Methodology, published July 7, 2016
Residential Mortgage Default and Loss Model, published January 16, 2015
U.S. RMBS Rating Methodology for Assessing Non-QM Risk, published April 22, 2014
About Kroll Bond Rating Agency
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).
