NEW YORK--(BUSINESS WIRE)--Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to twenty-eight classes of mortgage pass-through certificates from J.P. Morgan Mortgage Trust 2016-3 (JPMMT 2016-3), a prime jumbo RMBS transaction.
The JPMMT 2016-3 mortgage pool is composed of 553 first-lien mortgage loans with an aggregate principal balance of $395,349,365 as of the cut-off date. The pool consists entirely of fixed-rate mortgages (FRMs), with maturity terms of 15 years (31.9%), 20 years (0.2%) and 30 years (67.8%; includes loans with terms of 348-360 months). The pool is characterized by substantial borrower equity in each mortgaged property, as evidenced by the WA original LTV of 64.8% and WA original CLTV of 66.9%. The weighted average original credit score is 767, which is within the prime mortgage range.
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 Pre-Sale Report, J.P. Morgan Mortgage Trust 2016-3, which was published on September 23, 2016 on www.kbra.com.
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).