NEW YORK--(BUSINESS WIRE)--Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to fifty-three classes of mortgage pass-through certificates from Sequoia Mortgage Trust 2015-4 (SEMT 2015-4), a prime jumbo RMBS transaction.
The SEMT 2015-4 underlying pool consists of 558 first-lien, residential mortgage loans with an aggregate principal balance of $337,080,518.14 as of the cut-off date. The collateral is composed of 15-year fixed-rate mortgages, all of which are fully amortizing. The pool is characterized by substantial borrower equity in each mortgaged property, as evidenced by the weighted average LTV (56.56%) and CLTV (57.43%). The CLTV ratio incorporates 6.08% of the pool possessing known junior mortgages. The weighted average original credit score is 761, 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.
Residential Mortgage Default and Loss Model, published January 16, 2015
U.S. RMBS Rating Methodology for Assessing Non-QM Risk, published April 22, 2014
U.S. RMBS Rating Methodology, published January 9, 2012
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).