September 17, 2021

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Mortgage News

KBRA Assigns Preliminary Ratings to Oceanview Mortgage Trust 2021-4 (OCMT 2021-4)

NEW YORK–() – Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to 56 classes of mortgage pass-through certificates from Oceanview Mortgage Trust 2021-4 (OCMT 2021-4), a world-class RMBS transaction. OCMT 2021-4 contains 100% QM: Safe Harbor Jumbo Mortgage Loans, and no loans are in active deferral in the pool as of the reporting date.

The OCMT 2021-4 mortgage pool consists of 418 mortgage loans with a total capital of $ 362,356,889 as of the reporting date. The underlying collateral consists exclusively of fully amortizing fixed-rate mortgages. The pool is characterized by the borrower’s substantial equity in each pledged property, as evidenced by the WA Original LTV and WA Original CLTV of 68.6% and 68.7%, respectively. The weighted average original credit score is 777, which is well in the range for prime mortgages.

KBRA’s rating approach included an analysis of the mortgage pool at the credit level through the US RMBS model for mortgage defaults and losses, a review of the results of the due diligence of third party loans, a cash flow modeling analysis of the payment structure of the transaction, reviews of key transaction parties and parties an assessment of the legal structure and documentation of the transaction. This analysis is described in more detail in our US RMBS rating methodology.

click here to view the report. To access reviews and relevant documents, click here.

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Disclosure

Learn more about key credit considerations, sensitivity studies that take into account what factors may affect these credit ratings and how they could lead to an upgrade or downgrade, and ESG factors (if they are a major driver of the credit rating change or the rating outlook) please refer to the full rating report listed above.

A description of all material material sources used in establishing the credit rating and information on the methodology (s) (including any material models and sensitivity analyzes of the relevant material rating assumptions, if any) that were used in determining the credit rating is available Please refer to the information disclosure form (s) here.

Information on the meaning of each rating category can be found here.

Further information on this rating measure can be found in the information disclosure forms mentioned above. More information on KBRA policies, methods, rating scales and information is available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered as an NRSRO with the Securities and Exchange Commission. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered with the UK Financial Conduct Authority as a CRA under the temporary registration system. In addition, KBRA has been named by the Ontario Securities Commission as the designated rating organization for issuers of asset-backed securities for the submission of a short prospectus or shelf prospectus. KBRA is also recognized as a credit rating provider by the National Association of Insurance Commissioners.