A&D Mortgage Issues Securitization, 72 Percent Include Non-QM Loans

A&D Mortgage in conjunction with Imperial Fund, closed its second stand-alone securitization post the pandemic. The securitization was for mortgage loans originated and serviced by A&D Mortgage, the primary servicer of the loans. S&P and DBRS Morningstar rated the securitization, and the deal was closed on Friday, June 11, 2021.

The securitization market has been instrumental in expanding A&D Mortgage's ability to conduct transactions on a repeat basis within the mortgage industry, according to the company. 

“With the backing of securitization, A&D Mortgage is a market driver in the Non-QM arena,” said Max Slyusarchuk, founder and CEO of A&D Mortgage, “We have the ability to create our own products, allowing us to serve more people and communities throughout the nation.”

The S&P and DBRS Morningstar ratings were assigned to fixed- and adjustable-rate prime and non-prime first-lien residential mortgages. Mortgage Pass-Through Certificates, Series 2021-NQM1, funded the mortgages. The Certificates are backed by 493 loans with a principal balance totaling $214,223,458 as of May 1, 2021, or the Cut-Off Date. Non-QM loans make up approximately 72% of the pool, with 28% of the pool being ATR-exempt investor property loans.

As a wholesale lender, A&D offers a full spectrum of conventional, government, prime jumbo, and Non-QM loan products. A&D Mortgage offers programs for self-employed borrowers, small business owners, and independent contractors. They also offer products for prime borrowers, foreign national borrowers, as well as borrowers with less-than-perfect credit. In addition, DSCR programs with no income verification requirement are offered for investment property loans.