Skip to main content

Fitch, KBRA Issue Expected, Preliminary Ratings On MSRM 2021-5

Aug 17, 2021
Fitch Ratings

Certificates Package Totals $478.34M, Includes No Non-QM Loans

KEY TAKEAWAYS
  • The pool consists of 100% fixed-rate mortgages from various mortgage originators, including MAXEX LLC, Cross Country Mortgage; Guaranteed Rate, & Quicken Loans.

Both Fitch Ratings and Kroll Bond Rating Agency (KBRA) assigned ratings to residential mortgage-backed certificates totaling $478.34 million issued recently by Morgan Stanley Residential Mortgage Loan Trust 2021-5 (MSRM 2021-5).

Fitch assigned the following expected ratings:

  • Class A-1-IO, A-4-A, A-4A-IO, A-5-A, A-5A-IO, A-6, A-6-IO, A-9, and A-9-IO: AAA
  • Class B-1: AA-
  • Class B-2: A-
  • Class B-3: BBB-
  • Class B-4: BB-
  • Class B-5: B
  • Class B-6: Not rated

KBRA assigned the following preliminary ratings:

  • Class A-1-IO, A-4-A, A-4A-IO, A-5-A, A-5A-IO, A-6, A-6-IO, A-9, and A-9-IO: AAA
  • Class B-1: AA
  • Class B-2: A
  • Class B-3: BBB
  • Class B-4: BB-
  • Class B-5: B-
  • Class B-6: Not rated

This is the eighth post-crisis transaction off the Morgan Stanley Residential Mortgage Loan Trust shelf; the first transaction was issued in 2014.

This is the sixth MSRM transaction that comprises loans from various sellers and acquired by Morgan Stanley in its prime-jumbo aggregation process. The certificates are supported by 495 prime-quality loans with a total balance of approximately $478.34 million, as of the Aug. 1, 2021, cutoff date.

The pool consists of 100% fixed-rate mortgages from various mortgage originators: MAXEX LLC (38%), Cross Country Mortgage (23.78%); Guaranteed Rate (18.51%), Quicken Loans (10.74%), and others (contributing less than 10%).

The servicer for this transaction is Specialized Loan Servicing LLC (SLS). Nationstar Mortgage LLC will be the master servicer. Of the loans, 100% qualify as safe-harbor qualified mortgage (SHQM). There are no high-priced QM loans or non-QM loans in the pool.

For more on Fitch's ratings, click here.

For more on KBRA's ratings, click here.

About the author
David Krechevsky was an editor at NMP.
Published
Aug 17, 2021
High Home Prices Not Translating To Higher Seller Profits

Average profit margins decline for second year in a row, with Florida sellers hit hardest

Jan 23, 2025
Real Estate Investor Optimism Plummets At Year End

Confidence drops amid rising costs, insurance challenges, and policy uncertainty

Jan 08, 2025
Robert Greenberg Takes Strategy Role At Ternus Lending

Greenberg joins the company to drive technology adoption and elevate customer experience

Dec 16, 2024
Home Investors Split Over Harris, Trump Policies

Real estate investors are focused on financing costs and insurance challenges, with many expecting a U.S. recession in 2025.

Oct 02, 2024
Midwest, Northeast Markets Most Successful For Investors

Dayton, Ohio was identified as the top market for investors by Realtor.com

Oct 01, 2024
Investor Activity Shrinks Down During Q2

Investors made 80,000 purchases in June 2024, compared with 112,000 in June 2023

Sep 25, 2024