KBRA Assigns Preliminary Ratings To Oceanview Mortgage Trust 2021-4

OCMT 2021-4 contains 100% QM: Safe Harbor jumbo mortgage loans and no loans in the pool are in active forbearance as of the cut-off date.

The OCMT 2021-4 mortgage pool is composed of 418 first-lien mortgage loans with an aggregate principal balance of $362,356,889 as of the cut-off date, according to a press release. The underlying collateral consists entirely of fully-amortizing, fixed-rate mortgages. The pool is characterized by substantial borrower equity in each mortgaged 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 within the prime mortgage range.

KBRA’s rating used loan-level analysis of the mortgage pool through its U.S. RMBS 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.