Hildene-CCC Loan Acquisition's latest sale of residential mortgage-backed certificates will raise $496.3 million, supported by almost one thousand non-prime loans.
CrossCountry Mortgage originated all the loans in the collateral pool, according to Fitch Ratings, one of the companies assigning ratings to the notes. Most of the loans, 61.6%, are non-qualified mortgages, and for the rest, ability to repay rules do not apply, according to Fitch Ratings.
Asset Securitization Report's deal database finds that the notes, rated AAA/AAA from Fitch and Kroll Bond Rating Agency, will pay coupons of 5.64%. The notes that KBRA rates BB- will pay 7.55%, according to the database.
Most of the pool, 74.6%, were underwritten to less than full documentation. Of the pool loans, 38.2% of them were underwritten to a 12-month or 24-month bank statement method to verify income, which is not consistent with how Fitch defines a full documentation program.
The rating agency did note that as of the cutoff date, no prior delinquencies had been reported. Select Portfolio Servicing will be the servicer, while Compushare Trust is the master servicer on the deal.
CROSS 2025-H6 Mortgage Trust will sell notes through 10 tranches of notes, all of which have a July 2070 legal final maturity date.
Collectively, the 968 loans in the collateral pool have three months of seasoning. Also, borrowers have what Fitch says is a moderate credit profile, with a Fitch FICO score of 742 and a debt-to-income ratio of 41.9%.
Just over half of the underlying loans in the pool, 54.2%, represent the borrower's primary residence, the rest of the pool finances investor properties or second homes, the rating agency said. Borrowers have $378,856 in reserves on a WA basis, according to Fitch.
