New Residential Mortgage is marketing $503 million of bonds backed by mostly re-performing residential mortgages, according to Standard & Poor’s
Nationstar Mortgage will be the servicer and master servicer for the transaction, called NRMLT 2014-3. Citibank is the owner trustee and paying agent, and is responsible for advancing delinquent principal and interest to the trust in the event the master servicer is financially unable to make advances.
The deal will offer a series of notes that are backed by a pool of fixed- and adjustable-rate mortgage loans secured by condominiums, co-op units, planned-unit developments, two-to-four residential properties and townhomes.
Although most of the loans in the pool are now current, a portion (4.3%) of the loans in the pool are currently 30 days delinquent on their principal and interest payments; 17.2% of the loans were 30 or 60 days delinquent; and 5.1% were 90-plus days delinquent at some point during the 12 months before the cutoff date. Sixty-eight loans have received principal forbearance modifications.
The loans have a weighted average FICO of 701 and a weigheted average loan-to-value ration of 70%, in line with the last transactions issued by New Residential, NRMLT 2014-2. S&P expects to rate the notes from AAA’ to B’.