New York Mortgage Trust, a mortgage real estate investment trust, on Friday announced its $59.6 million, privately placed RMBS securitization.

 

The deal, NYMT Residential 2012-RP1, is structured with a three year average life. The mortgage loans serving as collateral for the notes are performing and re-performing, fixed- and adjustable-rate, fully-amortizing, interest-only and balloon, seasoned mortgage loans secured by first liens on one- to four-family properties. 

The company said in a press release on Friday that it will use the net proceeds from the transaction for general corporate purposes, including funding new investments in accordance with its investment strategy or to repay indebtedness.

"This structure allows for the reinvestment by us of loan proceeds from sales, refinancing's or other resolutions, subject to certain deductions, for a period of two years, thereby providing us with greater funding flexibility for future loan purchases,” said Steven Mumma, Chief Executive Officer and President of NYMT. “We believe funding structures similar to this transaction and our two multi-family CMBS securitizations completed in 2012 provide the company with improved profitability while reducing credit and liquidity risks."

New York Mortgage Trust Inc. is a mortgage REIT that  invests in agency and non-agency MBS, high credit quality residential ARMs, commercial mortgage loans, and other financial assets.   

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