OneSavings Bank had its £167 million ($266 million), privately-placed, U.K. RMBS that is backed by non-conforming mortgages rated by Standard & Poor’s.
This is the first RMBS transaction for OneSavings Bank. The deal is backed by first-lien UK nonconforming residential mortgages owned by OneSavings Bank and originated by Advantage Home Loans, Charter Court Financial Services and GMAC-RFC.
S&P assigned preliminary ratings of ‘AAA’ to the £134 million of class A notes; ‘AA+’ ratings to the £5.25 million class B notes; ‘AA-’ ratings to the £7 million class C notes; ‘A-’ratings to the £8.25 million class D notes; and ‘BBB+’ ratings to the £3.50 million class E notes. The ratings agency did not rated the class E notes.
Morgan Stanley and Royal Bank of Scotland are lead underwriters in the deal.
Of the loans included in the pool, 31.7% of loans had previous county court judgment (CCJs) and 39.82% are self-certified loans.
The portfolio's weighted average current loan-to-value (LTV) ratio is 83.92% but more than 45% of the loans have an original loan-to-value (OLTV) ratio of more than 80%, according to the presale report.