Securitization

Property inspection waivers were granted on 40.2% of the underlying mortgages, reflecting an increasing trend of agency mortgages being originated without them.

Machinery, medical, IT hardware, vehicles and the industrial sectors make up the top five categories in the pool.

Although investor properties, which are prone to higher chances of default, account for 58% of the pool, the strong borrower and collateral quality mitigate the credit stress.

In terms of the deal's capital structure, will repay noteholders following a sequential, shifting-interest structure, and six subordinate classes support the senior notes.

DRMT 2026-INV1, is backed by a pool of 1,153 non-prime investment property mortgages, which have a moderate leverage levels of an original, combined loan-to-value (CLTV) ratio of 69.9%.

Net franchise royalties support Jersey Mike's Funding 2026-1's cash flows, which accounts for 52.9% of securitized revenues.

The company allegedly made more than $200 million in "improper payments" before filing Chapter 11 earlier this week, lenders claimed, citing dividends and bonuses to corporate insiders.

The largest single obligor exposure is to the U.S. government, accounting for $146.8 million or 14.19% of the aggregate securitization value (ASV).

OBX 2026-J1 will repay noteholders through a senior subordinate, shifting interest structure.

The step came after FAT Brands didn't make interest payments due in October on some of its $1.2 billion in whole-business securitization debt.

During a three-month period after closing, PAID 2026-1's prefunding account will use deposits to purchase unsecured consumer loans, if they meet eligibility criteria.

TVC Mortgage's notes, which will be generally interest-only, will repay investors sequentially.

The moderate leverage reflects the quality of RMBS pools from recent issuance years. Borrowers have a non-zero WA annual income of $1 million, with liquid reserves of $594,348.

The deal includes some structural changes, such as subordination levels of 41.05%, 32.25%, 19.45% and 6.10% on classes A, B, C and D, respectively, and all those levels increased from the previous deal.

The notes will benefit from a reserve account, to be funded unless a default event occurs, and the transaction will deposit an amount equal to interest due on the class RR notes.

NewtekOne offers 10- to 25-year amortizing loans with no balloons, and either limited or no covenants, and other provisions similar to SBA 7(a) loans.

A reserve account is in place, although its percentage of the pool balance decreased compared with the previous deal. Also, pre-pricing excess spread was 13.89%.

Despite RCKT Mortgage's second-lien composition, the loans display several positive credit characteristics, including a WA credit score of 745.

The centers are also located in 15 markets, with the largest market accounting for 20.3% of the pool's annualized revenue.

Canyon Partners sees opportunities in corners of the mortgage, with tightened due diligence, and the auto ABS markets.