AmeriHome Mortgage Company is preparing to sponsor $391.4 million in residential mortgage-backed securities (RMBS), backed by a pool of first-lien prime, qualified 30-year mortgages.
With a closing scheduled for October 30, the deal, AHMC 2026-CNF2 Trust will sell notes to investors through a series of class A and B notes, some of which are initially exchangeable, according to Kroll Bond Rating Agency analysts.
All the class A notes have earned the AAA rating from KBRA analysts, and all of the super senior tranches benefit from credit enhancement levels of 15.03%, KBRA said. Senior notes that are not interest only—A19 through A25—benefit from credit enhancement levels of 8.20%, the rating agency said.
Otherwise, credit enhancement levels ranged from 3.35% on the B1 notes to 0.35% on the B5 notes, according to the rating agency.
The super senior and senior notes, including tranches A1 through A25, will pay coupons including 5.50% on the A2 notes and 6.40% on the A25 tranche, the rating agency said.
AHMC 2026-CNF2’s notes have a final maturity date of October 2056, and initial purchasers include Morgan Stanley, BofA Securities, J.P. Morgan Securities and Nomura Securities, KBRA.
AHMC 2026-CNF2’s structure relies on a senior-subordinate structure, among other elements, to maintain credit to the notes. The deal also features a 120-day lockout feature. The deal will not advance any interest or principal on loans that are delinquent by 120 days or more, KBRA said.
There are 741 loans in the collateral pool, according to KBRA. On average, the loans have a balance of $528,226, with a weighted average coupon (WAC) of 6.51%.
On a WA basis, borrowers have a FICO score of 766, with moderate leverage of 70.5%, KBRA said. Borrowers also have a debt-to-income (DTI) ratio of 37.2%.
The well-heeled borrowers have a non-zero WA annual income of $249,734, the rating agency said.
Subordinate to the senior notes, KBRA assigns AA to the B1 notes; A- to the B2 notes; and BBB, BB and B to the B3, B4 and B5 tranches, respectively.
