Real Estate
Home›Real Estate›Residential›AD Mortgage completes $432.4M non-QM RMBS deal backed…
AD Mortgage completes $432.4M non-QM RMBS deal backed by 1,008 loans
The AD Mortgage Trust 2026-NQM5 collateral has a 754 weighted average FICO score and a 69.1% weighted average CLTV, with the transaction expected to close July 15.
AD Mortgage has completed its fifth non-QM residential mortgage-backed securities transaction of 2026, issuing a $432.4 million securitization backed by 1,008 residential mortgages. The deal, called AD Mortgage Trust 2026-NQM5, is expected to close on July 15, according to HousingWire, citing Fitch Ratings.
The mortgage pool as of the deal cutoff date totals $432.4 million, and nearly all loans, 99%, were originated by AD Mortgage or through its qualified correspondent lenders. HousingWire also reports that the underlying borrowers have a 754 weighted average FICO score, with a 69.1% weighted average combined loan-to-value ratio.
HousingWire says the structure includes credit enhancement, through excess spread and subordination, intended to provide additional protection for senior certificate holders. Florida loans represent the largest share of the pool at 24.89%, while the company said the transaction reflects an effort to reduce geographic concentration by expanding originations via its broker and correspondent network.
In comments cited by HousingWire, Dmitri Batsev of Imperial Fund Asset Management said investor participation reflects the programmatic issuance platform and consistent demand from a diversified institutional investor base. The company also framed the deal as part of its strategy to broaden the regional credit profile, following a $407 million ADMT 2026-NQM4 transaction that priced in May.