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Documents filed Oct. 9 indicate that Wells Fargo & Co. has set in motion oft-discussed plans to securitize residential mortgage loans in what would mark the bank's first such transaction since the first quarter of 2008.
An asset-backed securitizer report filed by Wells Fargo Asset Securities Corp. references Wells Fargo Mortgage Backed Securities 2018-1 Trust, and it contains the results of an independent third-party due diligence review of the loans selected for inclusion in the transaction.
A Wells Fargo spokesman said that the bank's plans to reenter the RMBS market reflect its intentions to "continue to best serve our mortgage customers as the market evolves and to expand our funding sources."
Fitch Ratings said in an Oct. 10 presale report that the transaction is backed by 660 fixed-rate, prime jumbo mortgages with an aggregate principal balance of $441.3 million. The weighted average borrower FICO score is 779, and the weighted average original combined loan-to-value ratio is 73.1%. All of the loans were originated through the retail channel of...