Resimac completes second RMBS issue for the year

Mortgage lender Resimac has raised A$500 million of residential mortgage-backed securities.

Resimac Premier 2015-1 is backed by a portfolio of prime mortgages, which have an average size of $264,432 and an average loan-to-valuation ratio of 64.4 per cent. Investment loans make up 40.4 per cent of the pool.

Resimac will pay 100 basis points over the bank bill swap rate on the $450 million of A1 notes, which have a weighted average life of 2.6 years.

Pricing on the $30 million of AB notes, which have a weighted average life of 4.1 years, is 195 bps over the swap rate.

Pricing on the $17.5 million of B1 notes, which have a weighted average life of 4.1 years, is 315 bps over the swap rate.

Pricing on the $2.5 million of B2 notes, which have a weighted average life of five years, is 540 bps over the swap rate.

This is Resimac's second issue in the RMBS market this year. In March it raised $375 million with an issue backed by a pool of non-conforming loans.

The margin on the latest deal is a little wider than recent transactions. ME paid a margin of 95 bps on the top tranche of its $1.5 billion issue last month and Firstmac paid a margin of 98 bps top tranche of its $1 billion issue in M