Imperial Fund expands non-QM issuance with $265 million deal

Imperial Fund, a mortgage investment fund headquartered in Hollywood, Fla., has issued its 12th RMBS deal backed by non-QM performing loans.

The transaction (IMPRL 2022-NQM7), priced at approximately $265 million, consisted mainly of 30-year and 40-year fixed-rate and adjustable-rate mortgage loans, according to Fitch Ratings. About 43.4% of the loans in the pool are non-qualified mortgaged, 0.2% are designated as safe harbor qualified mortgages (SHQMs), and 56.4% are not subject to the Consumer Finance Protection Bureau’s (CFPB) Ability to Repay Rule (ATR Rule).

According to the agency’s expected ratings report, the home price values of this loan pool were 8.6% above a long-term sustainable level (versus 12.2% on a national level as of October 2022, up 1.2% since last quarter) due to Fitch’s updated view on sustainable home prices.