Market Overview

KBRA Assigns Preliminary Ratings to AMERIHOME GMSR ISSUER TRUST, Series 2018-GT1 Term Notes


Kroll Bond Rating Agency (KBRA) assigns a preliminary rating of ‘BBB
(sf)' to the Series 2018-GT1 Term Notes from AMERIHOME GMSR ISSUER
TRUST, AmeriHome Mortgage Company, LLC's (AmeriHome) master trust issuer
of notes backed by a participation certificate evidencing a
participation interest in mortgage servicing rights (MSR) on loans
underlying Ginnie Mae guaranteed mortgage backed securities. KBRA's
rating on the notes is primarily dependent upon the rating of AmeriHome
Mortgage Company, LLC (AmeriHome), as repurchase obligor.

KBRA's rating on the Series 2018-GT1 Term Notes is primarily dependent
on the credit rating of AmeriHome (KBRA
Rating: BBB-/Stable
) as repurchase obligor under a repo facility
in support of the Issuer's rights to MSRs granted by Ginnie Mae to
AmeriHome, with certain transaction features described more fully in
KBRA's presale report providing one notch uplift on the rating of the
notes. Generally, these transaction features are factors that KBRA
believes reduce the risk of extinguishment of the MSRs by Ginnie Mae
which include but are not limited to (i) the alignment of interest
between AmeriHome and Ginnie Mae based on AmeriHome's size and Ginnie
Mae market share, (ii) a tri-party acknowledgement agreement which
includes AmeriHome, Ginnie Mae, and the Indenture Trustee, (iii) an
uncapped Advance VFN existing for the purpose of advancing Ginnie Mae
MBS payments on behalf of AmeriHome where the Advance VFN provider must
also be a provider of the MSR VFN, and (iv) structural tests and
triggers designed to amortize the term notes upon test failure. The
notes are not a direct debt obligation of AmeriHome; however,
AmeriHome's obligations under the PC Repurchase Agreement creates a
significant indirect dependency on AmeriHome to make payments on the
rated notes.

KBRA's rating approach for the rated notes utilized its Global
Finance Company Rating Methodology (November 28, 2017).

KBRA's Finance Company methodology incorporates an analysis
of both business and financial factors in determining ratings. Some of
the business factors include (1) market share, branding and viability,
(2) risk management, and (3) economic and operational risks. Some
financial factors include (1) profitability (2) liquidity and funding
(3) leverage and capital adequacy and (4) asset quality.

For complete details on the analysis, please see our pre-sale report, AMERIHOME
, which was published on
August 8, 2018 on

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About KBRA and KBRA Europe

KBRA is a full service credit rating agency registered with the U.S.
Securities and Exchange Commission as an NRSRO. In addition, KBRA is
designated as a designated rating organization by the Ontario Securities
Commission for issuers of asset-backed securities to file a short form
prospectus or shelf prospectus, is recognized by the National
Association of Insurance Commissioners as a Credit Rating Provider, and
is a certified Credit Rating Agency (CRA) by the European Securities and
Markets Authority (ESMA). Kroll Bond Rating Agency Europe Limited is
registered with ESMA as a CRA.

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