La Trobe Financial 2018-1: 19 April 2018
The La Trobe Financial Group was established in 1952 and since then has lent over A$12 billion to over 130,000 borrowers nationally. Over the last 10 years, La Trobe Financial has lent A$6 billion in primarily residential and commercial secured mortgage loans. Throughout its history La Trobe Financial has specialised in lending to borrowers who fall outside the traditional lending criteria of bank lenders, commonly referred to as the "specialised mortgage market".
The Mortgage Loans have been sourced from a pool of loans originated by the Originator. Each Mortgage Loan is secured by a first ranking Mortgage over residential property located in Australia. Eligibility criteria (also includes): the Mortgage Loan is denominated, and only payable, in Australian dollars; the Mortgage Loan requires monthly payments sufficient to pay interest and fully amortise the principal over the loan term except that a Mortgage Loan may require monthly payments sufficient to pay interest only for up to the first five years and then, for the remaining term of the Mortgage Loan, monthly payments sufficient to pay interest and fully amortise the principal over the remaining term of the Mortgage Loan; the Mortgage Loan is secured by a valid and enforceable first mortgage; the relevant Obligor has no right to convert from a variable loan to a fixed rate in respect of the Mortgage Loan; no payments due and payable by the relevant Obligor are outstanding or have not been paid in full.
As at the cut-off date (28 February 2018) the portfolio consisted of 1,809 loans (advanced to 1,666 borrowers), where the average consolidated loan balance is A$450,002 and the largest is for A$1.974mln. Occupancy (by current balances): investment 51.32%, owner-occupied 48.68%. Documentation: Full docs 50.89%, alt doc 49.11%. Repayment type: P&I 70.60%, interest-only 29.40%. The WA current LVR is 69.75% (original LTV was 70.89%) and the WA seasoning is 11.2 months. Regional concentration: Victoria 41.10%, NSW 26.04% and Queensland 20.27%.
CRR 405: The Trust Manager, as an originator for the purposes of the CRR, will undertake to retain on an ongoing basis a material net economic interest of not less than 5% in accordance with the provisions of paragraph 1(a) of Article 405 of the CRR. The Retention will be comprised by the Trust Manager holding 100% of the shares in the Retention Vehicles who will, between them, hold not less than 5% of the aggregate Invested Amount of each Class of Notes issued.
Compare/contrast: La Trobe Financial 2017-2, National RMBS Trust 2018-1