AD Mortgage Announces $432.4 Million Non-QM Securitization, Fifth Transaction Of 2026

AD Mortgage, a provider of non-QM and residential mortgage-backed securities (RMBS), announced AD Mortgage Trust 2026-NQM5 (ADMT 2026-NQM5), the company’s fifth securitization of 2026. The $432.4 million transaction marks another step in AD Mortgage’s steady issuance schedule and reflects its successful push to spread its loan pools across more regions of the country.

The underlying collateral pool consists of 1,008 residential mortgages, with 99% of loans originated by AD Mortgage LLC or its qualified correspondents. The pool reflects a strong borrower profile, including a weighted average borrower credit score of 754 and a weighted average combined loan-to-value (CLTV) ratio of 69.10%. As with prior transactions in the program, the certificates benefit from credit enhancement in the form of excess spread and subordination to protect senior certificate holders.

Florida remains the largest single-state concentration in the pool at 24.89%, consistent with the geographic profile of recent AD Mortgage securitizations as the company continues to grow its national origination footprint through its broker and correspondent network.

“The investor participation in the ADMT 2026-NQM5 transaction reflects the established cadence of our programmatic issuance platform,” said Dmitri Batsev, Managing Director at Imperial Fund Asset Management. “The consistent demand from a diversified institutional investor base is indicative of the underwriting standards applied to the underlying collateral and our regular presence in the market. Furthermore, this transaction demonstrates the ongoing execution of our strategy to reduce geographic concentration across our portfolio this year. By expanding our origination footprint regionally, we have broadened the credit profile of the pool, which has supported heightened investor engagement in this offering.”

This transaction follows AD Mortgage’s $407.0 million ADMT 2026-NQM4 deal, priced in May, and continues the company’s track record of bringing well-structured non-QM product to market with a consistent cadence throughout 2026.

Key Highlights of ADMT 2026-NQM5

  *   Transaction Volume: $432.4 million
  *   Loan Count: 1,008
  *   Loan Origination: 99% of loans originated by AD Mortgage or its qualified correspondents
  *   Average Borrower Credit Score: 754
  *   Weighted Average Combined Loan-to-Value (CLTV): 69.10%
  *   Credit Enhancement: Excess spread and subordination to protect senior certificates
  *   Largest State Concentration: Florida — 24.89%
  *   Servicer: 100% AD Mortgage LLC