Vista Point Financial Holdings, LLC Completes $333.98 Million Securitization Backed by Closed End Second Mortgages

Securitization Backed by Nonagency Closed End Second Lien, Owner Occupied and Investor Mortgage Loans

Vista Point Financial Holdings, LLC (“Vista Point”), a leading  mortgage origination and investment platform, announces the completion of its $333.98 million securitization backed by nonagency closed end second lien (“CES”) owner occupied and investor mortgage loans.

This is the fourth issuance for Vista Point, which to date has acquired and originated over $5.1 billion in nonagency residential loans since the Company’s launch in 2019. The transaction is a first in the industry, featuring 100% nonagency CES.

Vista Point Securitization Trust 2024-CES1, which closed May 14, included six classes of fixed-rate notes offered to investors: Class A-1, Class A-2, Class A-3, Class M-1, Class B-1 and Class B-2, which DBRS, Inc. rated as AAA, AA, A, BBB, BB and B, respectively, in a private offering pursuant to Rule 144A under the Securities Act of 1933, as amended.  

The Company maintains alignment with securitization investors through risk retention and additional investment in the capital structure, a key part of its overall strategy.

"Vista Point was the first large-scale platform to develop nonagency CES mortgage loans in early 2022, which went live to our correspondent and wholesale clients later that year. With over $520 million in CES production, along with this successful securitization, the markets have validated this asset class,” said William Ashmore, President and CEO of Vista Point. “We thank all of our business partners and especially our employees in helping us achieve this milestone for the Company, and we look forward to continued growth of this key segment of our business.”

Jim Malloy, COO, EVP Capital Markets, added, “The deal had multiple oversubscription in the AAAs, with 18 investors in that class alone, and equally strong demand throughout the rest of the capital stack. We appreciate the participation by investors with whom we’ve shared multi-year partnerships in prior transactions, as well as those new to the VSTA franchise. We also wish to thank our banking syndicate for delivering strong execution and helping to differentiate the Company as an innovator, leader and investor in nonagency mortgage products broadly."

ATLAS SP Securities, a division of Apollo Global Securities, LLC, served as Structuring Agent, Lead Bookrunner and an Initial Purchaser. J.P. Morgan Securities LLC served as Joint Bookrunner and an Initial Purchaser. The Company was represented by Dentons US LLP, as Issuer’s counsel.

About Vista Point

With over $5.1 billion of mortgage volume since launch in 2019, Vista Point offers a suite of nonagency first lien and closed end second lien owner occupied and investor mortgage loan products covering nearly all 50 states. Sourced through multiple channels, they are uniquely designed to meet the financing needs of self-employed and W-2 borrowers who are underserved by traditional lending platforms.

The Company is strategically positioned at the intersection of alternative credit and nonagency residential mortgage. Through its complete vertical platform, we enable diversified exposure for investors to this asset class in whole loan, securitized or structured form that meets investment objectives and operational requirements. And with the ability to co-invest with our partners, our interests are fully aligned.

Vista Point senior management and operational teams have combined decades of experience working together in residential agency and nonagency mortgage, managing multibillion-dollar portfolios through various credit cycles, with a focus on origination, operations and long-term investment.

Platform Websites: 
CES-focused website, empowering our business partners to demonstrate the benefit of a borrower keeping their low-rate 1st lien and obtaining a CES vs. doing a traditional cash-out refi:

Jim Malloy
COO, EVP Capital Markets
Office: (949) 333-3326

Source: Vista Point Financial Holdings, LLC ("Vista Point")

About Vista Point Financial Holdings, LLC

Vista Point Financial Holdings, LLC
1920 Main Street , #Suite 200
Irvine, California