NEW YORK, Oct. 31, 2013 /PRNewswire/ -- Morningstar Credit Ratings, LLC today announced it has been selected to rate five classes of single-family rental pass-through certificates from Invitation Homes 2013- SFR1 (IH 2013- SFR1), a single-family rental securitization. IH 2013- SFR1 is the first issuance of rated bonds backed by the cash flows and value of single-family rental properties.
"By providing new-issue ratings for single-family rental securities, we're now able to bring our transparent and investor-focused model to another area of the credit ratings space," Vickie Tillman, president of Morningstar Credit Ratings, said. "Our mission is to create great products that help investors reach their financial goals, and we hope that providing new-issue ratings will provide investors with another source of analysis as they conduct due diligence."
This is the first single-family rental transaction Morningstar will rate. These pools of single-family rental properties are generally investment properties with existing tenants or available for rent to new tenants. Morningstar's "Single-Family Rental Securitization Ratings Methodology" for new-issue and surveillance ratings of securities backed by pools of single-family rental properties is available at ratingagency.morningstar.com/analysisandconsiderations. After Morningstar publishes the preliminary ratings and pre-sale report, it will monitor and update its ratings as necessary.
A "Guide to the Morningstar Single-Family Rental Quantitative Analysis and Subordination Model," which details Morningstar's quantitative model for assessing single-family rental securities, is also available at ratingagency.morningstar.com/analysisandconsiderations.About Morningstar Credit Ratings, LLC and Morningstar, Inc. Morningstar Credit Ratings, LLC is a Nationally Recognized Statistical Rating Organization (NRSRO) that specializes in structured credit research and ratings, and offers a wide array of services including new-issue ratings and analysis, operational risk assessments, surveillance services, data, and technology solutions. Morningstar Credit Ratings, LLC is a subsidiary of Morningstar, Inc. (NASDAQ: MORN), a leading provider of independent investment research in North America, Europe, Australia, and Asia. Morningstar, Inc. offers an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors. Morningstar provides data on approximately 437,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 10 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its registered investment advisor subsidiaries and has more than $176 billion in assets under advisement and management as of Sept. 30, 2013. The company has operations in 27 countries. Morningstar, Inc. is not an NRSRO and its credit ratings on corporate and municipal issuers are not NRSRO credit ratings.