Morgan Stanley's (NYSE: MS) first new private-label residential mortgage-backed securitization since the housing crisis will be backed by adjustable-rate seven-year jumbo loans, rather than the fixed-rate 30-year mortgages that have generally backed other post-crisis nonagency transactions.

First Republic Bank, a lender that been producing loans for PL RMBS since Redwood Trust's Sequoia securitization vehicle restarted the market post-crisis, is the source of all the mortgages in the $256 million pool backing the deal, according to a Fitch presale report. The loans in the deal stem from a bulk purchase and some have over a year of seasoning, but still generally are no more than 18 months old.

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