Standard & Poor's Corp. has upgraded North American Mortgage Co.'s senior debt to triple B plus from triple B.
North American's "balance between retail production capacity and servicing portfolio retention, and planned sales of servicing production to steady buyers ensure a steady flow of earnings and cash flow," S&P analysts wrote.
North American, based in Santa Rosa, Calif., rates as the industry's 13th-largest originator of mortgages, with $2.8 billion of loans written as of June 30.
While the company's chief venue remains the volatile California market, S&P noted that North American is making strides to diversify. The marketing shift is among the firm's "substantial efforts to retool origination and servicing capabilities," S&P said.