Skip to main content

Fannie Mae Announces Results of 26th Reperforming Loan Sale

David Krechevsky
Jul 18, 2022
Fannie Mae HQ

Winning bidders for loans totaling $889.75 million in unpaid principal balance were PIMCO and Kah Capital.

Fannie Mae has announced the results of its 26th reperforming loan sale. 

The deal, announced on June 9, 2022, included the sale of approximately 4,390 loans totaling $889.75 million in unpaid principal balance (UPB), divided into two pools. 

The winning bidders of Pool 1 and Pool 3, respectively, were Pacific Investment Management Company LLC (PIMCO) and Kah Capital Mortgage Credit Master Fund II, LP (Kah Capital), each awarded individually. Pool 2 was not awarded. 

The transaction is expected to close on Aug. 19, 2022. The pools were marketed with Citigroup Global Markets Inc. as advisor.

The loan pools awarded in this most recent transaction include:

Pool 1: 1,981 loans with an aggregate UPB of $523,518,876; average loan size of $264,270; weighted average note rate of 3.56%; and weighted average broker's price opinion (BPO) loan-to-value ratio of 54%.

Pool 3: 2,411 loans with an aggregate UPB of $366,227,099; average loan size of $151,898; weighted average note rate of 4.11%; and weighted BPO loan-to-value ratio of 53%.

The cover bids, which are the second-highest bids per pool, were 83.14% of UPB (38.39% of BPO) for Pool 1 and 86.55% of UPB (34.53% of BPO) for Pool 3. 

Reperforming loans are loans that have been or are currently delinquent but have reperformed for a period of time. The terms of Fannie Mae's reperforming loan sale require the buyer to offer loss-mitigation options to any borrower who may re-default within five years following the closing of the reperforming loan sale. All purchasers are required to honor any approved or in-process loss mitigation efforts at the time of sale, including forbearance arrangements and loan modifications. 

In addition, purchasers must offer delinquent borrowers a waterfall of loss-mitigation options, including loan modifications, which may include principal forgiveness, prior to initiating foreclosure on any loan.

Jul 18, 2022
U.S. Home Investors Poised For Growth

Economic turbulence favors small investors in hurting markets.

Aug 29, 2023
US Home Investor Share Remained High in Early Summer 2023

Small investors continue to purchase properties in high numbers; large investor activity is back to pre-pandemic level

Aug 17, 2023
Survey Shows Shift From Fix-And-Flip To Renting

Real estate investors lean towards renting amid market uncertainties.

Jul 20, 2023
DBRS Morningstar Rates Velocity Commercial Capital Loan Trust 2023-1

VCC 2023-1 is backed by 695 mortgage loans with a total principal balance of $240,308,194.

Jan 24, 2023
Fannie Mae Announces Results Of 28th Reperforming Loan Sale

The sale included approximately 10,100 loans totaling $1.9 billion in UPB, divided into five pools.

Jan 17, 2023
Ellington Financial Completes First Non-QM Loan Securitization Of 2023

EFI contributed about 85% of the loans, with the remainder contributed by a fund managed by Ellington Management Group L.L.C.

Jan 05, 2023