Mortgage

Fannie Mae announces latest winner of non-performing loan sale

Sale includes $1.64 billion in unpaid principal balance

Fannie Mae announced the winner of its latest non-performing loan sale, a company which has become a common name in these transactions.

The winner of the thirteenth non-performing loan sale, Fannie Mae announced, is MTGLQ Investors, or better known as Goldman Sachs.

The sale includes about 9,800 loans of about $1.64 billion in unpaid principle balance, divided among four pools. The transaction is expected to close on July 20, 2018.

Fannie Mae began marketing this sale in collaboration with Bank of America Merrill Lynch and Williams Capital Group back in May.

While the total sale included 11,000 non-performing loans with an unpaid principal balance of $1.84 billion, the company explained a small portion would be sold as a Community Impact Pool.

Community Impact Pools are smaller loan pools that are geographically-focused and marketed toward nonprofits, minority- and women-owned businesses, and smaller investors. Bids for this portion of the pool are due by June 19, 2018.

Here are the four pools awarded in the most recent transaction:

Group 1 Pool: 2,372 loans with an aggregate unpaid principal balance of $358,278,749; average loan size $151,045; weighted average note rate 4.73%; weighted average delinquency 25 months; and weighted average broker's price opinion loan-to-value ratio of 79%.

Group 2 Pool: 3,182 loans with an aggregate unpaid principal balance of $478,667,973; average loan size $150,430; weighted average note rate 5.21%; weighted average delinquency 40 months; and weighted average BPO loan-to-value ratio of 63%.

Group 3 Pool: 1,403 loans with an aggregate unpaid principal balance of $210,828,373; average loan size $150,270; weighted average note rate 5.13%; weighted average delinquency 40 months; and weighted average BPO loan-to-value ratio of 63%.

Group 4 Pool: 2,881 loans with an aggregate unpaid principal balance of $595,183,158; average loan size $206,589; weighted average note rate 4.6%; weighted average delinquency 39 months; and weighted average BPO loan-to-value ratio of 120%.

The cover bid, or the second highest bid for the sale, was 81.48% of unpaid principal balance for all four pools, which were purchased on an all-or-none basis.

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