Fannie Mae picks winners of 4th RPL sale of 2022

Agency also names Anthony Moon executive vice president and chief risk officer — a role responsible for global risk management

Fannie Mae has completed the sale of its 27th reperforming-loan offering since the inaugural transaction in 2016.

The deal represents Fannie Mae’s fourth reperforming-loan sale this year and involves a total of some 6,060 loans valued at $986.4 million. The offering — originally announced August 11 and dubbed FNMA 2022-RPL4 — was divided into three loan pools that were awarded separately. 

Pool 1 was composed of 1,790 loans valued at $337.8 million; pool 2, 2,217 loans valued at $338.9 million; and pool 3, 2,055 loans valued at $309.7 million. Terms of the sale were not disclosed.

“The winning bidders were Pacific Investment Management Co. LLC (PIMCO) for Pool 1, DLJ Mortgage Capital Inc. (Credit Suisse) for Pool 2, and Sutton Funding LLC(Barclays) for Pool 3,” Fannie Mae’s announcement of the sale states.

The transaction is slated to close by October 26. The reperforming-loan pools were marketed with Citigroup Global Markets Inc. acting as advisor.

A reperforming loan is a mortgage that has been or is currently delinquent but has been reperforming for a period of time. 

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“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,” Fannie’s announcement of the reperforming-loan sale states. “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.” 

Through four offerings to date, Fannie Mae has brought to market 31,780 reperforming loans valued at $5.4 billion, which is about one-third of the loan volume and count offered in total for all of 2021. Fannie Mae last year put on the market some 100,000 reperforming loans across five offerings with an aggregate unpaid principal balance of $14.5 billion, according to an analysis of the agency’s records. 

In related news, Fannie Mae has appointed Anthony Moon as executive vice president and chief risk officer. In the role, which he will take on effective in the fourth quarter of this year. Moon will oversee Fannie Mae’s enterprise risk management, a role responsible for governance and developing strategy for the agency’s global risk management.

Moon also will be part of Fannie Mae’s management committee. He will report to the agency’s president and interim CEO, David Benson.

Moon is coming to Fannie Mae from Morgan Stanley, where he has been overseeing risk management for the lender’s Wealth Management and Private Bank division — which manages some $5 trillion in assets. 

“With nearly 30 years of deep experience in market, credit, operational, and compliance risk, Anthony [Moon] is well positioned to lead our risk-management strategy, a core function of Fannie Mae’s business and vital to maintaining the company’s safety and soundness,” Benson said. 

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