Fannie Mae Announces Winner of Eleventh and Twelfth Community Impact Pools of Non-Performing Loans
WASHINGTON, DC – Fannie Mae (FNMA/OTC) today announced the winning bidder for its eleventh and twelfth Community Impact Pools of non-performing loans. The transaction is expected to close on May 22, 2018, and includes approximately 182 loans totaling $34.25 million in unpaid principal balance (UPB), divided between two pools focused in the Orlando and Tampa areas of Florida. The winning bidder for pools 1 and 2 was VRMTG ACQ, LLC (VWH Capital Management, LP), a minority woman owned business.
In collaboration with Bank of America Merrill Lynch and First Financial Network, Inc., Fannie Mae began marketing these loans to potential bidders on February 13, 2018.
The loan pools awarded in this most recent transaction include:
- CIP Pool 1: 89 loans with an aggregate unpaid principal balance of $18,139,143; average loan size of $203,811; weighted average note rate of 4.49%; weighted average delinquency of 29 months; and weighted average broker's price opinion loan-to-value ratio of 104% weighted by UPB.
- CIP Pool 2: 93 loans with an aggregate unpaid principal balance of $16,112,178; average loan size of $173,249; weighted average note rate of 4.56%; weighted average delinquency of 42 months; and weighted average broker's price opinion loan-to-value ratio of 98% weighted by UPB.
The cover bids, which are the second highest bids, for the Community Impact Pools are 74.65% of UPB (68.22% of broker's price opinion) for Pool 1 and 78.21% of UPB (65.74% of broker's price opinion) for Pool 2.
On September 27, 2017, the Federal Housing Finance Agency announced additional enhancements to its requirements for sales of non-performing loans by Fannie Mae and Freddie Mac that build on requirements originally announced in March 2015 and apply to this Fannie Mae non-performing loan sale. These added enhancements encourage sustainable modifications that have the potential to give more borrowers the opportunity for home retention by requiring evaluation of underwater borrowers for modifications that may include principal and/or arrearage forgiveness; forbidding "walking away" from vacant homes; and establishing more specific proprietary loan modification standards.
Potential buyers can register for ongoing announcements or training, and find more information on Fannie Mae's sales of non-performing loans and on the Federal Housing Finance Agency's guidelines for these sales, at https://www.fanniemae.com/portal/funding-the-market/npl/index.html.Fannie Mae helps make the 30-year fixed-rate mortgage and affordable rental housing possible for millions of Americans. We partner with lenders to create housing opportunities for families across the country. We are driving positive changes in housing finance to make the home buying process easier, while reducing costs and risk. To learn more, visit fanniemae.com and follow us on twitter.com/FannieMae.