Fannie Mae Introduces New Multifamily Master Trust Agreement for MBS and DMBS
WASHINGTON, DC -- Fannie Mae (FNM/NYSE) today introduced a new Multifamily Master Trust Agreement for fixed-rate, adjustable-rate, and non-interest bearing multifamily mortgage loans. Associated servicing clarifications for MBS (including discount mortgage-backed securities, or "DMBS") mortgage loan administration will be announced. The effective date for the new Multifamily Master Trust Agreement is September 1, 2007.
All multifamily mortgage-backed securities issued on or after September 1, 2007 will conform to the terms of the new Multifamily Master Trust Agreement. This new document has been posted to https://www.fanniemae.com/resources/file/mbs/pdf/multifamilytrustagreement_Sept2007.pdf.
On or before September 1, 2007, Fannie Mae will clarify certain guidelines for servicing MBS multifamily mortgage loans that will apply generally to all loans in Fannie Mae MBS and DMBS, whether the security is based on one of the current Trust Indentures or on the new Master Trust Agreement. A Trust Indenture or the Multifamily Master Trust Agreement, as applicable, is the legal document that contains the terms and conditions for our MBS and DMBS trusts and that identifies Fannie Mae's various responsibilities. By September 1, 2007, Fannie Mae expects all servicers for multifamily loans to implement the business processes necessary to comply with the servicing guidelines, as updated to be consistent with the new Multifamily Master Trust Agreement.
In addition to incorporating key servicing requirements, the Multifamily Master Trust Agreement also more clearly describes Fannie Mae's role as issuer, master servicer, guarantor, and trustee; clarifies the role of a "Primary Servicer;" and better reflects current market practices.Fannie Mae is a shareholder-owned company with a public mission. We exist to expand affordable housing and bring global capital to local communities in order to serve the U.S. housing market. Fannie Mae has a federal charter and operates in America's secondary mortgage market to ensure that mortgage bankers and other lenders have enough funds to lend to home buyers at low rates. Our job is to help those who house America.