Fannie Mae announces 23rd reproductive loan sale – NMP
Fannie Mae today announced its 23rd reproductive loan sale as part of the government’s continued efforts to reduce the size of its retained mortgage portfolio.
The sale consists of approximately 18,800 loans with an outstanding principal balance of approximately $ 2.9 billion, and is marketed in conjunction with Citigroup Global Markets Inc.
The sale is available for purchase by qualified bidders. Offers are due November 2, 2021.
Reproductive loans are loans that have been or are currently in arrears, but which have been repaid for a period of time.
The terms of the sale of the Fannie Mae Reproductive Loan require the buyer to offer loss mitigation options to any borrower who defaults within five years of the closing of the sale of the reproductive loan. All buyers are required to honor all loss mitigation efforts approved or in progress at the time of sale, including forbearance agreements and loan modifications.
Additionally, after closing, buyers should offer defaulting borrowers a series of loss mitigation options, including loan modifications, which may include a principal discount, before initiating foreclosure on a loan.
Interested bidders can register for the sale, as well as current announcements, training, and other information, on the Fannie Mae Wholesale Loan page.
Fannie Mae partners with lenders to create housing opportunities for families across the country.