Fannie Mae has announced its latest sale of non-performing loans, including the company's fourteenth Community Impact Pool.
Image: Fannie Mae has announced the sale of non-performing loans. Photo: courtesy of mapichai / FreeDigitalPhotos.net.
Community Impact Pools are typically smaller pools of loans that are geographically-focused, and marketed to encourage participation by non-profit organizations, minority- and women-owned businesses (MWOBs), and smaller investors.
The five larger pools include approximately 10,700 loans totaling $1.95 billion in unpaid principal balance (UPB) and the Community Impact Pool of approximately 80 loans totaling $28.7 million in UPB.
The Community Impact Pool consists of loans geographically located in New York City. All pools are available for purchase by qualified bidders.
This sale of non-performing loans is being marketed in collaboration with Bank of America Merrill Lynch and First Financial Network, Inc. as advisors.
Bids are due on the five larger pools on October 4 and on the Community Impact Pool on October 23.
Among other elements, terms of Fannie Mae’s non-performing loan transactions require the buyer of the non-performing loans to pursue loss mitigation options that are sustainable for borrowers.
In the event a foreclosure cannot be prevented, the owner of the loan must market the property to owner-occupants and non-profits exclusively before offering it to investors, similar to Fannie Mae’s FirstLook® program.
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.