Fannie Mae announced its latest sale of non-performing loans, which is now available for purchase by qualified bidders.
The sale is made up of five pools of about 7,300 loans. The unpaid principal balance totals $1.39 billion. Fannie Mae is marketing the pools in collaborations with Wells Fargo Securities as an advisor. Bids are due by Nov. 3, 2016.
“As we work to reduce the number of seriously delinquent loans in Fannie Mae’s portfolio, we are pleased to continue to offer borrowers additional options to avoid foreclosure and help stabilize neighborhoods,” said Joy Cianci, Fannie Mae senior vice president of single-family credit portfolio management.
The terms of the sale will include requiring the buyer to pursue loss mitigation options that are sustainable for borrowers. If a foreclosure can’t be prevented, the owner of the loan must market the property to owner-occupants and non-profits exclusively before offering it to investors.
Fannie Mae also recently announced its first sale of re-performing loans, loans that were non-performing, but have since become current again.
