Additional Information Regarding Fannie Mae's Purchase of Certain FHA-Insured and VA-Guaranteed Mortgage Loans Backing Fannie Mae Multi-Class Structured Securities

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Additional Information Regarding Fannie Mae's Purchase of Certain FHA-Insured and VA-Guaranteed Mortgage Loans Backing Fannie Mae Multi-Class Structured Securities

WASHINGTON, DC — On March 16, 2011, Fannie Mae (FNMA/OTC) announced its intention to exercise its right to purchase from Fannie Mae multi-class structured securities certain securitized FHA-insured and VA-guaranteed mortgage loans for which the seller has failed in its obligation to make required interest shortfall payments.

Fannie Mae intends to conduct an initial purchase of certain affected loans from such securities effective as of August 1, 2011, the result of which would be an unscheduled distribution of principal to investors in those securities on the August 25, 2011 distribution date.

The total dollar volume of the mortgage loans eligible for purchase by Fannie Mae was approximately $880 million (measured by scheduled unpaid principal balances as of July 1, 2011). The July 1, 2011 aggregate stated principal balance of mortgage loans to be purchased was approximately $686 million. Actual amounts purchased by Fannie Mae may differ as a result of July loan activity.

Fannie Mae will release additional information on the anticipated purchase of the remaining eligible FHA-insured and VA-guaranteed mortgage loans from Fannie Mae multi-class structured securities when available.

The following table lists the trusts as well as the related collateral group, approximate aggregate scheduled unpaid principal balance and approximate percent of loans in the related collateral group that will be included in Fannie Mae's initial purchase of FHA-insured and VA-guaranteed mortgage loans.

Fannie Mae Trusts Impacted by the Initial Purchase
Trust NumberCollateral GroupApproximate Aggregate UPB ($) as of July 1, 2011 of loans repurchased*Approximate % of Group UPB
2001-T8 1
2
6,162,000.00
1,421,000.00
11%
20%
2001-T10   19,101,000.00 13%
2001-T12 1
2
9,428,000.00
855,000.00
14%
7%
2002-T1   15,697,000.00 18%
2002-T4   6,831,000.00 5%
2002-W3   5,523,000.00 6%
2002-W4 1
2
11,203,000.00
2,454,000.00
11%
16%
2002-W7 1
2
8,819,000.00
1,506,000.00
13%
19%
2002-W9   7,931,000.00 13%
2002-W10 1 1,476,000.00 2%
2003-W2 1
2
13,548,000.00
17,087,000.00
12%
12%
2003-W3 1
2
4,001,000.00
3,613,000.00
5%
11%
2003-W6 1
2
3
4
5
6
11,281,413.00
14,686,000.00
16,541,000.00
11,388,000.00
5,736,000.00
4,635,000.00
13%
21%
26%
23%
12%
14%
2003-W8 1
2
3
4
31,115,000.00
8.953,000.00
5,658,000.00
1,535,000.00
26%
27%
20%
6%
2003-W12 1
2
3
47,243,000.00
35,815,000.00
3,010,000.00
26%
22%
16%
2003-W14 1
2
16,135,000.00
772,000.00
15%
7%
2003-W15 1
2
3
5,013,000.00
18,480,000.00
272,000.00
24%
22%
3%
2003-W17 1 43,721,000.00 25%
2003-W18 1
2
16,689,000.00
2,027,000.00
12%
8%
2003-W19 1
2
46,942,000.00
2,382,000.00
32%
17%
2004-T1 1
2
62,214,000.00
4,781,000.00
33%
18%
2004-T2 1
2
12,317,000.00
1,998,000.00
7%
12%
2004-T3 1
2
9,448,000.00
2,208,000.00
8%
20%
2004-W1 1
2
3
18,674,000.00
20,755,000.00
1,570,000.00
20%
14%
13%
2004-W9 1
2
3
7,946,000.00
7,158,000.00
1,550,000.00
14%
14%
14%
2004-W11 1
2
25,809,000.00
724,000.00
17%
5%
2004-W12 1
2
11,841,000.00
439,000.00
10%
4%
2005-W1 1
2
9,381,000.00
1,173,000.00
8%
12%

* Actual amount purchased may differ as a result of July loan activity.

As a point of clarification, the customary four-month delinquency purchase option that applies to Fannie Mae single-family MBS trusts does not apply to multi-class structured securities backed solely by FHA-insured and VA-guaranteed mortgage loans.

Inquiries regarding this Announcement should be directed to the Fannie Mae Fixed-Income Securities Helpline at (888) 266-3457 or fixedincome_marketing@fanniemae.com.

Certain statements in this announcement may be considered forward-looking statements within the meaning of the federal securities laws, including statements about our plans to purchase loans from trusts and the effect of these purchases on the trusts. Factors that may cause actual results to differ materially from the expectations in these and other forward-looking statements include issues related to the seller of the loans, servicing and operational constraints, as well as those discussed in our Annual Report on Form 10-K for the year ended December 31, 2010 and our reports on Form 10-Q and Form 8-K, filed with the SEC and available on the Investors page of our Web site at www.fanniemae.com and the SEC's Web site at www.sec.gov.

Originally Published: August 4, 2011