Freddie Mac announces $ 1.3 billion NPL sale

MCLEAN, Va., Sept. 17, 2021 (GLOBE NEWSWIRE) – Freddie Mac (OTCQB: FMCC) today announced a sale of approximately $ 1.3 billion in non-performing loans (NPLs), via an auction of Seasoned senior non-performing residential loans held in Freddie Mac’s mortgage portfolio. NPLs are currently managed by Specialized Loan Servicing LLC, Select Portfolio Servicing, Inc., and NewRez LLC, d / b / a Shellpoint Mortgage Servicing.

NPLs are marketed through six pools: four Standard Pool Offerings (SPO®) and two extended calendar pool offerings (EXPO®), which target the participation of smaller investors, including nonprofits and businesses owned by Minority Veterans, Women, Persons with Disabilities, LGBT, Veterans or Disabled Veterans (MWDOB) .

Bids from qualified bidders are due no later than October 14, 2021 for SPO pools and November 16, 2021 for EXPO pools.

All eligible bidders, including private investors, MWDOBs, nonprofits, and neighborhood advocacy organizations, are encouraged to bid. To participate, all potential bidders must be approved by Freddie Mac and successfully complete a qualification package to access the secure data room containing NPL information and to bid on the NPL pool (s). Offers must be made on an all-or-nothing basis for any pool separately or for any combination of SPO pools together. The winning bidder for each pool will be determined based on the economics of the bids, subject to compliance with Freddie Mac’s internal reserve levels, at Freddie Mac’s sole discretion.

Freddie Mac’s advisers on the transaction are Citigroup Global Markets Inc. and First Financial Network, Inc., a women-owned company.

Freddie Mac’s seasoned loan offerings focus on reducing less liquid assets in the company’s mortgage-related investment portfolio in an economically reasonable manner. This includes NPL sales, reproductive loan securitizations (RPL) and structured RPL transactions. To date, Freddie Mac has sold $ 8.7 billion of NPL and securitized approximately $ 74.2 billion of RPL, of which $ 30.4 billion through fully guaranteed PCs, $ 32.3 billion through the program Seasonal Credit Risk Transfer (SCRT) and $ 11.5 billion through the Structured Seasonal Loan Transaction (SLST). The requirements guiding the servicing of these transactions focus on improving borrower outcomes and stabilizing communities. Additional information on Freddie Mac’s seasoned loan offerings can be found at http://www.freddiemac.com/seasonedloanofferings/

The financial and other information contained in the documents accessible on this page are only valid as of the date of these documents. The information could be out of date and no longer accurate. Freddie Mac assumes no obligation, and disclaims any duty, to update the information contained in these documents.

Freddie Mac makes home possible for millions of families and individuals by providing mortgage capital to lenders. Since our inception by Congress in 1970, we’ve made housing more accessible and affordable for buyers and renters in communities across the country. We are building a better housing finance system for buyers, tenants, lenders and taxpayers. Learn more at FreddieMac.com, Twitter @FreddieMac, and Freddie Mac’s blog FreddieMac.com/blog.

MEDIA CONTACT: Fred Solomon
703-903-3861
Frederick_Solomon@freddiemac.com

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