Fannie Mae Starts to Securitize HECM Portfolio, Issues $9 Billion BofA REMIC

Fannie Mae (OTC BB: FNMA.OB ) has securitized over $9 billion of HECM reverse mortgages—a little more than 18% of its total portfolio—in one transaction. The government sponsored enterprise issued a Real Estate Mortgage Investment Conduit (REMIC) consisting of $9,255,811,613 HECM loans originated by Bank of America. A REMIC is a type of multiclass mortgage-related security in which […]

Fannie Mae Seeks Gov. Assistance, HECM Share Falls to 2%

Despite $73 million in Q4 net income, Fannie Mae reported a fourth-quarter loss of $2.1 billion on Thursday and an annual loss of $14 billion. The annual loss attributable to common stockholders in the fourth quarter of 2010 was $2.1 billion and to eliminate the company’s net worth deficit of $2.5 billion for 2010, the […]

Ginnie Mae HMBS Issuance Up 26% in 2010

The Government National Mortgage Association (Ginnie Mae) guaranteed more than $33.5 billion in mortgage backed securities in December. “Ginnie Mae continues to be a vital part of the nation’s economic recovery,” said Ginnie Mae President Ted Tozer. “Clearly, investors appreciate the 100 percent government guarantee. The Ginnie Mae MBS has maintained a strong investor base […]

Consumers Less Certain Housing Market Has Bottomed says FNMA Survey

The number of Americans who believe it’s a good time to purchase a home fell to 68 percent (down 2 percentage points since June) according to the third Quarter 2010 Fannie Mae National Housing Survey. Polled between July 2010 and September 2010, the results show that Americans are less certain the housing market has bottomed. “Consumer attitudes […]

Fannie Mae Loses $1.3 Billion, Reverse Market Share Falls Below 1%

Fannie Mae reported a net loss of $1.3 billion in the third quarter of 2010 on Friday afternoon, up from $1.2 billion in the previous quarter. The company’s net loss attributable to common stockholders was $3.5 billion, including $2.1 billion in dividend payments to the U.S. Treasury.  The GSE said it requested $2.5 billion from […]

Ginnie Mae to Lift Moratorium on New Reverse Mortgage HMBS Issuers

More than six months after suspending the approval of new HMBS issuers, Ginnie Mae President Ted Tozer announced it will lift the moratorium in December during a speech at the National Reverse Mortgage Lenders Association’s annual conference in New Orleans. While the announcement was welcome news, Tozer failed to bring the most important piece of […]

Fannie Bids Adieu to Reverse Mortgages

Fannie Mae’s decision this month to suspend acceptance of new HECM deliveries was “a foregone conclusion,” according to one industry executive, who notes that the GSE “had effectively reduced its HECM market share from 100 percent to near zero over recent months.” In effect, “HECMs got more expensive, which generally reduced borrower proceeds,” this person […]

Fannie Mae Stops Purchasing Reverse Mortgages

Fannie Mae announced it’s no longer purchasing reverse mortgages due to its internal systems lack of ability to handle the new HECM Standard and Saver products according to a letter obtained by RMD. The Government Sponsored Entity (GSE) is no longer accepting new commitments or deliveries that have case numbers dated on or after October […]