Skip to main content

Private InvestorsShare Less Risk with Fannie Mae.Team Thayer #foreclosure news #eugene #oregon

Fannie Mae has priced its latest credit risk sharing transaction in the Connecticut Avenue Securities (CAS) at $945.1 million, and the transaction is scheduled to settle on February 18, according to an announcement from Fannie Mae.
The transaction is Fannie Mae’s 10th in the CAS series over the last two-plus years since the program’s inception. The program was launched shortly after Freddie Mac’s Structured Agency Credit Risk (STACR) series; both of the programs, and other such as the Credit Insurance Risk Transfer (CIRT) program by Fannie Mae, are designed to reduce risk to taxpayers by transferring a portion of the risk on GSE residential single-family mortgage loans to private investors and increasing the role of private capital in the mortgage market.
Through the 10 CAS transactions, including the one expected to close on February 18, Fannie Mae has issued $13.4 billion in notes and transferred a portion of the credit risk to private investors on single-family loans totaling more than $467 billion in unpaid principal balance. Through all of its risk transfer programs, Fannie Mae has transferred a portion of the risk on more than half a trillion dollars in single-family mortgages.
“Fannie Mae continues to focus on the long term strength and stability of our Connecticut Avenue Securities program,” said Laurel Davis, VP of credit risk transfer, Fannie Mae. “We continue to work to build a deeper market for credit risk and are pleased with investor participation in the program. We’ve built a robust set of credit risk management tools that benefit Fannie Mae and the investors in our credit risk transfers. Fannie Mae will continue to innovate in the credit risk management space so that we can build a better housing finance system for the future.”
Fannie Mae shifted to an actual loss framework for CAS transactions beginning in October 2015. Under the new framework, any losses are passed through based on the realized losses of the loans following final disposition, according to Fannie Mae. For more information about the CAS series or Fannie Mae’s other credit risk sharing initiatives, click here.

justin lee thayer
Justin Lee Thayer 541 543 7287

Popular posts from this blog

Grass Seed Video

Read more

When Will Bank Foreclosurews ‘Normalize’? Team Thayer #realestate #investor #housing #market #news #oregon

With much of the talk surrounding the housing market centered on “normalization” or returning to its pre-crisis state, one metric which the market is watching is the distressed sales share—the share of REO and short sales that comprise total residential home sales. For February 2016, the distressed sales share declined by 2.9 percentage points over-the-year (and 0.4 percentage points over-the month) down to 11 percent, according to  data released by CoreLogic  on Thursday. At their peak in January 2009, distressed sales accounted for nearly one-third of all residential home sales (32.4 percent) but has been declining steadily since then. By comparison, the pre-crisis share of distressed sales was typically around 2 percent; CoreLogic estimates that if the current rate of year-over-year decline continues, the distressed sales share will reach the “normal” pre-crisis level in slightly more than two years. “Prior to the housing crash, the distressed share of total...
Read more

Bankruptcy Filings Dip Even Lower! Team Thayer #realestate #housing #market #investor #News #oregon

Bankruptcy Filings Dip Lower Nationwide bankruptcy filings were 5 percent lower in October 2016 compared with a year earlier, falling even lower than last month’s reported decrease, according to October 2016 AACER bankruptcy data reported by Epiq Systems. Bankruptcy filings totaled 63,042 in October, which was an increase from September’s total of 64,614, and was approximately 2.4 percent higher than October 2015’s total of 63,042 (an increase of 1,572).  Year-to-date, there have been 656,125 bankruptcy filings nationwide for the past nine months of 2016 (about 65,613 per month), down from 2015’s year-to-date total through the end of October of 700,014 (about 70,001 per month). The average number of filings per day in October 2016 was 3,152 over 20 days, which is an increase from September’s daily average of 3,077 over 21 days. The extra filing day in September compared to October accounts for the slight increase in the number of filings in September; had October feature...
Read more