Fannie Mae sells a $581M nonperforming loan portfolio

Fannie Mae chose three winning bidders for its 10th nonperforming loan sale, which consisted of 3,400 loans with an unpaid principal balance of $581 million.

A Goldman Sachs affiliate, MTGLQ Investors LP, was a winning bidder of a Fannie Mae auction for the eighth time. It acquired pool 1, which had a cover bid (the second highest bid) of 80.4% of the unpaid principal balance of $127.7 million. The pool had 808 loans with a weighted average broker's price opinion loan-to-value ratio of 86.84%.

The second pool, made up of 681 loans with an unpaid principal balance of $115.8 million, was awarded to Igloo Series III Trust, an affiliate of Balbec Capital. The cover bid was 85.01% of the UPB while the weighted average broker's price opinion LTV was 81.03%.

Rushmore Loan Management Services received the third and largest pool. It was made up of 1,929 loans with an unpaid principal balance of $337.7 million. The cover bide was 77.63% of the UPB and the weighted average broker's price opinion LTV was 88.02%.

The loans were marketed with the help of Wells Fargo Securities and The Williams Capital Group.