WASHINGTON, Feb. 14, 2020 /PRNewswire/ -- Fannie Mae (OTCQB: FNMA) priced its second Multifamily DUS® REMIC in 2020 totaling $1.03 billion under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS™) program on February 13, 2020.
"We were pleased with the execution of the 2020-M5, our $1 billion February GeMS deal, given the low-yield rate environment and market volatility," said Dan Dresser, Senior Vice President, Multifamily Capital Markets & Pricing. "In addition to our traditional 10-year fixed-rate collateral, the M5 offered a floating-rate execution off of our ARM 7-6 product, a LIBOR-based floater with an embedded 6% cap on the pass-through rate. This will likely be one of our last LIBOR-based floating rate GeMS executions as we work to develop a SOFR-based variable-rate product to meet the needs of our borrowers, as well as the future demands of our investors."
All classes of FNA 2020-M5 are guaranteed by Fannie Mae with respect to the full and timely payment of interest and principal. The structure details for the multi-tranche offering can be found in the table below:
|
Class
|
Original Face
|
Weighted
Average
Life
|
Coupon (%)
|
Coupon Type
|
Spread
|
Offered
|
|
Price
|
|
FA
|
$219,444,395
|
6.08
|
2.11
|
Floater/AFC
|
L+46
|
99.86
|
|
FX
|
$219,444,395
|
0.36
|
0.60
|
WAC IO
|
Not Offered
|
Not Offered
|
|
A1
|
$81,900,000
|
6.31
|
1.87
|
Fixed
|
S+40
|
100.00
|
|
A2
|
$570,862,710
|
9.79
|
2.21
|
Fixed
|
S+54
|
100.99
|
|
A3
|
$165,000,000
|
9.91
|
2.19
|
Fixed
|
S+50
|
101.17
|
|
X
|
$652,762,710
|
8.91
|
0.20
|
WAC IO
|
Not Offered
|
Not Offered
|
|
X3
|
$165,000,000
|
9.41
|
0.18
|
WAC IO
|
Not Offered
|
Not Offered
|
|
Total
|
$1,037,207,105
|
|
|
|
|
|
|
Group 1 Collateral
|
|
|
|
|
UPB:
|
$219,444,396
|
|
Collateral:
|
35 Fannie Mae DUS MBS
|
|
Geographic Distribution:
|
TX (41.77%), IL (10.5%), IN (9.57%)
|
|
Weighted Average
|
|
|
Debt Service Coverage Ratio (DSCR):
|
1.47x
|
|
Weighted Average
|
|
|
Loan-to-Value (LTV):
|
69.1%
|
|
Group 2 Collateral
|
|
|
|
|
UPB:
|
$817,762,710
|
|
Collateral:
|
69 Fannie Mae DUS MBS
|
|
Geographic Distribution:
|
TX (14.55%), VA (13.54%), GA (9.59%)
|
|
Weighted Average
|
|
|
Debt Service Coverage Ratio (DSCR):
|
1.50x
|
|
Weighted Average
|
|
|
Loan-to-Value (LTV):
|
67.4%
|
For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2020-M5) available on the Fannie Mae GeMS Archive page https://www.fanniemae.com/portal/jsp/mbs/mbsmultifamily/gems_archive.html
About Fannie Mae
Fannie Mae helps make the 30-year fixed-rate mortgage and affordable rental housing possible for millions of Americans. We partner with lenders to create housing opportunities for families across the country. We are driving positive changes in housing finance to make the home buying process easier, while reducing costs and risk. To learn more, visit:
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Certain statements in this release may be considered forward-looking statements within the meaning of federal securities laws. In addition, not all securities will have the characteristics discussed in this release. Before investing in any Fannie Mae issued security, you should read the prospectus and prospectus supplement pursuant to which such security is offered. You should also read our most current Annual Report on Form 10-K and our reports on Form 10-Q and Form 8-K filed with the U.S. Securities and Exchange Commission ("SEC") available on the Investor Relations page of our Web site at www.fanniemae.com and on the SEC's Web site at www.sec.gov.
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SOURCE Fannie Mae