FMCC - Freddie Mac Prices Approximately $618 Million Securitization of Re-Performing Loans | Benzinga
MCLEAN, Va., March 05, 2024 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB:FMCC) announced today the pricing of its first Seasoned Credit Risk Transfer Trust (SCRT) offering of 2024—a securitization of approximately $618 million including both guaranteed senior and non-guaranteed subordinate securities backed by a pool of seasoned re-performing loans (RPLs). The SCRT program is a fundamental part of Freddie Mac's seasoned loan offerings which reduce less liquid assets in its mortgage-related investments portfolio and shed credit and market risk via economically reasonable transactions.
Freddie Mac Seasoned Credit Risk Transfer Trust, Series 2024-1 includes approximately $585 million in guaranteed senior certificates and $32 million in non-guaranteed mezzanine and subordinate certificates. The transaction is expected to settle on March 14, 2024. The underlying collateral consists of 3,635 seasoned fixed-, step-, and adjustable-rate RPLs, and includes both loans that were modified to assist borrowers at risk of foreclosure and loans that were never modified. On the Closing Date, the assets of the Trust will consist of seasoned, re-performing mortgage loans that, as of the Cut-Off Date, are either current or no more than 30 days delinquent under the MBA Method.
Initially, the Mortgage Loans will be serviced by Select Portfolio Servicing, Inc. and Specialized Loan Servicing LLC and will be serviced in accordance with requirements that, in ...