Printer Friendly

Fannie Mae Closes $7.48 Billion in REMICs this Month, Including $2.23 Billion Salomon Deal; Company Reports Highest Monthly REMIC Volume Since 1994

WASHINGTON, Nov. 26 /PRNewswire/ -- Fannie Mae (NYSE: FNM) said today that the company will close $7.48 billion in REMICs in November, the highest monthly volume it has recorded since 1994. The November total includes a $2.23 billion REMIC with Salomon Brothers, Inc., the largest single agency REMIC with an investment banking firm in three years.

"Fannie Mae's record November volume is proof that the REMIC market is back and that Fannie Mae retains its market leadership in this vital security," said Lynda Horvath, Fannie Mae's senior vice president for capital markets. "The November numbers also demonstrate anew that Fannie Mae is committed to bringing liquidity, stability, and reliability to mortgage securitization."

Horvath said that the Salomon REMIC (1996-53) is backed by $1.1 billion in 30-year mortgages in MBS form with an interest rate of 7.5 percent; $310 million in balloon mortgages in whole loan form with a 7.5 percent interest rate; $483 million in 30-year mortgages in MBS form with an interest rate of 8 percent; $300 million in 15-year mortgages in MBS form with an interest rate of 6.5 percent; and $40 million in previously issued REMICs.

Horvath noted that nearly 80 percent of Fannie Mae's overall November REMIC closings, or $5.69 billion, were collateralized by MBS. An additional $595 million was backed by previously issued REMICs, along with $450 million backed by Stripped MBS, with the remainder of the REMICs collateralized by GNMA multifamily and single-family loans, and Fannie Mae whole loans.

Fannie Mae is a congressionally chartered, shareholder-owned company and the nation's largest source of funds for home mortgages. It has committed to provide $1 trillion in targeted lending for 10 million homes by the end of the decade. The targeted lending will serve low- and moderate-income families, minorities, new immigrants, residents of central cities and other underserved areas, and people who have special housing needs. More information about Fannie Mae can be found on the Internet at http://www.fanniemae.com.

For a menu of Fannie Mae news releases available by fax 24 hours (no charge) or to retrieve a specific release, please call 1-800-758-5804, ext. 305450, or access the address http://www.prnewswire.com on the Internet.

SOURCE Fannie Mae
 -0- 11/26/96


/CONTACT: Gene Eisman of Fannie Mae, 202-752-6673/

(FNM)

CO: Fannie Mae; Salomon Brothers, Inc. ST: District of Columbia IN: FIN SU:

KS-JA -- DCTU007 -- 4293 11/26/96 10:26 EST http://www.prnewswire.com
COPYRIGHT 1996 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1996 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 26, 1996
Words:410
Previous Article:Comsat Patent Infringement Suit Settled
Next Article:First of America Announces Plans to Further Realign and Streamline Its Delivery Systems and to Expand its Sales Incentive Programs
Topics:

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters