Fannie Mae Markets $565 Million Reperforming Loan Sale
Fannie Mae has launched the marketing process for a sale of approximately 2,333 reperforming loans with an unpaid principal balance of roughly $565 million. Bids for the portfolio are due by June 23, 2026.
The sale is being marketed in collaboration with Citigroup Global Markets, Inc. and is open to qualified bidders.
Background on Reperforming Loans
Reperforming loans are mortgages that were previously seriously delinquent but have since returned to current payment status after a period of sustained performance. Fannie Mae regularly sells these types of assets as part of its broader credit risk management strategy.
The transaction includes several borrower protection requirements for any eventual purchaser. Buyers must provide loss mitigation options to borrowers who re-default within five years following the sale’s closing date. Purchasers are also required to honor any approved or ongoing loss mitigation efforts already in place at the time of transfer, including loan modifications.
In addition, if a borrower becomes delinquent after the sale, the purchaser must offer a “waterfall” of loss mitigation alternatives before initiating foreclosure proceedings. Those options may include loan modifications and, in some cases, principal forgiveness.
