A new offering will provide the successful bidder with mortgage-servicing rights on at least $720 million in government-sponsored enterprise loans — though the amount could be much more.
The co-issue flow offering is for MSRs on between $60 million and $90 million per month in Fannie Mae and Freddie Mac residential loans.
The seller,
an independent mortgage banker with a strong retail presence in Illinois, is requesting a 12-month commitment with minimum three month pricing commitments that are renewed.
Incenter Mortgage Advisors announced the offering on Monday.
“The seller originates in excess of $150mm per month and would consider increasing the monthly volume commitment over time,” IMA said.
Based on data collected from the seller on closings from March 1 through May 31, the interest rate will be par plus or minus 100 basis points, and the service fee is 0.25 percent.
On a weighted-average basis, the original term is expected to be 340.8 months, the FICO score is estimated at 749.9, and the loan-to-value ratio is projected at 79.7 percent.
FNMA A/A are expected to make up 54 percent of the loans, and FHLMC ARC loans are anticipated to account for 46 percent.
Illinois is the location of 69 percent of the properties securing the loans, while no other state has a double-digit concentration.
The final bid date is July 18.
“The seller would prefer that the successful purchaser be capable of completing its due diligence and executing a purchase-and-sale agreement to effectuate the first monthly sale date on or prior to Aug. 31, 2017, with a ramp up going forward,” the announcement stated.
More information about the offering is available from IMA Managing Director
Thomas M. Piercy who can be reached at 303.302.9234 or [email protected].
