The pace of Fannie Mae multifamily mortgage-backed securities (MBS) issuance jumped 30% in the second quarter of this year, as the company issued approximately $4.6 billion of multifamily MBS backed by new multifamily loans delivered by its lenders.
Fannie Mae also re-securitized $3.2 billion of Delegated Underwriting and Servicing (DUS) MBS through its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMSTM) program in the second quarter. This issuance volume was generated over three Fannie Mae GeMS real estate mortgage investment conduit (REMIC) transactions.
In addition, Fannie Mae says it issued one multifamily REMIC backed by $632.9 million of dealer-contributed DUS MBS in the second quarter of 2014, adding to the liquidity of Fannie Mae DUS MBS.
Also, Fannie Mae Capital Markets sold approximately $3.7 billion of Fannie Mae multifamily mortgage securities from its portfolio in the second quarter.
"We saw an increase in loan deliveries from our DUS lenders in Q2, and the activity for our securities was robust, with total issuance increasing thirty percent from Q1," says Manny Menendez, senior vice president of multifamily capital markets and pricing for the government-sponsored enterprise.