Fannie Mae Priced $604 Million Multifamily DUS REMIC (FNA 2022-M13) Under Its GeMS Program

BY PR Newswire | AGENCY | 09/14/22 10:20 AM EDT

WASHINGTON, Sept. 14, 2022 /PRNewswire/ -- Fannie Mae priced a $604 million Multifamily DUS? REMIC under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS?) program on September 8, 2022. FNA 2022-M13 marks the seventh Fannie Mae GeMS issuance of 2022.

"The new issue market was crowded last week following the summer holidays, so we were pleased that investors were able to focus on the M13 deal with its discount, 10-year call-protected, fixed-rate collateral," said Dan Dresser, Senior Vice President, Multifamily Capital Markets and Pricing, Fannie Mae. "The spreads on the DUS MBS, which serves as the collateral backing the GeMS transaction, remained strong relative to other asset classes during this volatile year, and investors appreciate the ability for the market to create larger, well-diversified pools of the DUS MBS through the GeMS resecuritization process."

All classes of FNA 2022-M13 are guaranteed by Fannie Mae with respect to the full and timely payment of interest and principal. The structure details for the multi-tranche offering can be found in the table below:

Class

Original Face

Weighted Average
Life

Coupon (%)

Coupon Type

Spread*

Offered

Price

A1

$50,000,000

6.03

2.593

WAC

P+58

94.23

A2

$554,171,233

9.57

2.593

WAC

P+93

89.20

Total

$604,171,233






* The spread on FNA 2022-M13 was priced using the SOFR swap curve

Group 1 Collateral




UPB:? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?

$604,171,233

Collateral:? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?

65 Fannie Mae DUS MBS

Geographic Distribution:? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?

TX (18.54%), CA (16.99%), FL (7.84%)

Weighted Average Debt Service Coverage Ratio (DSCR):? ? ? ? ?

1.67x

Weighted Average Loan-to-Value (LTV):?????????? ? ? ? ? ? ? ? ? ? ? ? ?

61.8?%

?

For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2022-M13) available on the Fannie Mae GeMS Archive page.

About Fannie Mae
Fannie Mae advances equitable and sustainable access to homeownership and quality, affordable rental housing for millions of people across America. We enable the 30-year fixed-rate mortgage and drive responsible innovation to make homebuying and renting easier, fairer, and more accessible. To learn more, visit:?fanniemae.com | Twitter | Facebook | LinkedIn | Instagram | YouTube | Blog

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Certain statements in this release may be considered forward-looking statements within the meaning of federal securities laws. In addition, not all securities will have the characteristics discussed in this release. Before investing in any Fannie Mae issued security, you should read the prospectus and prospectus supplement pursuant to which such security is offered. You should also read our most current Annual Report on Form 10-K and our reports on Form 10-Q and Form 8-K filed with the U.S. Securities and Exchange Commission ("SEC") available on the Investor Relations page of our Web site at www.fanniemae.com and on the SEC's Web site at www.sec.gov.

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SOURCE Fannie Mae

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

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