April 17, 2021

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Mortgage News

Freddie Mac Announces Pricing of $362 Million Multifamily Small Balance Loan Securitization Other OTC:FMCC

MCLEAN, Va., March 12, 2021 (GLOBE NEWSWIRE) – Freddie Mac (OTCQB: FMCC) announces pricing for the SB84 offering, a multi-family mortgage-backed securitization backed by small loans signed by Freddie Mac and issued by a third-party trust. The company expects to issue approximately $ 362 million in SB Certificates (SB84 Certificates) expected to be settled on or about March 19, 2021. Freddie Mac Small Balance Loans generally range from $ 1 million to $ 7.5 million and are generally backed by real estate with five or more units of loans. This is the third self-service certificate transaction in 2021.

SB84 pricing

class Client / nominal
Amount (mm)
Weighted
Average life
(Years)
Spread
(bps)
coupon yield Dollar price
A-5H $ 89.090 4.12 6th 0.8800% 0.7521% 100.4647
A-10F $ 159,173 7.30 16 1.4900% 1.4156% 100.4401
A-10H $ 114,094 7.25 33 1.6600% 1.5790% 100.4732
X-1 $ 362,357 4.97 2,650 1.1800% 27.2710% 5.2166

Details:

Freddie Mac guarantees three senior classes of capital, interest and one interest rate of securities issued by the FRESB 2021-SB84 Mortgage Trust. Freddie Mac also acts as the mortgage loan seller and master servicer for the trust. In addition to the four classes of securities guaranteed by Freddie Mac, the Trust issues certificates consisting of class B and R certificates that are not guaranteed by Freddie Mac and are sold to private investors.

The Optigo® Small balance credit The origination initiative (SBL) was first announced in October 2014 and expands the company’s ongoing efforts to better serve less populous markets and to provide additional liquidity to smaller residential properties. Freddie Mac has a specialized network of Optigo sales / service providers and Optigo SBL lenders with extensive experience in the market, who provide loans across the country.

This announcement is not an offer to sell any Freddie Mac securities. Offers for any particular security will only be made through appropriate offering circulars and related supplements that will supplement Freddie Mac’s Annual Report on Form 10-K for the year ended December 31, 2020, filed with the Securities and Exchange Commission (SEC) on February 11, 2020 contain. 2021; all other reports Freddie Mac has filed with the SEC under Section 13 (a) of the Securities Exchange Act of 1934 (Exchange Act) since December 31, 2020, except for any information submitted to the SEC on Form 8-K ” “were; and all documents Freddie Mac files with the SEC under Section 13 (a), 13 (c) or 14 of the Exchange Act, except for any information “made available” to the SEC on Form 8-K.

Freddie Mac’s press releases sometimes contain forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties, some of which are beyond the control of the company. Management’s expectations for the future of the company necessarily involve a number of assumptions, judgments and estimates and various factors could cause actual results to differ materially from those expressed in these and other forward-looking statements. These assumptions, judgments, estimates and factors are discussed in the company’s Annual Report on Form 10-K for the year ended December 31, 2020 and in the reports on Form 10-Q and Form 8-K available in Investor Relations Page of the company’s website at www.FreddieMac.com/investors and the SEC website at www.sec.gov. The company assumes no obligation to update any forward-looking statements to reflect events or circumstances that occur after the date of this press release. The multi-family investor section on the company’s website at https://mf.freddiemac.com/investors/ will also be updated from time to time with information on material developments or other events that may be important to investors and we encourage investors to regularly review this website for such updated information.

The financial and other information in the documents that can be accessed on this page is only valid as of the date of these documents. The information may be out of date and no longer correct. Freddie Mac makes no obligation and disclaims any obligation to update the information in these documents.

Freddie Mac makes homes possible for millions of families and individuals by providing mortgage capital to lenders. Since our inception by Congress in 1970, we’ve made housing construction more accessible and affordable for buyers and renters in communities across the country. We’re building a better real estate finance system for homebuyers, renters, lenders and taxpayers. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac’s blog FreddieMac.com/blog.

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