An agreement has been negotiated by the Federal Home Loan Mortgage Corp. to sell more than $40 million in non-performing mortgages.
Freddie Mac said that the sale involves 189 deeply deeply delinquent residential loans with an aggregate principal balance of $43.7 million.
Properties securing the mortgages are concentrated in Florida. Based on broker price opinions, the
loan-to-value ratio is around 93 percent.
The loans sold at a weighted-average price in the mid-70s.
Freddie said it started marketing the loans for sale in May. The mortgages are currently held in its investment portfolio, which stood at
$326 billion as of May 31.
The buyer is
Community Loan Fund of New Jersey Inc., a non-profit.
The settlement is expected to take place in September.
Servicing, which is currently handled by Bayview Loan Servicing LLC, will be transferred after the transaction settles.