Fannie Mae Prices $858.2 Million Multifamily DUS REMIC (FNA 2018-M3) Under Its GeMS Program

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Mar 14, 2018, 03:38 ET

WASHINGTON, March 14, 2018 /PRNewswire/ -- Fannie Mae (OTC Bulletin Board: FNMA) priced its third Multifamily DUS^® REMIC in 2018 totaling $858.2 million under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS™) program on March 13, 2018.

"The M3 saw strong investor interest despite a week with heavy issuance volumes," said Dan Dresser, Vice President, Multifamily Capital Markets, Trading & Credit Pricing. "The flexibility of the DUS program enabled us to offer the market a range of investment options, from a short floater to a longer, 12-year fixed-rate tranche. This diversity of products attracted several new investors to the program, ultimately increasing the liquidity of the Agency CMBS market and improving our borrowers' financing execution."

All classes of FNA 2018-M3 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 are in the table below:

Class	Original Face	Weighted Average Life	Coupon (%)	Coupon Type	Spread	Offered
Class	Original Face	Weighted Average Life	Coupon (%)	Coupon Type	Spread	Price
FA	$439,481,089	6.45	1.868	Floater/AFC	28 DM	99.88
FX	$439,481,089	0.74	0.440	WAC IO	Not Offered	Not Offered
A1	52,500,000	7.64	3.090	WAC	S+40	98.55
A2	$366,173,981	11.62	3.193	WAC	S+55	96.81
X	$52,500,000	7.61	0.100	FIX/IO	Not Offered	Not Offered
Total	$858,155,070

Group 1 Collateral

UPB:	$439,481,089
Collateral:	62 Fannie Mae DUS MBS
Geographic Distribution:	GA (16.85%), OH (12.42%), NV (10.88%)
Weighted Average
Debt Service Coverage Ratio (DSCR):	1.90x
Weighted Average
Loan-to-Value (LTV):	69.9%

Group 2 Collateral

UPB:	$418,673,981
Collateral:	44 Fannie Mae DUS MBS
Geographic Distribution:	CA (18.16%), TX (16.51%), MD (10.88%)
Weighted Average
Debt Service Coverage Ratio (DSCR):	1.42x
Weighted Average
Loan-to-Value (LTV):	69.8%

Settlement Date:	March 29. 2018

Lead Manager:	Amherst Pierpont Securities
Co-Managers:	Morgan Stanley
	PNC Capital Markets LLC
	Mischler Financial Group, Inc

For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2018-M3) available on the Fannie Mae GeMS Archive page http://www.fanniemae.com/portal/jsp/mbs/mbsmultifamily/gems_archive.html.

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.

Fannie Mae helps make the 30-year fixed-rate mortgage and affordable rental housing possible for millions of Americans. We partner with lenders to create housing opportunities for families across the country. We are driving positive changes in housing finance to make the home buying process easier, while reducing costs and risk. To learn more, visit fanniemae.com and follow us on twitter.com/fanniemae.

SOURCE Fannie Mae