Freddie Mac Announces $474 Million Non-Performing Loan Sale

Freddie Mac will auction $474 million of non-performing loans in five pools as part of its ongoing seasoned loan disposition program.

Rhea-AI Summary

Freddie Mac (FMCC) plans to auction approximately $474 million of non-performing residential first-lien whole loans from its mortgage-related investments portfolio.

The loans, currently serviced by several third-party servicers, are grouped into five pools: four Standard Pool Offerings (SPO®) and one Extended Timeline Pool Offering (EXPO®) aimed at smaller investors. Bids from qualified bidders are due October 6, 2026 for the SPO pools and October 23, 2026 for the EXPO pool. Advisors on the transaction are BofA Securities and First Financial Network. The company states that seasoned loan sales help reduce less-liquid assets, and since 2011 it has sold $11.4 billion of NPLs and securitized about $81.7 billion of re-performing loans.

Positive

• Non-performing loan sale of approximately $474 million reduces less-liquid assets in the investments portfolio
• Seasoned loan track record: $11.4 billion of NPLs sold since 2011
• Re-performing loan securitizations total about $81.7 billion since 2011 across multiple programs

Negative

• None.

News Explained

Freddie Mac has announced an auction for approximately $474 million of non-performing mortgage loans, with bids due on October 6, 2026 or October 23, 2026; this is an offering in progress, not a completed transfer or disclosed cash receipt.

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Includes One Extended Timeline Pool Offering Targeting Smaller Investors

MCLEAN, Va., Sept. 16, 2026 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) announced today it will offer approximately $474 million in non-performing loans (NPL) for sale via auction. The NPLs being offered consist of seasoned, deeply delinquent residential first lien whole loans held in Freddie Mac’s mortgage-related investments portfolio. The NPLs are currently serviced by Select Portfolio Servicing Inc., Newrez LLC, d/b/a Shellpoint Mortgage Servicing, or Selene Finance LP, or Rocket Mortgage, LLC d/b/a Rushmore Servicing.

The NPLs are being marketed via five pools: four Standard Pool Offerings (SPO^®) and one Extended Timeline Pool Offering (EXPO^®).

Bids are due from qualified bidders by October 6, 2026 for the SPO pools, and October 23, 2026 for the EXPO pool.

To participate, all potential bidders must be approved by Freddie Mac and successfully complete a qualification package to access the secure data room containing information about the NPLs and to bid on the NPL pool(s). The bids are to be made on an all-or-none basis for any pool separately. The winning bidder for each pool will be determined on the basis of the economics of the bids, subject to meeting Freddie Mac’s internal reserve levels, at Freddie Mac’s sole discretion.

Advisors to Freddie Mac on the transaction are BofA Securities, Inc. and First Financial Network, Inc.

Freddie Mac’s seasoned loan offerings focus on reducing less-liquid assets in the company’s mortgage-related investments portfolio in an economically sensible way. This includes sales of NPLs, securitizations of re-performing loans (RPLs) and structured RPL transactions. Since 2011, Freddie Mac has sold $11.4 billion of NPLs and securitized approximately $81.7 billion of RPLs consisting of $30.5 billion via fully guaranteed MBS, $37.6 billion via the Seasoned Credit Risk Transfer (SCRT) program, and $13.6 billion via the Seasoned Loans Structured Transaction (SLST) program. Requirements guiding the servicing of these transactions are focused on improving borrower outcomes and stabilizing communities. Additional information about Freddie Mac’s seasoned loan offerings is available at https://capitalmarkets.freddiemac.com/seasonedloanofferings.

The financial and other information contained in the documents that may be accessed on this page speaks only as of the date of those documents. The information could be out of date and no longer accurate. Freddie Mac undertakes no obligation, and disclaims any duty, to update any of the information in those documents.

Freddie Mac’s mission is to make home possible for families across the nation. We promote liquidity, stability and affordability in the housing market throughout all economic cycles. Since 1970, we have helped tens of millions of families buy, rent or keep their home. Learn More: Website | Consumers | X | LinkedIn | Facebook | Instagram | YouTube

MEDIA CONTACT: Mollie Laniado
571-382-1784
mollie_laniado@freddiemac.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What types of pools are included in this Freddie Mac NPL sale?

The sale consists of five pools of non-performing loans: four Standard Pool Offerings (SPO®) and one Extended Timeline Pool Offering (EXPO®), with the EXPO pool described as targeting smaller investors.

What are the bid deadlines for the SPO and EXPO pools?

Bid deadlines are October 6, 2026 for the SPO pools and October 23, 2026 for the EXPO pool.

Who can participate in bidding on these non-performing loan pools?

Only qualified bidders approved by Freddie Mac may participate. Potential bidders must complete a qualification package to gain access to the secure data room and to submit bids on the NPL pools.

How will winning bidders be selected for each pool?

Winning bidders are selected based on the economics of their bids, provided those bids meet Freddie Mac’s internal reserve levels. Selection is at Freddie Mac’s sole discretion, and bids are made on an all-or-none basis for each pool separately.

Who is advising Freddie Mac on this NPL transaction?

Advisors on the transaction are BofA Securities and First Financial Network.