Freddie Mac Announces $487 million Non-Performing Loan Sale
Freddie Mac (OTCQB: FMCC) has announced a significant $487 million non-performing loan (NPL) sale via auction.
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Rhea-AI Summary
Freddie Mac (OTCQB: FMCC) has announced a significant $487 million non-performing loan (NPL) sale via auction. The offering comprises seasoned, deeply delinquent residential first lien whole loans from Freddie Mac's mortgage-related investments portfolio.
The sale is structured across five pools: four Standard Pool Offerings (SPO) and one Extended Timeline Pool Offering (EXPO). Bids are due by October 16, 2025 for SPO pools and October 30, 2025 for the EXPO pool. Since 2011, Freddie Mac has sold $10.7 billion of NPLs and securitized approximately $81.3 billion of re-performing loans through various programs.
Positive
- Strategic reduction of less-liquid assets from mortgage portfolio
- Significant sale size of $487 million in non-performing loans
- Multiple pool options catering to different investor sizes
- Strong track record with $10.7B in NPL sales and $81.3B in RPL securitizations since 2011
Negative
- Portfolio contains deeply delinquent loans indicating credit quality issues
- Sale subject to meeting internal reserve levels which may limit execution
Details
News Market Reaction – FMCC
On Sep 25, the day this news came out, FMCC closed 1.88% below the previous close.
Data tracked by StockTitan Argus for the Sep 25 session.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Includes one Extended Timeline Pool Offering Targeting Smaller Investors
MCLEAN, Va., Sept. 25, 2025 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) announced today it will offer approximately
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 16, 2025 for the SPO pools, and October 30, 2025 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
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: Fred Solomon
703-903-3861
Frederick_Solomon@freddiemac.com
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