Tag Archives: Credit Insurance Risk Transfer

As part of Fannie Mae's ongoing effort to reduce taxpayer risk by increasing the role of private capital in the mortgage market, the execution of the fifth Credit Insurance Risk Transfer transaction of 2023 transferred $424.4 million of mortgage credit risk to private insurers and reinsurers.

Fannie Mae announced that it has executed its sixth Credit Insurance Risk Transfer (CIRT) transaction of 2022. As part of Fannie Mae's ongoing effort to reduce taxpayer risk by increasing the role of private capital in the mortgage market, CIRT ...

Fannie Mae announced the execution of its fourth Credit Insurance Risk Transfer (CIRT) transaction of 2022. Dropping nearly 12% from the first transaction of $26 billion executed in February, Fannie Mae will retain risk for the first 45 basis points ...

Fannie Mae has announced its first completed Credit Insurance Risk Transfer (CIRT) transaction of 2018, consisting of nearly $17 billion in single-family loans from the Enterprise’s portfolio. Entitled CIRT 2018-1, the transaction “is a part of Fannie Mae’s ongoing effort ...

Fannie Mae announced that it secured commitments for a front-end Credit Insurance Risk Transfer (CIRT) transaction. The risk transfer will have been committed prior to Fannie Mae’s acquisition of the covered loans, so the insurance coverage will be effective as soon as loans are acquired. This will begin in the 2017 second-quarter deliveries and is expected to be filled over the course of nine months.

Fannie Mae plans to continue offering its traditional CIRT transactions that cover existing loans in its portfolio.

DS News spoke with Rob Schaefer, VP of Credit Enhancement Strategy and Management, to discuss Fannie Mae’s Credit Insurance Risk Transfer program and what potential bidders can anticipate with these transactions in the new year.

It has been a big week for credit risk transfer transactions. Earlier this week, JPMorgan Chase announced a $1.9 billion residential mortgage-backed securities deal, and now Fannie Mae has announced its largest deal to date.

Both Fannie Mae and Freddie Mac have announced that their respective credit risk sharing initiatives will continue in 2016 in order to allow more participation from the private sector in the U.S. housing market.