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Multiclass Participants Memoranda (MPMs)

All Multiclass Participants Memoranda (MPMs) can be accessed via our online library (powered by AllRegs) or downloaded in Portable Document Format (PDF) from this page. Please click herearrow to download Adobe Acrobat Reader.

Only a subset of MPMs are listed on this page. In order to access all MPMs b​ack to year 2002, please click herearrow. Please direct any questions you may have to your Ginnie Mae Account Executive in the Office of Issuer and Portfolio Management at (202) 708-1535 or to the Office of Capital Markets at (202) 401-8970.

5 most recent MPMs
1/27/2016 - MPM 16-01

The purpose of this Multiclass Participants Memorandum (MPM) is to notify Real Estate Mortgage Investment Conduit (REMIC) Sponsors that Ginnie Mae will no longer review collateral modifications of multifamily and healthcare loans in Ginnie Mae mortgage-backed securities (MBS) that back Ginnie Mae REMIC Trusts. For purposes of this MPM, healthcare loans do not include FHA Section 242 hospital loans, which remain subject to the requirements in MPM 11-04. Collateral modifications include, but are not limited to, partial releases of secured property and the addition of real property as mortgage collateral, including modifications necessitated by the origination of some FHA Section 241(a) supplemental loans (241 loans). This policy is effective as of December 30, 2015 - see All Participants Memorandum (APM) 15-22, available on the Ginnie Mae website at www.ginniemae.gov.

Section 241(a) of the National Housing Act authorizes supplemental loans to finance repairs, additions, and improvements to multifamily projects and healthcare facilities insured by FHA. The 241 loans are subordinated to the existing first lien FHA-insured loans, the bulk of which are securitized into Ginnie Mae MBS and then placed into REMICs. Some 241 loans require collateral modifications of the first lien loan documents to allow expansion of the existing insured project sites to accommodate new construction.

Ginnie Mae requested IRS clarification of the tax consequences of collateral modifications to multifamily and healthcare loans that collateralize Ginnie Mae MBS held by Ginnie Mae REMIC Trusts. The IRS provided Ginnie Mae such clarification in a general information letter and, as a result, Ginnie Mae will no longer conduct independent reviews of these collateral modifications.

Sponsors of Ginnie Mae Multifamily REMIC Pass-Through Securities are reminded that loans backing MBS to be placed in REMICs must be eligible for REMIC pooling, including the requirement that the loans be principally secured by real property, in accordance with IRS regulations and Ginnie Mae requirements.

Please call Ginnie Mae’s Office of Capital Markets at (202) 475-7820 with any questions or comments regarding this announcement.

9/8/2015 - MPM 15-01

The purpose of this Multiclass Participants Memorandum (MPM) is to inform participants of changes to the Ginnie Mae Platinum Guaranty Fee and the lowering of the minimum aggregate remaining principal balance for Ginnie Mae Platinum Securities. These changes are in response to stakeholders’ requests, and are intended to encourage increased utilization of the Platinum Securities program. The changes are effective for October 2015 settlements and thereafter.

Ginnie Mae Platinum Guaranty Fee

The Fee structure will be modified by increasing the number of pricing tiers and by lowering the Fee by 0.25-0.50 Tics across the tiers. The new tier structure is illustrated in the table below:

​Face Amount ​New Fee in Tics* ​Old Fee in Tics*
​$5,001,000 to $9,999,999 ​2.5 ​No Tier
​$10,000,000 to $24,999,999 ​2.5 ​3.0
​$25,000,000 to $49,999,999 ​1.5 ​2.0
​$50,000,000 to $499,999,999 ​0.75 ​1.0
​$500,000,000 or more ​0.25 ​0.5
 

*1 Tic = 1/32 of 1%

The minimum Fee will be $5,000, and the maximum Fee will be $156,250.

Non-Cash Fee

The Non-Cash Fee, (non-cash portion of the fee) payable by the allocation of a portion of the underlying Ginnie Mae MBS Certificates to the creation of the Ginnie Mae Platinum Principal Only (PO) Bond will be reduced from $5,000 to $1,000.

Minimum Aggregate Remaining Principal Balance

The minimum aggregate remaining principal balance of the underlying Ginnie Mae MBS Certificates will be reduced from $10,005,000 to $5,001,000. The newly issued Ginnie Mae Platinum Certificate will have an original principal balance equal to the aggregate remaining principal balance of the underlying Ginnie Mae MBS Certificates as of the Issuance Date, minus the Non-Cash Fee of $1,000.

Please call Ginnie Mae’s Office of Capital Markets at (202) 475-7820 with any questions or comments regarding this announcement.
9/12/2014 - MPM 14-02

The purpose of this Multiclass Participants Memorandum is to inform interested participants that, effective for September 2014 transactions, a Holder of all of the outstanding Securities of a Security Group for a Series, including the related Security Group Residual Security, is required to pay a fee to the Trustee of such Series in an amount equal to $5,000.00, in connection with the exercise of such Holder’s right to purchase all of the Securities of such Security Group and related termination of such Security Group. The implementation of this fee is in response to and is intended to offset the increased costs to the Trustee in connection with terminations of transactions involving separately collapsible Security Groups. Modifications will be made to the related Offering Circular Supplement and Trust Agreement to incorporate this new fee. All defined terms used herein and not otherwise defined shall have the meaning set forth in the Ginnie Mae Multiclass Securities Guide.

Please call George Rose in Ginnie Mae’s Office of Capital Markets at (202) 475-4924 with any questions or comments regarding this announcement.

9/12/2014 - MPM 14-03

The purpose of this Multiclass Participants Memorandum is to inform interested participants that, effective for September 2014 transactions, (i) the Final Distribution Date (FDD) for Accretion Directed Classes in Ginnie Mae Multifamily REMIC and MX Transactions (Multifamily Accretion Directed Classes) must be calculated with a new methodology, and (ii) the procedure for the calculation of the FDD in the accountants’ agreed-upon procedures report concerning the Offering Circular for Multifamily transactions in the Ginnie Mae Multiclass Securities Guide (the Guide) is revised. All defined terms used herein and not otherwise defined shall have the meaning set forth in the Guide.

Change in Calculation of Final Distribution Date

Ginnie Mae is requiring Ginnie Mae Multiclass Transaction Participants to use a more conservative methodology to calculate the FDD for Multifamily Accretion Directed Classes in order to reduce the risk of a claim for a Ginnie Mae Guaranty Payment. The new methodology is described in Exhibit A.

In connection with any Ginnie Mae Multiclass Securities transaction, a Sponsor must represent and warrant that, assuming full and timely payments on the Trust Assets (as those assets are identified in the related Offering Circular Supplement), such payments will be sufficient to pay in full each class of securities by the FDD under all possible prepayment scenarios regardless of the rate of prepayment of the Mortgage Loans underlying the assumed Trust Assets or level of any index upon which the Interest Rate of any Class may be based. See Section 4(v) of the Standard Sponsor Provisions (SSPs) incorporated by reference into the related Sponsor Agreement, Section 4.01(d) of the REMIC Standard Trust Provisions incorporated by reference into the related Trust Agreement and Section 5.01(d) of the MX Standard Trust Provisions incorporated by reference into the related MX Trust Agreement. If Ginnie Mae makes a Ginnie Mae Guaranty Payment as a result of the Sponsor’s breach of any its representations, or warranties under the related Sponsor Agreement, the related Trust Agreement or the related MX Trust Agreement, Ginnie Mae has recourse against the Sponsor for all payments made plus interest, as well as indemnification against all costs and expenses related to any Sponsor breach. See Sections 10(a) and (b) of the SSPs.

The requirement to use any particular methodology is no substitution for a Sponsor to employ adequate and sufficient due diligence measures to ensure the accuracy of the representations and warranties made by such Sponsor in the related Sponsor Agreement, the related Trust Agreement and the related MX Trust Agreement. Regardless of the methodology applied, a Sponsor is solely responsible for the sufficiency of the methodology and must promptly notify Ginnie Mae of any scenario under which timely payments on the Trust Assets may be insufficient to pay in full a Class of Securities by its FDD.

Change in Accountants’ Report

The procedure regarding the FDD in the accountants’ agreed-upon procedures report concerning the Offering Circular for Multifamily transactions in the Guide is revised to reflect the new methodology. The new form of the report is attached hereto as Exhibit B.

Please call Shalei Choi in Ginnie Mae’s Office of Capital Markets at (202) 475-7820 with any questions or comments regarding this announcement.

3/12/2014 - MPM 14-01

The purpose of this Multiclass Participants Memorandum is to inform interested participants that, effective for March 2014 transactions, (i) the Sponsor representation in the Standard Sponsor Provisions of the Ginnie Mae Multiclass Securities Guide (the “Guide”) regarding Mortgage Loan delinquency status is revised, and (ii) notwithstanding anything to the contrary in the Guide, the Trustee for any Series determining LIBOR pursuant to the BBA LIBOR method shall use the ICE Benchmark Administration (“ICE LIBOR”) method for determining LIBOR.

Change in Sponsor Representation Regarding Mortgage Loan Delinquency Status

The representation in the Standard Sponsor Provisions regarding Mortgage Loan delinquency status is revised to apply exclusively to Trust MBS in a Multifamily Series and does not apply to Underlying Certificate Trust Assets or any related Underlying Series Trust MBS. In that regard, Section 4 of the Standard Sponsor Provisions of the Guide is amended by deleting subsection (o) therein, reordering the subsections that follow in correct alphabetical order, and with respect to any Multifamily Series with Trust MBS, adding a new subsection (bb) as follows:

(bb) With respect to any Multifamily Series, neither the Sponsor nor any of its Participating Affiliates has any actual or constructive knowledge or notice that any of the Mortgage Loans underlying any of the Trust MBS is 30 days or more delinquent as of the Final Structure Date for the related Series.

Change in the Administration of LIBOR

With respect to the change in the administration of LIBOR from the British Bankers Association to the ICE Benchmark Administration, the following revision to Section 3.08 of the REMIC Standard Trust Provisions of the Guide shall be incorporated into each REMIC Trust Agreement for any Series where the Trustee determines LIBOR pursuant to the ICE LIBOR method:

(b)(i) ICE LIBOR. Pursuant to this method, LIBOR shall be determined as the rate, expressed as a percentage per annum, for one-month U.S. Dollar deposits as it appears on the ICE Secure File Transfer Protocol (SFTP) service or on the Reuters Screen LIBOR01 Page (or any replacement Reuters page that displays that rate, or on the appropriate page of such other information service that publishes that rate from time to time in place of Reuters) as of 11:00 am London time on the related Floating Rate Adjustment Date. If on any Floating Rate Adjustment Date, the Trustee or its agent is unable to calculate LIBOR in the manner described above, the Trustee shall determine LIBOR in the manner set forth in clause (ii) below.

Please call George Rose in Ginnie Mae’s Office of Capital Markets at (202) 475-4924 with any questions or comments regarding this announcement.


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Last Modified: 6/22/2018 7:53 PM