Structured Transactions Products - REMICs and Grantor Trusts

Overview

A Real Estate Mortgage Investment Conduit (REMIC) is a type of multiclass mortgage-related security in which interest and principal payments from the mortgage-related assets serving as collateral are structured into separately traded securities called classes. The cash flow from the underlying collateral is directed to several classes, which may have different coupon rates, average lives, prepayment sensitivities, and final maturities. REMICs further enhance the mortgage securities market with their increased efficiency.

A grantor trust is a pass-through vehicle that, like a REMIC, issues separately traded classes. However, grantor trusts are treated differently than REMICs for federal income tax purposes, and, unlike a REMIC, the classes in grantor trusts cannot be "time tranched." This means each grantor trust class must receive its proportionate share of principal from the underlying collateral each month until such collateral is paid off. Each holder of a grantor trust certificate is treated for tax purposes as owning an undivided interest in the underlying collateral. The mortgage-related assets serving as collateral and providing the cash flow for Fannie Mae grantor trusts are specifically described in the trust's disclosure documents.

Additional Information

Structured Transactions Portal

Structured Transactions Portal
To learn more about Fannie Mae's Structured Transactions Portal, please click here.

Basics of Structured Transactions

Basics of Structured Transactions
To learn more about Fannie Mae's Structured Product offerings, please click here.

Other Resources

PoolTalk®
For Single-Family securities, access disclosure data, including at-issuance and monthly data, Legal documents, consumable data files and search capabilities for UMBS, MBS, Supers®/Megas, SMBS, and REMICs. Click here to access.
DUS Disclose
For Multifamily securities, access disclosure data, including at-issuance and monthly data, Legal documents, consumable data files and search capabilities for MBS, Megas, and REMICs. As of November 1, 2018, most of the REMIC links below were no longer updated for Multifamily securities. DUS Disclose provides Multifamily REMIC disclosures. Click here to access.

Data/Document Collection(s)