has a single issuer which originates and
administers the entire pool. A multiple issuer
pool typically combines loans with similar
characteristics. The resulting pool backs a sin-
gle MBS issue and each participant is respon-
sible for administering the mortgage loans
which contribute to the pool. The securitiza-
tion provisions are established in the Ginnie
Mae MBS guide (Ginnie Mae Handbook
5500.3), which may be found on Ginnie Maes
website at www.ginniemae.gov.
MBS Highlights and Trends
Ginnie Mae issued $161.7 billion in new MBS
commitment authority in Fiscal Year 2001, an
85 percent increase from Fiscal Year 2000.
This increase was fueled by the significant
drop in interest rates, which fueled mortgage
refinances and encouraged the proliferation of
independent mortgage brokers. This growth
in non-bank affiliated mortgage conduits can
be seen in the graph to the right, which indi-
cates that other non-banking MBS partici-
pants accounted for 29 percent of the market
in Fiscal Year 2001. This is a 76 percent
increase from 7 percent participation in the
previous year. Ginnie Mae guaranteed $153.8
billion of MBS during Fiscal Year 2001, repre-
senting an increase of 45.8 percent from the
prior year. This development reflects a sharp
increase in secondary mortgage market activi-
ty due to steadily falling interest rates
throughout 2001.
Of the $153.8 billion of MBS guaranteed, over
$148.2 billion was backed by single family
mortgages, $5.5 billion was backed by multi-
family construction and project loans, and
$132 million was backed by manufacturing
housing loans.
Delinquency ratios for the MBS pooled mort-
gages decreased in the single family program
and increased in the multifamily and manu-
factured housing programs when compared to
the previous fiscal year. Ginnie Mae continues
to monitor issuers through the Issuer
Portfolio Analysis Database System (IPADS)
for unusual fluctuations in portfolio delin-
quency rates. From Fiscal Year 2000 to Fiscal
Year 2001, the three-month delinquency rate
in the single family program decreased from
1.80 percent to 1.65 percent. The three-
month delinquency rate in the manufactured
housing program increased from 3.35 percent
to 6.57 percent. The two-month delinquency
rate in the multifamily program increased
from 0.53 percent to 1.30 percent.
MBS Program Participants
Mortgage
Bankers
54%
Commercial
Banks
7%
Savings
& Loans
10%
Others
29%
Asset Management
By the end of Fiscal Year 2001, Ginnie Mae
had an acquired single family portfolio of
$394 million, an increase of 14.5 percent from
Fiscal Year 2000. During the year, there were
five single family issuer defaults totaling a
principal balance of $160.2 million, compared
to $52.1 million in Fiscal Year 2000. Overall,
the acquired single family portfolio represents
0.07 percent of the total single family remain-
ing principal balance outstanding for the
Ginnie Mae MBS program, compared to 0.05
percent in Fiscal Year 2000.
The following table details the issuer defaults:
Issuer Defaults by Program Type, by Fiscal Year
in Millions
Program Type
2001
2000
1999
1998
1997
Single Family
$160.2
$ 52.1
$108.0
$ 8.3
$350.6
Multifamily
123.7%
0.7%
-
-
-
Manufactured Housing
-
-
0.3%
0.3%
-
Total
$283.9
$ 52.8
$108.3
$ 8.6
$350.6
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G i n n i e M a e A n n u a l R e p o r t 2 0 0 1