Citibank has sold a nearly-$168m portfolio of residential mortgage loans to a real estate investment trust.
ZAIS Financial Corp has announced the acquisition of the $167.8m residential portfolio as part of its strategy of whole loan acquisitions. The company is currently purchasing portfolios of whole loans as a long-term asset allocation strategy, according to a president and CEO Michael Szymanski.
"We are pleased to have completed this purchase which moves us significantly towards our long-term asset allocation target with respect to whole loans," Szymanski said.
Citibank has been a consistent seller of loans of all types and qualities. Since 2009, the bank has sold its Diners Club North America business, its student loan business and - most recently - its Brazilian credit card and consumer finance arms.