Lender Adjusted Net Worth

Lender net worth, as defined and calculated by Fannie Mae, is the lender’s Total Equity Capital as determined by Generally Accepted Accounting Principles (GAAP), less goodwill and other intangible assets (excluding Mortgage Servicing Rights) and, based on Fannie Mae’s assessment of associated risks, a possible deduction of “affiliate receivables” and “pledged assets net of associated liabilities” (hereinafter referred to as “Lender Adjusted Net Worth”).