gage loans underlying a Ginnie Mae MBS Certificate issued on or after January 1, 2003, no payment has been made on such mort- gage loan for three consecutive months. Any such repurchase will result in prepayment of the principal balance or reduction in the notional balance of the securities ultimately backed by such mortgage loan. No assur- ances can be given as to the timing or fre- quency of any such repurchases.
Available information about the mortgage loans  is  limited. Generally,  neither  au- dited financial statements nor recent apprais- als are available with respect to the mortgage loans, the mortgaged properties, or the oper- ating revenues, expenses and values of the mortgaged properties. Certain default, delin- quency and other information relevant to the likelihood of prepayment of the multifamily mortgage loans underlying the Ginnie Mae multifamily  certificates  is  made  generally available to the public and holders of the securities should consult such information. The scope of such information is limited, however, and accordingly, at a time when you might be buying or selling your securi- ties, you may not be aware of matters that, if known,  would  affect  the  value  of  your securities. FHA has authority to override lockouts and prepayment limitations. FHA insur- ance and certain mortgage loan and trust provisions may affect lockouts and the right to receive prepayment penalties. FHA may override any lockout or prepayment penalty provision if it determines that it is in the best interest of the federal government to allow the mortgagor to refinance or to prepay in part its mortgage loan. Holders entitled to prepayment penalties may not receive them. Prepayment penal- ties received by the trustee will be distrib- uted to Class IO as further described in this Supplement. Ginnie Mae, however, does not guarantee that mortgagors will in fact pay any prepayment penalties or that such prepay- ment penalties will be received by the trus- tee. Accordingly, holders of the class entitled to receive prepayment penalties will receive them only to the extent that the trustee re- ceives them. Moreover, even if the trustee distributes prepayment penalties to the hold- ers of that class, the additional amounts may not offset the reduction in yield caused by the corresponding prepayments. The securities may not be a suitable invest- ment for you. The securities, in particular, the interest only, accrual and residual clas- ses, are not suitable investments for all inves- tors. Only "accredited investors," as defined in Rule 501(a) of Regulation D of the Securi- ties Act of 1933, who have substantial experi- ence in mortgage-backed securities and are capable of understanding the risks should invest in the securities. In addition, although the sponsor intends to make a market for the purchase and sale of the securities after their initial issuance, it has no obligation to do so. There is no assur- ance that a secondary market will develop, that any secondary market will continue, or that the price at which you can sell an invest- ment in any class will enable you to realize a desired yield on that investment. You will bear the market risks of your invest- ment. The market values of the classes are likely to fluctuate. These fluctuations may be significant and could result in significant losses to you. The secondary markets for mortgage-related securities have experienced periods of illi- quidity and can be expected to do so in the future. Illiquidity can have a severely adverse effect on the prices of classes that are espe- cially sensitive to prepayment or interest rate risk or that have been structured to meet the investment requirements of limited catego- ries of investors. The residual securities may experience sig- nificant adverse tax timing consequences. Ac- cordingly,  you  are  urged  to  consult  tax advisors and to consider the after-tax effect of ownership of a residual security and the suit- ability of the residual securities to your in- vestment objectives. See "Certain Federal Income Tax Consequences" in this Supple- S-8