<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
------------------
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
May 4, 1998
Date of Report (Date of Earliest Event Reported)
Sequoia Mortgage Funding Corporation (as Sponsor of
Sequoia Mortgage Trust 1, the Issuer of Collateralized Mortgage
Bonds under an Indenture dated as of June 1, 1997)
SEQUOIA MORTGAGE FUNDING CORPORATION
------------------------------------
(Exact Name of Registrant as Specified in Its Charter)
Delaware 333-22681-1 91-1771827
-------- ----------- ----------
(State or Other Jurisdiction (Commission File Number) (I.R.S. Employer
of Incorporation) Identification No.)
591 Redwood Highway, Suite 3120, Mill Valley, CA 94941
------------------------------------------------------
(Address of Principal Executive Offices)
(415) 381-1765
--------------
(Registrant's Telephone Number,
Including Area Code)
Not Applicable
--------------
(Former Name or Former Address, if Changed Since Last Report)
<PAGE> 2
INFORMATION TO BE INCLUDED IN THE REPORT
Item 5. OTHER EVENTS
Sequoia Mortgage Funding Corporation has previously registered the
offer and sale of Collateralized Mortgage Bonds issued by Sequoia
Mortgage Trust 1 (the "Bonds").
The following exhibit which relates specifically to the Bonds is
included with this Current Report:
Item 7(c). Exhibits
10.1 Monthly Payment Date Statement distributed to
Bondholders, dated May 4, 1998.
<PAGE> 3
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Date: May 14, 1998
SEQUOIA MORTGAGE FUNDING
CORPORATION
By: /s/ Vickie L. Rath
-----------------------------------
Vickie L. Rath
Treasurer and Assistant Secretary
(Principal Financial Officer and
and Principal Accounting Officer)
<PAGE> 4
EXHIBIT INDEX
<TABLE>
<CAPTION>
Exhibit Number Page Number
- -------------- -----------
<S> <C>
10.1 Monthly Payment Date Statement distributed to
Bondholders, dated May 4, 1998........................... 5
</TABLE>
<PAGE> 1
<TABLE>
<S> <C> <C>
Sequoia Mortgage Trust SMT Contact: Customer Service
Mortgage Pass-Through Certificates Series 1997-1 NorWest Bank Minnesota, N.A.
Certificateholder Distribution Summary Securities Administration Services
Record Date: 30-Apr-1998 7485 New Horizon Way
Distribution Date: 04-May-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
EXHIBIT 10.1
Certificateholder Distribution Summary
<TABLE>
<CAPTION>
=========================================================================================================================
Certificate
Certificate Pass- Beginning Current Ending
Class Through Certificate Interest Principal Realized Certificate
Class CUSIP Description Rate Balance Distribution Distribution Loss Balance
=========================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C> <C>
A-1 817435AA8 SEQ 6.05969% 221,518,944.60 1,118,613.44 17,181,022.52 0.00 204,337,922.08
A-2 817435AB6 SEQ 6.01484% 132,508,408.69 664,180.73 10,277,360.06 0.00 122,231,048.63
OC SMTINVCRT R 0.00000% 8,702,428.65 590,273.40 0.00 0.00 8,702,428.65
=========================================================================================================================
Totals 362,729,781.94 2,373,067.57 27,458,382.58 0.00 335,271,399.36
=========================================================================================================================
</TABLE>
<TABLE>
<CAPTION>
======================================
Cumulative
Total Realized
Class Distribution Losses
======================================
<S> <C> <C>
A-1 18,299,635.96 0.00
A-2 10,941,540.79 0.00
OC 590,273.40 0.00
======================================
Totals 29,831,450.15 0.00
======================================
</TABLE>
All distributions required by the Pooling and Servicing Agreement have been
calculated by the Certificate Administrator on behalf of the Trustee
Edward M. Frere, Jr.
Vice President, Norwest Bank Minnesota, N.A.
01-May-1998 9:12AM
<PAGE> 2
<TABLE>
<S> <C> <C>
Sequoia Mortgage Trust SMT Contact: Customer Service
Mortgage Pass-Through Certificates Series 1997-1 NorWest Bank Minnesota, N.A.
Certificateholder Distribution Summary Securities Administration Services
Record Date: 31-Dec-1997 7485 New Horizon Way
Distribution Date: 04-Jan-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
Principal Distribution Statement
Senior Certificates
<TABLE>
<CAPTION>
====================================================================================================================
Original Beginning Scheduled Unscheduled
Face Certificate Principal Principal Realized Total Principal
Class Amount Balance Ditribution Distribution Accretion Loss(1) Reduction
====================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
A-1 334,347,000.00 221,518,944.60 0.00 17,181,022.52 0.00 0.00 17,181,022.52
A-2 200,000,000.00 132,508,408.69 0.00 10,277,360.06 0.00 0.00 10,277,360.06
OC 8,703,415.20 8,702,428.65 0.00 0.00 0.00 0.00 0.00
====================================================================================================================
Class A 543,050,415.20 362,729,781.94 0.00 27,458,382.58 0.00 0.00 27,458,382.58
====================================================================================================================
</TABLE>
<TABLE>
<CAPTION>
=============================================================
Ending Ending
Certificate Certificate Total Principal
Class Balance Percentage Distribution
=============================================================
<S> <C> <C> <C>
A-1 204,337,922.08 0.61115524 17,181,022.52
A-2 122,231,048.63 0.61115524 10,277,360.06
OC 8,702,428.65 0.99988665 0.00
=============================================================
Class A 335,271,399.36 0.61738540 27,458,382.58
=============================================================
</TABLE>
(1) Amount Does Not Include Excess Special Hazard, Bankruptcy, Or Fraud
Losses Unless Otherwise Disclosed. Please Refer To The Prospectus
Supplement For A Full Description.
<PAGE> 3
<TABLE>
<S> <C> <C>
Sequoia Mortgage Trust SMT Contact: Customer Service
Mortgage Pass-Through Certificates Series 1997-1 NorWest Bank Minnesota, N.A.
Certificateholder Distribution Summary Securities Administration Services
Record Date: 31-Dec-1997 7485 New Horizon Way
Distribution Date: 04-Jan-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
Principal Distribution Factors Statement
Senior Certificate Factors
<TABLE>
<CAPTION>
===================================================================================================================
Original Beginning Scheduled Unscheduled
Face Certificate Principal Principal Realized Total Principal
Class(3) Amount Balance Ditribution Distribution Accretion Loss(4) Reduction
===================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
A-1 334,347,000.00 662.54204345 0.00000000 51.38680030 0.00000000 0.00000000 51.38680030
A-2 200,000,000.00 662.54204345 0.00000000 51.38680030 0.00000000 0.00000000 51.38680030
OC 8,703,415.20 999.88664794 0.00000000 0.00000000 0.00000000 0.00000000 0.00000000
===================================================================================================================
</TABLE>
<TABLE>
<CAPTION>
=============================================================
Ending Ending
Certificate Certificate Total Principal
Class(3) Balance Percentage Distribution
=============================================================
<S> <C> <C> <C>
A-1 611.15524315 0.61115524 51.38680030
A-2 611.15524315 0.61115524 51.38580030
OC 999.88664794 0.99988665 0.00000000
=============================================================
</TABLE>
(3) All Classes Are Per $1,000 Denomination.
(4) Amount Does Not Include Excess Special Hazard, Bankruptcy, Or Fraud
Losses Unless Otherwise Disclosed. Please Refer To The Prospectus
Supplement For A Full Description.
<PAGE> 4
<TABLE>
<S> <C> <C>
Sequoia Mortgage Trust SMT Contact: Customer Service
Mortgage Pass-Through Certificates Series 1997-1 NorWest Bank Minnesota, N.A.
Certificateholder Distribution Summary Securities Administration Services
Record Date: 31-Dec-1997 7485 New Horizon Way
Distribution Date: 04-Jan-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
Interest Distribution Statement
Senior Certificates
<TABLE>
<CAPTION>
==============================================================================================================================
Beginning Payment of Non-
Original Current Certificate/ Current Previously Current Supported
Face Certificate Notional Accrued Unpaid Interest Interest Interest
Class Amount Rate Balance Interest Shortfall Shortfall Shortfall
==============================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
A-1 334,347,000.00 6.05969% 221,518,944.60 1,118,613.44 0.00 0.00 0.00
A-2 200,000,000.00 6.01484% 132,508,408.69 664,180.73 0.00 0.00 0.00
OC 8,703,415.20 0.00000% 8,702,428.65 0.00 0.00 0.00 0.00
==============================================================================================================================
Total Class A Interest Distribution 1,782,794.17 0.00 0.00 0.00
==============================================================================================================================
</TABLE>
<TABLE>
<CAPTION>
=================================================================================================
Remaining
Cumulative Ending
Unpaid Certificate/
Realized Total Interest Interest Notional
Class Loss(7) Distribution Shortfall Balance
=================================================================================================
<S> <C> <C> <C> <C>
A-1 0.00 1,118,613.44 0.00 204,337,922.08
A-2 0.00 664,180.73 0.00 122,231,048.63
OC 0.00 590,273.40 0.00 8,702,428.65
=================================================================================================
Total Class A Interest Distribution 0.00 2,373,067.57 0.00
=================================================================================================
</TABLE>
(7) Amount Does Not Include Excess Special Hazard, Bankruptcy, Or Fraud
Losses Unless Otherwise Disclosed. Please Refer To The Prospectus
Supplement For A Full Description.
<PAGE> 5
<TABLE>
<S> <C> <C>
Sequoia Mortgage Trust SMT Contact: Customer Service
Mortgage Pass-Through Certificates Series 1997-1 NorWest Bank Minnesota, N.A.
Certificateholder Distribution Summary Securities Administration Services
Record Date: 31-Dec-1997 7485 New Horizon Way
Distribution Date: 04-Jan-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
Interest Distribution Factors Statement
Senior Certificates Factors
<TABLE>
<CAPTION>
========================================================================================================================
Beginning Payment of Non-
Original Current Certificate/ Current Previously Current Supported
Face Certificate Notional Accrued Unpaid Interest Interest Interest
Class(9) Amount Rate Balance Interest Shortfall Shortfall Shortfall
========================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
A-1 334,347,000.00 6.05969% 662.54204345 3.34566615 0.00000000 0.00000000 0.00000000
A-2 200,000,000.00 6.01484% 662.54204345 3.32090365 0.00000000 0.00000000 0.00000000
OC 8,703,415.20 0.00000% 999.88664794 0.00000000 0.00000000 0.00000000 0.00000000
========================================================================================================================
</TABLE>
<TABLE>
<CAPTION>
=============================================================================
Remaining
Cumulative Ending
Unpaid Certificate/
Realized Total Interest Interest Notional
Class(9) Loss(10) Distribution Shortfall Balance
=============================================================================
<S> <C> <C> <C> <C>
A-1 0.00000000 3.34566615 0.0000000 611.15524315
A-2 0.00000000 3.32090365 0.0000000 611.15524315
OC 0.00000000 67.82089403 0.0000000 999.88664794
=============================================================================
</TABLE>
(9) All Classes Are $1,000 Denomination.
(10) Amount Does Not Include Excess Special Hazard, Bankruptcy, Or Fraud
Losses Unless Otherwise Disclosed. Please Refer To The Prospectus
Supplement For A Full Description.
<PAGE> 6
<TABLE>
<S> <C> <C>
Sequoia Mortgage Trust SMT Contact: Customer Service
Mortgage Pass-Through Certificates Series 1997-1 NorWest Bank Minnesota, N.A.
Certificateholder Distribution Summary Securities Administration Services
Record Date: 30-Apr-1998 7485 New Horizon Way
Distribution Date: 04-May-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
<TABLE>
<CAPTION>
======================================================================================
CERTIFICATE ACCOUNT
<S> <C>
Beginning Balance 0.00
Deposits
Payments of Interest and Principal 29,966,864.07
Liquidations, Insurance Proceeds, Reserve Funds 0.00
Proceeds from Repurchased Loans 0.00
Other Amounts (Servicer Advances) 0.00
Realized Losses 0.00
-------------
Total Deposits 29,966,864.07
Withdrawals
Reimbursement for Servicer Advances 0.00
Payment of Service Fee 135,413.91
Payment of Interest and Principal 29,831,450.16
-------------
Total Withdrawals (Pool Distribution Amount) 29,966,864.07
Ending Balance 0.00
=============
=====================================================================================
</TABLE>
<TABLE>
<CAPTION>
================================================================================
SERVICER ADVANCES
<S> <C>
Beginning Balance 0.00
Current Period Advances by Servicer 0.00
Reimbursement of Advances 0.00
Ending Cumulative Advances 0.00
================================================================================
</TABLE>
<TABLE>
<CAPTION>
===============================================================================
PREPAYMENT/CURTAILMENT INTEREST SHORTFALL
<S> <C>
Total Prepayment/Curtailment Interest Shortfall 0.00
Servicing Fee Support 0.00
----
Non-Supported Prepayment/Curtailment Interest Shortfall 0.00
====
================================================================================
</TABLE>
<TABLE>
<CAPTION>
================================================================================
SERVICING FEES
<S> <C>
Gross Servicing Fee 114,864.43
Pool Insurance Fee 19,549.48
Spread 1 Fee 1,000.00
Supported Prepayment/Curtailment Interest Shortfall 0.00
----------
Net Servicing Fee 135,413.91
==========
================================================================================
</TABLE>
<PAGE> 7
<TABLE>
<S> <C> <C>
Sequoia Mortgage Trust SMT Contact: Customer Service
Mortgage Pass-Through Certificates Series 1997-1 NorWest Bank Minnesota, N.A.
Certificateholder Distribution Summary Securities Administration Services
Record Date: 31-Dec-1997 7485 New Horizon Way
Distribution Date: 04-Jan-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
<TABLE>
<CAPTION>
=================================================================================================
DELINQUENCY STATUS
Percentage Delinquent Based On
Current Unpaid Principal Balance
Number Of Loans Number Unpaid
of Loans Balance
<S> <C> <C> <C> <C>
30 Days 27 5,925,882.21 1.86% 1.77%
60 Days 7 1,019,937.83 0.48% 0.30%
90+ Days 6 1,685,979.30 0.41% 0.50%
Foreclosure 2 322,392.21 0.14% 0.10%
REO 2 597,400.75 0.14% 0.18%
Totals 44 9,551,592.30 3.03% 2.85%
Current Period Realized Loss - Includes Interest Shortfall 0.00
Cumulative Realized Losses - Includes Interest Shortfall 0.00
Principal Balance of Contaminated Properties 0.00
=================================================================================================
</TABLE>
<PAGE> 8
<TABLE>
<S> <C> <C>
Sequoia Mortgage Trust SMT Contact: Customer Service
Mortgage Pass-Through Certificates Series 1997-1 NorWest Bank Minnesota, N.A.
Certificateholder Distribution Summary Securities Administration Services
Record Date: 31-Dec-1997 7485 New Horizon Way
Distribution Date: 04-Jan-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
<TABLE>
<CAPTION>
================================================================================
COLLATERAL STATEMENT
Collateral Description Mixed Fixed
<S> <C>
Weighted Average Gross Coupon 8.318848%
Weighted Average Net Coupon 7.945901%
Weighted Average Maturity (Stepdown Calculation) 311 Months
Beginning Scheduled Collateral Loan Count 1,557
Number of Loans Paid in Full 104
Ending Scheduled Collateral Loan Count 1,453
Beginning Scheduled Collateral Balance 362,729,781.94
Ending Scheduled Collateral Balance 335,271,399.36
Monthly P&I Constant 2,860,763.77
================================================================================
</TABLE>
