<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
February 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)
<TABLE>
<CAPTION>
Delaware 333-22681-1 91-1771827
-------- ----------- ----------
<S> <C> <C>
(State or Other Jurisdiction of Incorporation) (Commission File Number) (I.R.S. Employer Identification No.)
</TABLE>
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 February 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: February 13, 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
Exhibit Number Page Number
10.1 Monthly Payment Date Statement distributed to
Bondholders, dated February 4, 1998...................... 5
<PAGE> 1
EXHIBIT 10.1
<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: 31-Jan-1998 7485 New Horizon Way
Distribution Date: 04-Feb-1998 Frederick, MD 21703
Telephone: (301) 846-8130
Facsimile: (301) 846-8152
</TABLE>
Certificateholder Distribution Summary
<TABLE>
<CAPTION>
========= ============ ============== ========== ============== ============= ============= =========== ==============
Certificate Certificate Beginning Current Ending
Class Pass-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 6.09875% 260,532,113.36 1,324,100.19 12,676,539.48 0.00 247,855,573.88
A-2 817435AB6 SEQ 6.11710% 155,845,342.33 794,434.62 7,582,864.20 0.00 148,262,478.13
OC SMTINVCRT R 0.00000% 8,702,428.65 653,234.04 0.00 0.00 8,702,428.65
========= ============ ============== ========== ============== ============= ============= =========== ==============
Totals 425,079,884.34 2,771,768.85 20,259,403.68 0.00 404,820,480.66
========= ============ ============== ========== ============== ============= ============= =========== ==============
=========== ============= =============
Cumulative
Total Realized
Class Distribution Losses
<S> <C> <C>
=========== ============= =============
A-1 14,000,639.67 0.00
A-2 8,377,298.82 0.00
OC 653,234.04 0.00
=========== ============= =============
=========== ============= =============
Totals 23,031,172.53 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.
02-Feb-1998 10:48AM
<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>
=========== ============== =============== ============ ============= ========== ============ ==============
Beginning Scheduled Unscheduled
Original Certificate Principal Principal Realized Total Principal
Class Face Amount Balance Distribution Distribution Accretion Loss(1) Reduction
=========== ============== =============== ============ ============= ========== ============ ==============
<S> <C> <C> <C> <C> <C> <C> <C>
A-1 334,347,000.00 260,532,113.36 0.00 12,676,539.48 0.00 0.00 12,676,539.48
A-2 200,000,000.00 155,845,342.33 0.00 7,582,864.20 0.00 0.00 7,582,864.20
OC 8,703,415.20 8,702,428.65 0.00 0.00 0.00 0.00 0.00
=========== ============== =============== =========== ============= ========= =========== =============
Class A 543,050,415.20 425,079,884.34 0.00 20,259,403.68 0.00 0.00 20,259,403.68
=========== ============== =============== =========== ============= ========= =========== =============
========================== ============ ==============
Ending Ending Total
Certificate Certificate Principal
Class Balance Percentage Distribution
========================== ============ ==============
<S> <C> <C> <C>
A-1 247,855,573.88 0.74131239 12,676,539.48
A-2 148,262,478.13 0.74131239 7,582,864.20
OC 8,702,428.65 0.99988665 0.00
===========--------------- ------------ -------------
Class A 404,820,480.66 0.74545653 20,259,403.68
========================== ============ =============
</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>
=========== ============== =============== ============= ============ ============= ============ ============= ==============
Beginning Scheduled Unscheduled Ending
Original Certificate Principal Principal Realized Total Principal Certificate
Class(3) Face Amount Balance Distribution Distribution Accretion Loss(4) Reduction Balance
=========== ============== =============== ============= ============ ============= ============ ============= ==============
<S> <C> <C> <C> <C> <C> <C> <C> <C>
A-1 334,347,000.00 779.22671165 0.00000000 37.91432099 0.00000000 0.00000000 37.91432099 741.31239066
A-2 200,000,000.00 779.22671165 0.00000000 37.91432100 0.00000000 0.00000000 37.91432100 741.31239065
OC 8,703,415.20 999.88664794 0.00000000 0.00000000 0.00000000 0.00000000 0.00000000 999.88664794
=========== ============== ============== =========== ============ ============ =========== ============ =============
=========== =========== =============
Ending
Certificate Total Principal
Class(3) Percentage Distribution
=========== =========== =============
<S> <C> <C>
A-1 0.74131239 37.91432099
A-2 0.74131239 37.91432100
OC 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>
=============== ============== =============== ================= ============= ============= ============ ========== ========
Payment of
Beginning Previously Non-
Current Certificate/ Current Unpaid Current Supported
Original Face Certificate Notional Accrued Interest Interest Interest Realized
Class Amount Rate Balance Interest Shortfall Shortfall Shortfall Loss(7)
=============== ============== =============== ================= ============= ============= ============ ========== ========
<S> <C> <C> <C> <C> <C> <C> <C> <C>
A-1 334,347,000.00 6.09875% 260,532,113.36 1,324,100.19 0.00 0.00 0.00 0.00
A-2 200,000,000.00 6.11710% 155,845,342.33 794,434.62 0.00 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 0.00
=============== ============== ========== =============== ============ ========== ======= ======= ======
Total Class A Interest Distribution 2,118,534.81 0.00 0.00 0.00 0.00
=============== ============== ========== =============== ============ ========== ======= ======= ======
=================================== ============ ========= ==============
Remaining
Cumulative Ending
Unpaid Certificate/
Total Interest Interest Notional
Class Distribution Shortfall Balance
=================================== ============ ========= ==============
<S> <C> <C> <C>
A-1 1,324,100.19 0.00 247,855,573.88
A-2 794,434.62 0.00 148,262,478.13
OC 653,234.04 0.00 8,702,428.65
=================================== =========== ======= =============
Total Class A Interest Distribution 2,771,768.85 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>
========= =============== ======= ============ ========== ========== ========== ========== ==========
Payment of
Beginning Previously Non-
Current Certificate/ Current Unpaid Current Supported
Original Face Certificate Notional Accrued Interest Interest Interest Realized
Class(9) Amount Rate Balance Interest Shortfall Shortfall Shortfall Losses(10)
========= ============== ======= ============ ========== ========== ========== ========== ==========
<S> <C> <C> <C> <C> <C> <C> <C> <C>
A-1 334,347,000.00 6.09875% 779.22671165 3.96025743 0.00000000 0.00000000 0.00000000 0.00000000
A-2 200,000,000.00 6.11710% 779.22671165 3.97217310 0.00000000 0.00000000 0.00000000 0.00000000
OC 8,703,415.20 0.00000% 999.88664794 0.00000000 0.00000000 0.00000000 0.00000000 0.00000000
========= ============== ======= ============ ========== ========== ========== ========== ==========
========= =========== ========= ============
Remaining
Cumulative Ending
Total Unpaid Certificate/
Interest Interest Notional
Class(9) Distribution Shortfall Balance
========= =========== ========= ============
<S> <C> <C> <C>
A-1 3.96025743 0.0000000 741.31239066
A-2 3.97217310 0.0000000 741.31239065
OC 75.05490948 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: 31-Jan-1998 7485 New Horizon Way
Distribution Date: 04-Feb-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 23,189,980.75
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 23,189,980.75
Withdrawals
Reimbursement for Servicer Advances 0.00
Payment of Service Fee 134,608.63
Payment of Interest and Principal 23,055,372.12
-------------
Total Withdrawals (Pool Distribution Amount) 23,189,980.75
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 134,608.63
Pool Insurance Fee 23,199.60
Spread 1 Fee 1,000.00
Supported Prepayment/Curtailment Interest Shortfall 0.00
----------
Net Servicing Fee 134,608.63
==========
===================================================================================
</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
Number Of Principal Number Unpaid
Loans Balance of Loans Balance
<C> <C> <C> <C> <C>
30 Days 42 10,097,324.78 2.47% 2.49%
60 Days 5 1,323,158.03 0.29% 0.33%
90+ Days 6 1,631,628.58 0.35% 0.40%
Foreclosure 1 275,432.16 0.06% 0.07%
REO 0 0.00 0.00% 0.00%
Totals 54 13,327,543.55 3.18% 3.29%
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>
============================================================================
COLLATERAL STATEMENT
<S> <C>
Collateral Description Mixed Fixed
Weighted Average Gross Coupon 8.305447%
Weighted Average Net Coupon 7.933123%
Weighted Average Maturity (Stepdown Calculation) 315 Months
Beginning Scheduled Collateral Loan Count 1,781
Number of Loans Paid in Full 82
Ending Scheduled Collateral Loan Count 1,699
Beginning Scheduled Collateral Balance 425,079,884.34
Ending Scheduled Collateral Balance 404,820,480.66
Monthly P&I Constant 3,332,570.49
============================================================================
</TABLE>
