Freddie Mac will restructure all future credit-risk transfer offerings through its flagship Structured Agency Credit Risk program as real estate mortgage investment conduits, Kevin Palmer, senior vice president for single-family credit risk transfer, said.
Mortgage sellers repurchased just $833.7 mil-lion of single-family loans from Fannie Mae and Freddie Mac mortgage-backed securities last year, according to a new Inside the GSEs analysis. [Includes one data chart.]
Late last month, Bloomberg reported that Kushner Cos., the real estate investment firm owned by the family of President Trump’s son-in-law and senior advisor Jared Kushner, was in negotiations with Fannie Mae and Freddie Mac for as much a $1.15 billion in loans. Some facts, though, make it difficult to know if the story is accurate.
The Current Expected Credit Losses standard, a new accounting protocol expected to go into effect in 2020, could have an outsized impact on Fannie Mae and Freddie Mac, according to Rep. Blaine Luetkemeyer, a prominent Republican on the House Financial Services Committee.
Freddie Mac increased its production of single-family mortgage-backed securities at a time when its two secondary market competitors saw significant declines in volume. [Includes two data charts.]
A working paper released by the National Association of Realtors at a conference in Washington, DC, this month makes a persuasive case that Fannie Mae and Freddie Mac should be restructured as strictly regulated, shareholder-owned utilities. Perhaps more important, the paper establishes an effective format for evaluating other proposals for GSE reform.
Despite a slow fourth quarter, 2018 turned out to be the most profitable year since 2013 for Fannie Mae and Freddie Mac. And, although only a fraction of the size of the GSEs’ single-family business, multifamily remained a bright spot. [Includes one data chart.]
In his testimony before the Senate Committee on Banking, Housing, and Urban Affairs last week, Mark Calabria, President Trump’s nominee to head the Federal Housing Finance Agency, reinforced expectations that, as director, he would begin the long-awaited recapitalization of Fannie Mae and Freddie Mac.