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$FNMA $FMCC thoughts. Something is going to happen because of the new politics around mortgage rates. Mortgage rates bottomed out in August 2021 with the 30 yr mortgage at a bit under 3%. Low rates surged real estate prices and home buying.
— 🇺🇸Paul Mampilly (@MampillyGuru) May 3, 2024
Rates are now at 7.5% & the market… pic.twitter.com/4ABw7p0aFB
Paul Mampilly ....
For example, $FNMA $FMCC pre conservatorship was the natural buyer of last resort of MBS in place of the Fed. But they can no longer do this by law. Also, they can't borrow the money they need to replace the Fed. That's also prohibited by law. And they'll definitely need to borrow to do this. Or hire the skill sets to restart this activity.
In many ways things are almost exactly to where they were in 2008. $FNMA $FMCC are in rude health. Their credit is pristine. A clean release from conservatorship will draw debt, stock investors into buy in to these "new" versions of $FNMA $FMCC.
Right now things sit at an impasse in Washington DC where the decision has to be made to do this. The recent price action in $FNMA $FMCC suggests something is happening at government levels to unknot this tangle. What could it be?
Markets seem to be speculating that after 15+ years of conservatorship, the end of it maybe near. If that is right, $FNMA $FMCC have to be some of the best speculation opportunities for spectacular, rapid gains in sudden, shocking and surprising fashion.
We've owned, tracked, monitored $FNMA $FMCC and several of their preferred stocks in the Gold tier @atgdigital_ model portfolios since 2018. These investments are starting to show modest gains now, but in success mode, these could be 📈🚀🚀❗️
Time will tell. Not financial investment advice. Just my opinion take on things.
$FNMA $FMCC thoughts. Something is going to happen because of the new politics around mortgage rates. Mortgage rates bottomed out in August 2021 with the 30 yr mortgage at a bit under 3%. Low rates surged real estate prices and home buying.
— 🇺🇸Paul Mampilly (@MampillyGuru) May 3, 2024
Rates are now at 7.5% & the market… pic.twitter.com/4ABw7p0aFB
$Booooom ! - $Friday $Morning $Initial $Pop is in $Store ... 
FNMA - Last $1.48 BID X ASK $1.50 X $1.51 - 33,029 premkt
FMCC - Last $1.38 BID X ASK $1.40 X $1.42 ... 20,000 premkt
Otting would have stopped the C-ship. That is why he did not get the job. https://t.co/YQpyXsD8j3
— Robert (@robjunier) May 2, 2024
Freddie Mac Surpasses Analyst Revenue Forecasts w Strong Q1 2024 Performance
GuruFocus Research - Wed, May 1, 2024, 6:01 PM PDT3 min read
Net Income: Reported at $2.8 billion, marking a 39% increase year-over-year, surpassing the estimated $2.3 billion.
Revenue: Achieved $5.8 billion, up 19% year-over-year, exceeding the estimated $4.877 billion.
Provision for Credit Losses: Recorded at $0.2 billion, primarily due to a modest credit reserve build in Single-Family.
New Business Activity: Increased to $62 billion from $59 billion in the prior year's first quarter.
Mortgage Portfolio: Grew to $3.0 trillion, a 2% increase year-over-year.
Delinquency Rate: Improved to 0.52% from 0.62% as of March 31, 2023.
Loan Workouts: Completed approximately 21,000, aiding in the management of delinquencies.
On May 1, 2024, Federal Home Loan Mortgage Corp (FMCC), also known as Freddie Mac, released its 8-K filing, revealing a significant increase in net income and revenue for the first quarter of 2024. The company reported a net income of $2.8 billion, marking a 39% increase from the previous year, and net revenues of $5.8 billion, up 19% year-over-year. These figures substantially exceeded analyst expectations, which had forecasted a net income and revenue of $0.00 million and $4877.00 million respectively.
Freddie Mac Surpasses Analyst Revenue Forecasts with Strong Q1 2024 Performance
Freddie Mac, a cornerstone of the American housing finance system, plays a pivotal role by purchasing, guaranteeing, and securitizing mortgages. It operates primarily through its Single-family and Multifamily segments, with the majority of revenue derived from the Single-family sector. This quarter's performance highlights the company's effective management and operational efficiency, particularly in a challenging economic environment characterized by high interest rates and affordability issues.
Key Financial Highlights
The first quarter saw Freddie Mac's total mortgage portfolio rise to $3.5 trillion, with a notable increase in net interest income to $4.8 billion, up 6% from the previous year. This growth was driven by an expanding mortgage portfolio and higher investments net interest income due to increased short-term interest rates. Non-interest income also surged to $1.0 billion from $0.3 billion in the prior year, primarily due to net investment gains in the Multifamily segment.
The provision for credit losses was $0.2 billion, a slight increase attributed to a modest credit reserve build in the Single-family segment due to new acquisitions and rising mortgage interest rates. Despite these challenges, the company's serious delinquency rate improved, dropping to 0.52% from 0.62% a year earlier, reflecting strong credit performance and effective risk management.
Operational Achievements and Market Impact
During the quarter, Freddie Mac financed 194,000 mortgages and supported 85,000 rental units, with a significant focus on affordability. 54% of the single-family homes and 90% of the rental units financed were affordable to families earning at or below 120% of the area median income. This underscores Freddie Mac's commitment to its mission of making home ownership and rental options accessible to more Americans, particularly low- to moderate-income families.
The company's efforts to enhance liquidity and stability in the housing market are evident in its new business activities, which totaled $62 billion, up from $59 billion in the same quarter the previous year. Additionally, Freddie Mac's strategic use of credit enhancements covered 61% of its mortgage portfolio, further securing its financial footing and protecting against potential losses.
Looking Ahead
As Freddie Mac continues to navigate the complexities of the housing market and broader economic conditions, its strong first-quarter performance provides a solid foundation for future growth. The company remains focused on its mission to stabilize the housing market and provide continued support to homeowners and renters across the United States.
For more detailed information on Freddie Mac's financial results and operational strategies, investors and interested parties are encouraged to review the full earnings report and supplementary materials available on the company's website.
Explore the complete 8-K earnings release (here) from Federal Home Loan Mortgage Corp for further details.
Kangaroo court room very true as long as the crooked regime in charge period. Bottom line the crooked using the BS power try suppress whoever against them. Anti-Semitism word so ridiculous and so outdated people around the world have the right to stand up the dictator regime. So every time any words again Israel call the Anti-Semitism by the stupid media framing for the people stand up their right and their freedom suppress by the lunatic war monger leader Israel. Again the world we live now do have good apple and bad apple get the point hates media so please stop calling people around the world to fight for their free doom and their ancestor land confiscate by Israel regime consider Anti-Semitism very BS and not very true. No one hate Israel people except the war monger leader of Israel cooked regime in charge causing the world wide unstable period.
https://apnews.com/article/trump-wisconsin-michigan-battleground-trial-gag-order-f3d448782edc81e10274cf99175f3844?utm_source=newsshowcase&utm_medium=gnews&utm_campaign=CDAqDwgAKgcICjCE7s4BMOH0KDDHndUC&utm_content=rundown
What is it many people mind and don't get the fact that no matter how much F&F earning it doesn't matter. As long as the crooks regime in charge and F&F in Cship. The SP still in OTC and the mm still easily manipulation with the blessing green light from the the crooks. Only MAGA by DJT reclaim the WH this Nov then F&F will be out of Cship and the crooks regime will get kick out and freedom will be ring on F&F SH at last! The try to shake DJT out everything they could and so far the crooks regime fail miserably. I can only hope this Nov GOP take over the House and Senate and pretty sure DJT in WH then it is pay back time for what the crooks done. Shame on them too many things need here instead of go other country to protecting as the cost by taxpayers and continue liars to the American public. Again, watch the crooks talk then compare what the crooks does.. 95 Billion from taxpayers no issue but for F&F SH won by the judgement until now still fought tooth and nail court here and there under the porky judge know nothing about the law what right and wrong except wearing the BS clown rope. You be the judge.
Another quarter of very solid income and another quarter of shareholders getting zilch! #Fanniegate $FNMA https://t.co/UlUpI1sJWB
— GSE News (@GSE_NewsToday) April 30, 2024
$Booooom ! Freddie Mac Q1 - May 01, 2024
--- Q1 Net revs $5.8 Bil, incr + 19% YOY, driven by higher net int
--- Prov for cred losses $0.2 Bil, by modest credit res in Sngl-Fam attrib
to new acquisitions & mort interest rates.
--- Net inc $2.8 Bil +39% YOY, driven by higher revenues.
$Freddie $Mac reports $Q1 $Results - May 01, 2024 1:51 PM ET
Federal Home Loan Mortgage Corporation (FMCC) StockBy: Gaurav Batavia, SA News Editor
Freddie Mac press release (OTCQB:FMCC):
--- Q1 Net revenues of $5.8 billion, an increase of 19% year-over-year,
driven by higher net interest income and higher non-interest income.
--- Provision for credit losses of $0.2 billion, primarily driven by a modest
credit reserve build in Single-Family attributable to new acquisitions and increasing mortgage interest rates.
--- Net income of $2.8 billion, an increase of 39% year-over-year, primarily driven by higher net revenues.
More on Freddie Mac
May 1, 2024 - Transcript: Freddie Mac CFO Discusses First Quarter 2024 Financial and Business Results
Christian Lown - Executive Vice President and Chief Financial Officer
Remarks of Chris Lown
Introduction
Good morning and thank you for joining our call to review Freddie Mac’s first quarter 2024 financial results. Before I move on to our earnings, I’d like to offer some brief remarks about the mission our financial performance supports.
In the first quarter, Freddie Mac helped make it possible for hundreds of thousands of families to rent, buy or refinance a home. Ninety percent of the rental homes we helped finance were affordable to low- and moderate-income families. First-time homebuyers represented 52 percent of new single-family home purchase loans. That’s a new high for us.
We are working to extend these opportunities to more borrowers and renters in a safe, sound and sustainable way. Here are three examples of how we moved toward that goal since the beginning of the year:
First, we added to our affordability toolkit for very low-income homebuyers. Through our Home Possible Very Low-Income Purchase Credit, eligible families earning 50 percent or less of area median income can now receive a $2,500 credit to help them with closing costs or a down payment.
Second, we made mission-focused investing easier for the firms that supply liquidity to the U.S. housing finance system. Updates to our Mission Index could help investors identify mortgage-backed securities meeting their social investment goals.
And third, we continue to update our risk-management practices. We recently announced Multifamily policy and process changes—including enhanced property inspection requirements and appraisal reviews—that further strengthen our underwriting due diligence and risk mitigation.
Through these actions and others, Freddie Mac is helping to make home possible for families across the country in a safe and sound manner.
Now let’s take a look at our financial results.
Financials
We earned net income of $2.8 billion this quarter, an increase of $771 million, or 39 percent, year-over-year. This increase was primarily driven by higher net investment gains and higher net interest income which benefited from higher rates.
First quarter net interest income was $4.8 billion, up 6 percent year-over-year. The Single-Family mortgage portfolio grew 2 percent and saw a 1 basis point increase in the average estimated Single-Family guarantee fee rate. Higher investment income benefiting from higher short-term interest rates also contributed to the increase in net interest income. These positive drivers were partially offset by lower deferred fee income recognition resulting from slower prepayments due to higher mortgage rates.
Non-interest income for the first quarter was $1 billion, an increase of $672 million from the prior year quarter, primarily due to an increase in net investment gains in Multifamily.
Our provision for credit losses was $181 million for this quarter, driven by modest credit reserve builds in both business segments, compared to a higher provision expense of $395 million for the prior year quarter, which was primarily attributable to new acquisitions in that period.
Our total mortgage portfolio at the end of this quarter was $3.5 trillion, a 2 percent increase year-over-year.
Single-Family Business Segment
Turning to our individual business segments, the Single-Family segment reported net income of $1.9 billion for the quarter, up $268 million, or 16 percent year-over-year.
Single-Family net revenues of $4.5 billion increased 6 percent from the prior year quarter. This increase was primarily driven by a 4 percent increase in our net interest income, which benefited from continued growth in our Single-Family mortgage portfolio. Investment net interest income also increased due to higher short-term interest rates. These increases were partially offset by lower deferred fee income due to slower prepayments as a result of higher mortgage rates.
Our provision for single-family credit losses was an expense of $120 million this quarter, primarily due to a modest credit reserve build for new acquisitions and the impact of higher mortgage rates. The provision in the prior year quarter was $318 million, which was primarily attributable to new acquisitions.
Our current house price forecast assumes an increase of 0.2 percent over the next 12 months and 0.6 percent over the subsequent 12 months. This is down from our forecast at end of last quarter which assumed 2.8 percent and 2 percent growth over next 12 and subsequent 12 months, respectively.
The Single-Family allowance for credit losses coverage ratio at the end of this quarter was 20 basis points, unchanged from the last quarter and down 6 basis points year over year.
The Single-Family serious delinquency rate continued to be historically low and declined to 52 basis points at the end of the first quarter, down 10 basis points from 1Q 2023 and 3 basis points from 4Q 2023. In the first quarter, we helped approximately 21,000 families remain in their homes through loan workouts.
Our Single-Family mortgage portfolio at the end of the quarter was $3.0 trillion, up 2 percent year over year. Credit characteristics of our Single-Family portfolio remained strong, with the weighted average current loan-to-value ratio at 52 percent and the weighted average current credit score at 754. At the end of the quarter, 61 percent of our single-family portfolio had some form of credit enhancement.
New business activity totaled $62 billion this quarter, slightly up from $59 billion from 1Q 2023. First time home buyers represented 52 percent of our total new business activity.
Higher mortgage rates continue to impact both purchase and refinance activity. Refinance activity accounted for 15 percent of our total new business activity this quarter which was slightly up from 11 percent in 4Q 2023. Mortgage rates at the end of the quarter were 6.79 percent, up from 6.61 percent at end 4Q 2023 and 6.32 percent at end 1Q 2023.
The weighted average original loan-to-value on new purchases was 78 percent and weighted average original credit score was 753, while the average estimated guarantee fee charged on the new business was 55 basis points.
Multifamily Business Segment
Moving on to Multifamily, the segment reported net income of $821 million, up $503 million from the prior year quarter. This increase was primarily driven by higher non-interest income of $1 billion, which increased $593 million from the prior year quarter. This increase in non-interest income was primarily driven by net gains from interest-rate risk management activities, higher revenues from held-for-sale loan purchase and securitization activities, and favorable fair value changes from spreads.
Net interest income of $271 million was up 32 percent year-over-year, primarily driven by higher yields on mortgage loans as a result of higher interest rates and the larger average PC portfolio.
The Multifamily provision for credit losses was an expense of $61 million this quarter versus $77 million in the prior year quarter.
Our Multifamily new business activity was $9 billion for the first quarter, up $3 billion or 50 percent from a year ago. Our Multifamily business provided financing for 85,000 multifamily rental units this quarter, of which 61 percent were affordable to low-income families.
The Multifamily mortgage portfolio increased 4 percent year-over-year to $443 billion. Approximately 94 percent of the Multifamily mortgage portfolio was covered by credit enhancements at the end of this quarter.
The Multifamily delinquency rate at end of the quarter was 34 basis points, up 21 basis points versus 13 basis points at the end of March 2023. This increase was primarily driven by delinquency in our floating rate loans and small business loans portfolio. Ninety-four percent of these delinquent loans had credit enhancement coverage.
Capital
On the capital front, our net worth increased to $50.5 billion at the end of the quarter, representing a 29 percent increase year-over-year.
Conclusion
In conclusion, Freddie Mac helped 279,000 families purchase, refinance, or rent a home while delivering solid financial results this quarter. Importantly, most of the liquidity we provided supported low- and moderate-income households, as well as first-time homebuyers. As affordability challenges are expected to persist, efforts to expand affordability for homeowners and renters will remain a key focus of Freddie Mac.
$Freddie $Mac $Net $Revs $5.8 Bil Net $Income $2.8 Bil
$2.8 Bil / 650 Mil shares = $4.30 / share
Catman posting on X about Conservatorship EXIT ! 
I hear taking all of it away and giving it to your business partners is an option. You could go kiss some tattoos, get sued and then pay for the settlement and legal fees on their dime!
— Jeremy Cain (@jeremycain_usc) April 29, 2024
Fannie Mae Q1 2024 Earnings Preview
Apr. 29, 2024 12:07 PM ETFederal National Mortgage Association (FNMA) StockBy: Mary Christine Joy, SA News Editor2 Comments
Fannie Mae (OTCQB:FNMA) is scheduled to announce Q1 earnings results on Tuesday, April 30th, before market open.
The consensus EPS estimate is $0.00 and the consensus revenue estimate is $7.65B.
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