The issuance of agency mortgage-backed securities rebounded from a two-and-a-half year low. The improvement was across-the-board.
Issuers of Ginnie Mae, Fannie Mae and Freddie Mac fixed-rate MBS managed to securitize $69.9 billion last month, according to data provided by eMBS. Volume increased from May’s $63.5 billion — the lowest level of activity since January 2009, when agency issuance was $62.4 billion.
In June 2010, government-related securitizations amounted to $92.8 billion.
Year-to-date June 30 issuances by the three government agencies totaled $512.3 billion.
Fannie’s $30.6 billion in activity last month was higher than $26.4 billion in May but down from $36.2 billion a year earlier. Fannie issuances add up to $241.9 billion so far this year.
Ginnie followed with $20.9 billion in securitizations last month. The government-owned company lifted business from $19.8 billion in May but failed to match $30.2 billion in June 2010. From Jan. 1 through June 30, the Washington, D.C.-based corporation issued $126.8 billion in fixed-rate securities.
Volume at No. 3 Freddie rose to $18.3 billion from the previous month’s $17.3 billion. The McLean, Va.-based company’s issuances were $26.4 billion during the same month in 2010. Year-to-date activity at Freddie totaled $143.6 billion.
New conventional origination activity edged up slightly between May and June, according to the Mortgage Market Index from Mortech Inc. and Mortgage Daily. The movement suggests July issuance will likely come in around the same level as June — though a recent spike in interest rates could drag down business after that.
