Fannie Cancels Adverse Delivery Fee Increase
Less than two months after doubling its adverse market delivery charges, Fannie Mae is reversing its decision.

The secondary lender said Thursday it is canceling the increase that was to be effective for whole loans purchased on or after Oct. 1 and for mortgages delivered into mortgage-backed securities with issue dates on or after Oct. 1.

Fannie said in August that it was increasing adverse market delivery charges to 0.50 percent from 0.25 percent, which it noted was more in line with credit risks.
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Banks Face Mergers, Regulatory Orders
A new real estate investment trust is being launched, an order was issued against a bank officer accused of mortgage fraud and Fannie Mae and Freddie Mac faced grand jury subpoenas and securities regulatory inquiries. Meanwhile, dozens of other banks faced a host of regulatory orders and a growing number of institutions face mergers.

Fannie Purchases, Delinquency Deteriorate
Monthly business sank to it lowest level in more than three years at Fannie Mae, while delinquency reached its highest level in at least eight years.

Freddie Reorganizes
Freddie Mac has restructured its organization and shuffled some of its executives. Among the casualties are its in-house lobbyist and its chief financial officer.

Freddie Performance Soured in August
As Freddie Mac faced a financial collapse, its business purchases dropped to the lowest level in more than seven years, its total mortgage portfolio declined and delinquency continued to accelerate. One bright spot was a decline in multifamily delinquency.

Behind the GSE Meltdowns The regulator of Fannie Mae and Freddie Mac offered lawmakers a interesting behind-the-scenes look at the collapse of the two secondary lenders as independent companies.

GSE Nonprime Performance Disproportionately Bad
Had Fannie Mae and Freddie Mac avoided subprime and Alt-A mortgages, delinquency and foreclosures would have been cut in half. While subprime and Alt-A loans account for just 17 percent of the loans serviced for the two government sponsored enterprises, they account for around one out of every two foreclosures.

Bank Chaos Continues
The fallout from the seizure of the government sponsored housing enterprises continues -- with class action filings, more banks' disclosures of losses from their GSE holdings and a banking trade group's call for help from regulators. Meanwhile, three more banks are facing regulatory actions because of their poor capital positions, and two banks have agreed to merge.

Commercial Mortgage Outstandings Rise
Despite a decline in commercial mortgages held in securities, overall outstandings increased. Fannie Mae and Freddie Mac saw an increase in multifamily holdings.

Shakeup, Reorganization at Fannie
Four senior executives are leaving Fannie Mae as the company reorganizes.