Mortgage Daily Logo
mortgage news from industry experts

Fannie Performance Sinks

Monthly purchases sank, delinquency delved further into record territory and losses skyrocketed at the Federal National Mortgage Association.

January’s new business acquisitions at Fannie Mae were $55.0 billion, according to an operational summary released today. Volume tumbled from $71.9 billion in December to the lowest level since February 2009 but was well above $28.8 billion a year earlier.

The Washington, D.C.-based company’s huge book of business fell around $14 billion from the end of last year to $3.2269 trillion on Jan. 31. The total included a gross mortgage portfolio of $0.7352 trillion and outstanding mortgage-backed securities of $2.4917 trillion.

Residential delinquency of at least 90 days, which the government-controlled enterprise reports on a one-month delay, was a record 5.38 percent on Dec. 31, increasing from a record 5.29 percent a month earlier and 2.42 percent a year earlier.

Multifamily delinquency of at least 60 days fell to 0.63 percent from November’s 0.66 percent. Apartment delinquency was 0.30 percent in December 2008.

The poor monthly results were preceded by Fannie’s announcement last week that it had a $15.4 billion fourth-quarter loss before taxes, not quite as bad as the $19.0 billion third-quarter loss. But the loss forced Fannie to turn to the U.S. Department of the Treasury for another $15.3 billion in life support capital.

The full-year loss was a whopping $73 billion before taxes, worse than $45 billion in 2008.

Popular posts

How Long Does It Take to Refinance a Mortgage
How Long Does It Take to Refinance a Mortgage

So, you’re interested in refinancing your mortgage. Maybe you want some extra capital to do that home project you’ve always dreamed of, interest rates are nearing record lows, or you want to start consolidating debt. Regardless of the motivation behind the refinance,...

How Does Refinancing a Mortgage Work
How Does Refinancing a Mortgage Work

A home purchase is considered an investment, and a robust one at that. Savvy owners are constantly looking for new ways to reduce debt, save money, pay less in interest, and ultimately build equity. Refinancing is one way to leverage your investment and do just that....

What Does It Mean to Refinance Your Home
What Does It Mean to Refinance Your Home

You can think of refinancing your mortgage as a debt redo. Essentially, you’ll swap out the existing loan for a new one - ideally with better terms and conditions. Only this time it could help you save money on high mortgage payments, rather than just borrow it....

Setting up the Utilities in My New House
Setting up the Utilities in My New House

All the tedious, time-consuming home closing documents have been signed, sealed, and delivered. Your belongings are packed into what seems like a million boxes and you have a solid plan to haul all your existing furniture to the new place. Just as your boxes and...

When Is My First Mortgage Payment Due?
When Is My First Mortgage Payment Due?

Navigating your way through a brand new mortgage loan can be a difficult task, especially for first time homeowners. After handing over a large sum of money for the down payment and closing costs, it’s important to pay attention to the timing of your first mortgage...


Don’t worry, we don’t spam

calculate your monthly mortgage payment

Related Topics

Helpful Links

Daily mortgage rate trends

Best mortgage lenders

First-time homebuyers programs by state

Loan limits by state

Types of mortgages

APR vs interest rate

Understanding PMI

Related Posts