Mortgage Daily Logo
mortgage news from industry experts

Sequential Rise in Freddie Earnings, Business

The Federal Home Loan Mortgage Corp. saw quarter-over-quarter gains in earnings and business, though things slowed from a year prior.

During the three months that ended on June 30, the secondary lender financed 540,000 housing units, more than 522,000 in the first quarter.

But the level of business activity retreated compared to the same three-month period last year, when the total came to 620,000 housing units.

McLean, Virginia-based Freddie Mac detailed the metrics in its second-quarter 2016 earnings report.

The latest volume included 210,000 refinances, 182,000 home purchases and 148,000 multifamily units.

The report indicated that new
single-family funding volume climbed to $91 billion in the second-quarter 2016 from $69 billion three months earlier.

But volume slipped from $101 billion a year earlier.

The most-recent total included $48 billion in refinances and $43 billion in purchases.

Multifamily funding volume came to $27 billion for the first-half 2016. Full-year 2015 multifamily activity was $47 billion.

Freddie said its total multifamily portfolio finished June 2016 at $198 billion, up from $188 billion at the end of last year.

The government-controlled enterprise reported pre-tax income of $1.5 billion during the latest period.

Earnings swung from an $0.5 billion first-quarter loss but plummeted from a $6.1 billion second-quarter 2015 profit.

Second-quarter 2016 earnings included $0.6 billion from single-family guarantee, $0.3 billion from multifamily and $0.3 billion from investments.

Including a planned $933 million payment in September, Freddie has paid $99.1 billion in dividends to the Department of the Treasury.

Dividends paid are well in excess of the $71.3 billion in draws it has taken since being thrown into conservatorship in September 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...

Newsletter

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

THE TRUSTED PROVIDER OF ACCURATE RATES AND FINANCIAL INFORMATION