Federal Home Stock Price, News & Analysis

Freddie Mac (OTCQB: FMCC) has reported that the average rate for a 30-year fixed-rate mortgage has risen to 5.54% as of July 21, 2022, up from 5.51% the previous week, and significantly higher than 2.78% a year ago. The 15-year FRM also increased to 4.75%, while the 5-year Treasury-indexed hybrid ARM decreased to 4.31%. Chief Economist Sam Khater noted that rising rates, inflation, and recession concerns are softening demand in the housing market, expecting a noticeable moderation in house price appreciation.

Freddie Mac (OTCQB: FMCC) forecasts a slowdown in the single-family purchase market due to rising mortgage rates and house price appreciation. The analysis highlights that homebuyer demand will moderate, correcting from the previous two years of high activity. Key predictions include a 30-year fixed-rate mortgage averaging 5.0% in 2022, house price growth of 12.8% in 2022 declining to 4.0% in 2023, and home sales decreasing from 6.9 million in 2021 to 5.4 million in 2023. Overall mortgage origination is projected to drop from $4.8 trillion in 2021 to $2.3 trillion in 2023.

On July 14, 2022, Freddie Mac (FMCC) reported an increase in mortgage rates, with the 30-year fixed-rate mortgage averaging 5.51%, up from 5.30% the previous week and significantly higher than 2.88% a year ago. The 15-year FRM rose to 4.67% from 4.45%, while the 5-year ARM increased to 4.35% from 4.19%. Chief Economist Sam Khater noted that high rates, escalating home prices, and inflation continue to hinder affordability for many potential homebuyers.

Freddie Mac has released a white paper indicating that multifamily properties exiting the Low-Income Housing Tax Credit (LIHTC) program still generally maintain lower rents compared to broader market levels. Analyzing 133 former LIHTC properties across various markets, the study revealed an average rent decrease of 12%, with Dallas properties showing rents 27% lower than the market comparables. The research aims to highlight risks and the severity of potential affordability loss in the housing market.

Freddie Mac (OTCQB: FMCC) reported the results of its Primary Mortgage Market Survey on July 7, 2022. The 30-year fixed-rate mortgage (FRM) averaged 5.30%, down from 5.70% the previous week and significantly higher than 2.90% a year ago. The 15-year FRM averaged 4.45%, also lower from last week and up from 2.20% a year ago. The 5-year hybrid adjustable-rate mortgage (ARM) averaged 4.19%. Chief Economist Sam Khater noted that the decline is minor relief for buyers amidst rising recession concerns. The housing market is projected to normalize due to low affordability and an anticipated economic slowdown.

On June 30, 2022, Freddie Mac (OTCQB: FMCC) reported the results of its Primary Mortgage Market Survey, revealing that the 30-year fixed-rate mortgage averaged 5.70%, a decrease from 5.81% the previous week. The 15-year fixed-rate mortgage also dropped to 4.83% from 4.92%. Meanwhile, the 5-year adjustable-rate mortgage rose slightly to 4.50%. Freddie Mac's Chief Economist noted that this pause in mortgage rate increases could help stabilize the housing market, shifting from a seller's market to a more balanced environment.

Freddie Mac (OTCQB: FMCC) has announced an initiative to enhance homeownership access for first-time buyers by integrating on-time rent payment histories into its loan purchase decisions, effective July 10, 2022. This new feature, available via the Freddie Mac Loan Product Advisor, aims to assist renters with limited credit histories. Borrowers can authorize lenders to submit their bank data, reflecting a year of on-time rent payments, enhancing their eligibility for loans. This move supports Freddie Mac’s commitment to improving credit access, particularly in underserved communities.

Freddie Mac (FMCC) released its Monthly Volume Summary for May 2022, detailing mortgage-related portfolios, securities issuance, and risk management. Freddie Mac has been crucial in providing mortgage capital since 1970, making housing accessible for millions. The report sheds light on delinquencies and debt activities that impact their operations. Stakeholders can find more information on the company’s housing finance initiatives at FreddieMac.com.

Freddie Mac (OTCQB: FMCC) reported that the 30-year fixed-rate mortgage averaged 5.81% as of June 23, 2022, an increase from 5.78% the previous week and significantly up from 3.02% a year ago. The 15-year fixed-rate mortgage also rose to 4.92%, while the 5-year Treasury-indexed ARM averaged 4.41%. Rising mortgage rates and high home prices are attributed to declines in existing home sales, although demand remains competitive.