Welcome to our dedicated page for Federal Home news (Ticker: FMCC), a resource for investors and traders seeking the latest updates and insights on Federal Home stock.
Freddie Mac (OTCQB: FMCC), formally the Federal Home Loan Mortgage Corporation, regularly issues news and updates that reflect its role in U.S. housing finance. The company describes its mission as making home possible for families across the nation by promoting liquidity, stability and affordability in the housing market throughout all economic cycles. Since 1970, it reports having helped tens of millions of families buy, rent or keep their home.
News about Freddie Mac often covers mortgage rate trends through its Primary Mortgage Market Survey® (PMMS®). These releases provide average rates for products such as the 30-year and 15-year fixed-rate mortgage, focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20% down and have excellent credit. Such updates can give readers insight into movements in mortgage costs and the company’s commentary on housing demand.
Another key news theme is Freddie Mac’s activity in credit risk transfer and securities issuance. The company publishes updates on its Single-Family Credit Risk Transfer (CRT) programs, including STACR® and ACIS® transactions, and on multifamily securities such as K-Deals®, Multi PCs®, SB-Deals®, M-Deals, ML-Deals, Q-Deals, MSCR notes and MCIP policies. These announcements describe how Freddie Mac transfers credit, interest-rate and liquidity risk away from U.S. taxpayers to private investors and (re)insurers.
Freddie Mac also releases information on its Monthly Volume Summary, tender offers for STACR notes, and exchange offers for Gold PCs and Giant PCs. Governance and leadership developments, such as changes in executive roles or board membership, are disclosed through press releases and related SEC filings. Investors and observers can use this news feed to follow Freddie Mac’s mortgage market surveys, securities issuance, risk transfer activity and corporate updates in one place.
Freddie Mac (OTCQB: FMCC) has appointed Dennis Hermonstyne Jr. as the new senior vice president and chief compliance officer, effective September 19, 2022. With over 20 years of experience in compliance for national and international financial services, Hermonstyne will enhance Freddie Mac's commitment to compliance risk management related to legal and regulatory obligations. Previously, he held executive roles at Santander Bank and E*TRADE Bank, and he brings a strong legal background from various regulatory agencies.
Freddie Mac (OTCQB: FMCC) released research indicating that 32 states, including Washington, D.C., are implementing measures to safeguard affordable housing under the Low-Income Housing Tax Credit (LIHTC) program against climate-related disasters. Of these, 27 states have provisions aiding recovery, with 17 states addressing both resilience and recovery. The research emphasizes the need for disaster-resilient affordable housing, showcasing various strategies that states employ in their Qualified Allocation Plans (QAPs). These actions are designed to reduce disaster risks and enhance recovery efforts for multifamily properties.
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.