Federal Home Stock Price, News & Analysis

Freddie Mac (OTCQB: FMCC) is set to market a new class of Multifamily WI Certificates, heavily composed of the A-2 guaranteed bond class from K Certificates Series K-140. This follows the successful execution of $2 billion in WI deals for A-M class bonds in 2021. The WI-K140 deal will be available the week of January 24, enabling investors to manage risk while gaining exposure to certain bond classes. WI Certificates are publicly traded and backed by Freddie Mac’s guarantee, allowing initial cash collateral while offering stable cash flow and credit enhancement options.

Freddie Mac's annual multifamily outlook forecasts a continued growth in multifamily origination volume for 2022, estimating a range of $475 billion to $500 billion. Rent growth is expected across all markets, with the Sun Belt outperforming others. However, after a robust 2021, growth is likely to moderate due to inflation and COVID-19 variants concerns. The report anticipates a 4% rent increase and flat vacancy rates at 4.8%. Freddie Mac remains a leader in multifamily housing finance, emphasizing affordable housing for low-to-moderate income families.

Freddie Mac (OTCQB: FMCC) reported in its latest Primary Mortgage Market Survey that the average 30-year fixed-rate mortgage rose to 3.22%, up from 3.11% last week and significantly higher than the 2.65% average from a year ago. The 15-year fixed-rate mortgage also increased to 2.43%, while the 5-year hybrid adjustable-rate mortgage remained stable at 2.41%. Chief Economist Sam Khater indicated that rising inflation and strong economic growth may lead to continued increases in mortgage rates, although demand from first-time homebuyers appears resilient.

Freddie Mac announced plans to issue at least $25 billion in Single-Family Credit Risk Transfer (CRT) in 2022, focusing on STACR and ACIS transactions. The issuance aims to meet the new capital requirements under the Enterprise Regulatory Capital Framework. New M-1A and M-1B slices will be introduced to attract investment-grade buyers. Additionally, Freddie Mac plans to offset issuances with $15 billion through financial maneuvers like paydowns and repurchases. In 2021, Freddie Mac issued over $18 billion across various transactions.

Freddie Mac (OTCQB: FMCC) announced the upcoming NAIC designations for its STACR Debt, STACR Trust, and STACR REMIC Trust notes for the 2021 filing year. These designations pertain to notes from transactions including STACR REMIC Trust 2021-DNA6, 2021-DNA7, 2021-HQA3, and 2021-HQA4. Once available, the NAIC designations will be included in the year-end designation file accessible on Freddie Mac's website. Freddie Mac's Credit Risk Transfer programs aim to enhance stability and affordability in the U.S. housing market while transferring credit risk to private capital.

Freddie Mac (OTCQB: FMCC) has appointed Steve Lineberger and Meg McElgunn as vice presidents of Production & Sales. Steve will manage the Western and Central regions, while Meg will lead the Northeast and Southeast regions. Richard Martinez, senior vice president of Multifamily Production & Sales, praised their leadership and experience in the multifamily sector. Lineberger has been with Freddie Mac since 2012, while McElgunn has a long history with the firm, focusing on multifamily small balance loans.

Freddie Mac (FMCC) has introduced its Single-Family Green Bond Framework, reinforcing its commitment to sustainable housing and long-term stakeholder value. The program has received a Light Green Second Opinion rating from CICERO Shades of Green. Since April 2021, Freddie Mac has issued over $600 million in Single-Family Green MBS, primarily financing energy-efficient improvements, including solar panel installations. The framework now broadens eligible mortgages, promoting green construction and energy efficiency. Additionally, Freddie Mac has issued $4.56 billion in Multifamily Green Bonds, designed to enhance water and energy efficiency.

Freddie Mac (OTCQB: FMCC) has released a white paper addressing the affordable housing crisis in High Opportunity Areas, focusing on local land-use rules and their impact on access to affordable rentals. The research highlights that only 11% of rental stock in these areas is affordable for low-income renters. The study suggests that preserving both multifamily and single-family rental housing is crucial for improving access and economic mobility. The findings aim to inform policy changes that could enhance the availability of rental housing.