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 announced the pricing of its SB94 offering, a multifamily mortgage-backed securitization backed by small balance loans, totaling approximately $400 million in SB Certificates, expected to settle around January 21, 2022. This transaction marks the first SB Certificate issuance in 2022. Freddie Mac guarantees four senior classes of securities from the FRESB 2022-SB94 Mortgage Trust, while also acting as loan seller and master servicer. This initiative aims to provide greater liquidity to smaller apartment properties and enhance service in less populated markets.
Freddie Mac (OTCQB: FMCC) reported significant achievements in 2021, purchasing $70 billion in loans, reaching the FHFA volume cap. The company financed about 650,000 rental units, with 95% affordable to families earning 120% of area median income or less. Freddie Mac surpassed its mission-driven goals, achieving 57% of volume in that area. Key highlights included $9.6 billion in Targeted Affordable Housing Loans and a record $80.6 billion securitized. The FHFA increased the 2022 cap to $78 billion, maintaining previous mission-driven requirements.
Freddie Mac (OTCQB: FMCC) reported a rise in mortgage rates, with the 30-year fixed-rate mortgage averaging 3.45% as of January 13, 2022, up from 3.22% the previous week. This increase is attributed to expectations of tighter monetary policy amidst ongoing inflation and supply chain uncertainties. Although current mortgage rates have not yet dampened purchase demand, the escalating home prices may impact future demand negatively. The 15-year fixed-rate mortgage averaged 2.62%, while the 5-year adjustable-rate mortgage averaged 2.57%.
The Freddie Mac Multfamily Apartment Investment Market Index (AIMI) showed positive growth in Q3 2021, with an overall increase of 2.6% quarterly and 3.5% annually. Strong net operating income (NOI) growth was noted, particularly in New York and Tampa, where NOI grew 13.2% and 11.5% respectively. Mortgage rates decreased 5 basis points during the quarter. The AIMI rose in all 25 markets, indicating a favorable investment environment as markets recover from COVID-19 impacts.
Freddie Mac (OTCQB: FMCC) has announced the pricing of approximately $829 million in Structured Pass-Through Certificates (K-F128 Certificates), set to settle around January 20, 2022. These certificates are backed by floating-rate multifamily mortgages indexed to the Secured Overnight Financing Rate (SOFR) with a 10-year term. Co-lead managed by J.P. Morgan and Goldman Sachs, the offering includes both senior principal and interest classes. Freddie Mac aims to transfer some risk from taxpayers to private investors through these securities.
In 2021, Freddie Mac (OTCQB: FMCC) set a record by issuing $80.6 billion in multifamily securities, reinforcing its leadership in risk transfer. The company has now settled over $500 billion in multifamily securities since the K-Deal program's inception in 2009. Key metrics include:
- $63.5 billion in K-Deals
- $5.1 billion in SB-Deals
- $7.0 billion in Multi PCs
- Introduction of the When-Issued K-Deal
- $5.2 billion in Impact Bonds
Freddie Mac aims to provide affordable housing, with over 90% of funded units accessible to low-to-moderate income families.
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.
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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.