Federal Home Stock Price, News & Analysis

Freddie Mac (OTCQB: FMCC) reported the results of its Primary Mortgage Market Survey, showing a slight increase in the 30-year fixed-rate mortgage (FRM) to 2.87% for the week ending August 26, 2021, up from 2.86% the previous week. A year prior, it averaged 2.91%. The 15-year FRM averaged 2.17%, a minor rise from 2.16%. The 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) decreased to 2.42%. The report highlights that low inventory remains a major barrier to increasing home sales, despite improving purchase application demand.

Freddie Mac (OTCQB: FMCC) announced the results of its Primary Mortgage Market Survey, revealing that the 30-year fixed-rate mortgage averaged 2.86% for the week ending August 19, 2021, down slightly from 2.87% the previous week and 2.99% a year ago. The 15-year fixed-rate mortgage averaged 2.16%, and the 5-year adjustable-rate mortgage averaged 2.43%. Sam Khater, Freddie Mac’s Chief Economist, noted stable mortgage rates amidst strong demand but limited supply, which is driving prices up.

Freddie Mac (OTCQB: FMCC) has announced the pricing of approximately $799 million in new Structured Pass-Through Certificates (K-F119 Certificates), expected to settle around August 31, 2021. This offering includes floating-rate bonds indexed to the Secured Overnight Financing Rate (SOFR) and is backed by floating-rate multifamily mortgages with 10-year terms. The K-F119 Certificates will not be rated and feature a senior principal and interest class along with an interest-only class. This move aligns with Freddie Mac's strategy to attract private investment and reduce taxpayer risk.

Freddie Mac (OTCQB: FMCC) has announced the pricing of its SB89 offering, a multifamily mortgage-backed securitization backed by small balance loans. The offering, expected to settle around August 20, 2021, will issue approximately $382 million in SB Certificates. This marks the eighth SB Certificate transaction in 2021, with Freddie Mac guaranteeing four senior principal classes and one interest-only class. The small balance loans involved typically range from $1 million to $7.5 million and are secured by properties containing five or more units.

Freddie Mac (OTCQB: FMCC) reported the latest results of its Primary Mortgage Market Survey (PMMS) on August 12, 2021. The survey indicated that the 30-year fixed-rate mortgage averaged 2.87 percent, rising from 2.77 percent the previous week. Additionally, the 15-year fixed-rate mortgage increased to 2.15 percent, while the 5-year Treasury-indexed hybrid ARM rose to 2.44 percent. Despite the recent uptick in rates, they remain low amidst strong economic growth and job gains.

Freddie Mac (OTCQB: FMCC) has priced a new offering of K Certificates, backed by fixed-rate multifamily mortgages, totaling approximately $741 million. The K-744 Certificates are scheduled to settle on August 19, 2021, and feature various classes with specific coupon rates and yields. The offering is part of Freddie Mac's strategy to transfer risk from taxpayers to private investors, enhancing investor options with stable cash flows. Co-lead managers include Barclays Capital and Wells Fargo Securities.

Freddie Mac (OTCQB: FMCC) has announced the pricing of its new Structured Pass-Through Certificates (K-F118 Certificates) worth approximately $859 million. These certificates are backed by floating-rate multifamily mortgages with 7-year terms that are indexed to the Secured Overnight Financing Rate (SOFR). The K-F118 Certificates are expected to settle on or around August 19, 2021. The offering is managed by Morgan Stanley & Co. LLC and BofA Securities, Inc., with additional co-managers including Citigroup Global Markets Inc. and J.P. Morgan Securities LLC.

Freddie Mac (FMCC) announced the sale of 1,139 delinquent residential first lien mortgage loans via auction, totaling approximately $185 million. These loans, which have been delinquent for an average of 105 months, will be settled in September 2021. The borrower assistance and loss mitigation agreements must be honored by the bidder, MCLP Asset Company, Inc. This sale is part of Freddie Mac's strategy to reduce less-liquid assets, having previously sold $9 billion of non-performing loans and securitized $74 billion of re-performing loans to enhance economic stability.

Freddie Mac's Single-Family business announced a record first half Credit Risk Transfer (CRT) issuance of $9.9 billion, safeguarding $418.9 billion in unpaid mortgage principal. The second quarter issuance was $3.5 billion, protecting $173.6 billion in single-family mortgages. Highlights include record-setting transactions in STACR and ACIS programs, with notable issuances of $1.4 billion and $1 billion, respectively. Cumulatively, Freddie Mac has transferred approximately $83 billion in credit risk on $2.3 trillion in mortgages since 2013.