Welcome to our dedicated page for FANNIE MAE news (Ticker: FNMA), a resource for investors and traders seeking the latest updates and insights on FANNIE MAE stock.
Fannie Mae reports news centered on its role as a federally chartered housing finance company and government-sponsored enterprise traded on OTCQB under FNMA. Recurring updates include quarterly and annual financial results, earnings presentations, financial supplements, and monthly summaries of gross mortgage portfolio activity, mortgage-backed securities and other guarantees, interest rate risk measures, and serious delinquency rates.
Company announcements also cover Selling Guide updates for credit score modernization, including VantageScore 4.0 and FICO Score 10T, as well as capital markets activity involving Connecticut Avenue Securities notes. Governance and housing finance policy developments may appear alongside disclosures tied to Fannie Mae’s conservatorship framework.
Fannie Mae (OTCQB: FNMA) has priced its sixth and final Connecticut Avenue Securities® (CAS) REMIC® transaction of 2024, a $708 million note offering. This brings the total CAS issuance for the year to approximately $4.3 billion. The CAS Series 2024-R06 reference pool includes about 50,000 single-family mortgage loans with an outstanding unpaid principal balance of $16.6 billion.
The reference pool consists of fixed-rate, 30-year term mortgages with loan-to-value ratios of 60.01% to 80.00%, acquired between October and December 2023. Fannie Mae will retain portions of various tranches and the full first-loss tranches. The offering includes multiple classes with different pricing levels and expected ratings.
This transaction marks Fannie Mae's 67th CAS deal, bringing its total issuance to nearly $69 billion in notes, transferring credit risk on approximately $2.3 trillion in single-family mortgage loans.
Fannie Mae (OTCQB: FNMA) has announced the results of its thirty-second reperforming loan sale transaction. The deal, announced on August 13, 2024, involved the sale of 3,092 loans totaling $607,166,012 in unpaid principal balance (UPB). The winning bidders were Goldman Sachs Mortgage Company for Pool 1 and RCAF Loan Acquisition, LP for Pool 2. The transaction is expected to close by October 25, 2024.
Pool 1 consists of 2,254 loans with an aggregate UPB of $461,758,162, while Pool 2 includes 838 loans with an aggregate UPB of $145,407,850. The cover bids were 87.25% of UPB for Pool 1 and 87.00% of UPB for Pool 2. The sale requires buyers to offer loss mitigation options to borrowers who may re-default within five years and honor any approved or in-process loss mitigation efforts.
Fannie Mae (OTCQB: FNMA) has announced its latest sale of non-performing loans, including its 25th Community Impact Pool (CIP). The sale comprises a large pool of approximately 1,766 deeply delinquent loans totaling $296.7 million in unpaid principal balance (UPB), and a CIP of about 29 loans totaling $7.2 million in UPB, focused on the New York area. This initiative is part of Fannie Mae's ongoing effort to reduce its retained mortgage portfolio size.
The sale, marketed in collaboration with BofA Securities, Inc. and First Financial Network, Inc., requires buyers to offer sustainable loss mitigation options to borrowers. Bids are due on October 3, 2024, for the large pool and October 17, 2024, for the CIP. The terms include honoring existing loss mitigation efforts and offering a waterfall of options before initiating foreclosure.
The Fannie Mae (OTCQB: FNMA) Home Purchase Sentiment Index® (HPSI) increased 0.6 points in August to 72.1, showing a significant rise in consumer optimism about future mortgage rates. A survey-high 39% of consumers expect mortgage rates to decline in the next 12 months, up from 29% in July. Despite this improved affordability outlook, only 17% of consumers believe it's a good time to buy a home.
The survey revealed interesting regional variations in housing sentiment, particularly between the South and Northeast, likely reflecting differences in housing supply and construction activity. While 65% of respondents overall believe it's a good time to sell a home, only 56% in the South agreed, compared to 80% in the Northeast.
The HPSI is up 5.2 points year over year, with notable changes in mortgage rate expectations and home price predictions. However, concerns about housing affordability and supply persist among consumers.
The Q3 2024 Fannie Mae Home Price Expectations Survey (HPES) reveals expert predictions for home price growth deceleration in the coming years. Following a 6.0% growth in 2023, panelists forecast 4.7% growth in 2024 and 3.1% in 2025. The survey also explored potential policy reforms to boost housing supply, with experts suggesting that hastening construction permitting processes could have the most significant positive impact. However, 63% of panelists are not confident that effective initiatives will be widely enacted within five years. The panel estimates a national housing shortfall of 2.8 million homes, highlighting the persistent issue of inadequate supply despite strong price appreciation.
Fannie Mae (OTCQB: FNMA) has released its July 2024 Monthly Summary, providing key insights into the company's financial activities. The report includes detailed information on Fannie Mae's gross mortgage portfolio, mortgage-backed securities, and other guarantees. Additionally, it covers important metrics such as interest rate risk measures and serious delinquency rates. This comprehensive summary offers a snapshot of Fannie Mae's performance for both the month of July and the year-to-date, serving as a valuable resource for investors and analysts tracking the mortgage finance giant's operations.
Fannie Mae (FNMA) has announced new tenant protections for multifamily properties with GSE-backed mortgages, effective February 28, 2025. The Enterprise Multifamily Lease Standards Policy requires borrowers to include three minimum standards in tenant leases:
- 30-day notice for rent increases
- 30-day notice for lease expiration
- 5-day grace period for late rent payments
Fannie Mae and Freddie Mac have published FAQs and a policy grid to aid implementation. In 2023, Fannie Mae financed about 482,000 multifamily rental units, mostly affordable for households earning up to 120% of area median income. The policy aims to support housing stability and aligns with Fannie Mae's mission to expand access to affordable and sustainable housing.
Fannie Mae's Economic and Strategic Research (ESR) Group has downgraded its total home sales forecast for 2024 and 2025, despite recent declines in mortgage rates. The group expects 4.78 million home sales in 2024 and 5.19 million in 2025, with homebuying not expected to pick up significantly until income growth outpaces home price growth and mortgage rates approach 6.0%.
The ESR Group forecasts mortgage rates to average 6.4% by the end of 2024 and 5.9% by the end of 2025. They've also upgraded their 2024 real GDP outlook to 1.9% from 1.6%, but still anticipate a slowdown in growth. The group maintains a soft landing as their base case forecast but notes increased odds of an economic downturn.
Fannie Mae (OTCQB: FNMA) has announced the sale of 3,119 reperforming loans with an unpaid principal balance of approximately $611.2 million. This sale is part of the company's ongoing strategy to reduce its retained mortgage portfolio. The sale is being marketed in collaboration with Citigroup Global Markets, Inc., with bids due on September 5, 2024.
Reperforming loans are those that were previously delinquent but have since resumed payments. The sale terms require buyers to offer loss mitigation options to borrowers who may default again within five years of the sale. Purchasers must also honor existing loss mitigation efforts and provide a range of options to delinquent borrowers before initiating foreclosure.
Fannie Mae's Home Purchase Sentiment Index® (HPSI) decreased 1.1 points in July to 71.5, reflecting continued consumer frustration with housing market affordability. Only 17% of consumers believe it's a good time to buy a home, down from 19% in June. The share believing it's a good time to sell decreased from 66% to 65%. Expectations for home prices and mortgage rates remain mixed, with 41% expecting prices to rise and 29% expecting mortgage rates to decrease over the next 12 months.
Doug Duncan, Fannie Mae's Chief Economist, noted that while affordability may be improving in some areas, household incomes remain stretched relative to housing costs. The Mortgage Understanding Study reaffirmed that a majority of consumers want to own a home, but 82% currently believe it's a bad time to buy. Duncan also highlighted a trend of respondents increasingly preferring to rent rather than buy on their next move, which could have significant implications if it continues.