Federal Nat Stock Price, News & Analysis

Fannie Mae (FNMA) has initiated the marketing of its seventeenth sale of reperforming loans, comprising about 19,800 loans with an unpaid principal balance of $2.8 billion. The loans, which may include some up to 90 days delinquent, are available for purchase by qualified bidders, with bids due on October 6, 2020. The buyers must implement loss mitigation options to assist borrowers who might re-default within five years and report on the outcomes of these measures. The sale is coordinated with Citigroup Global Markets, Inc.

Fannie Mae's Q3 2020 Mortgage Lender Sentiment Survey reveals a positive outlook for mortgage lenders, with 48% expecting profit margin increases. Strong consumer demand persists across all loan types, paralleling last year's figures. Purchase mortgage demand has risen significantly, while refinance demand remains stable. Tightening credit standards are noted but expected to hold steady. The average mortgage spread is 229 basis points, surpassing the long-term average. Despite optimism, lenders caution against potential long-term risks due to economic uncertainties caused by COVID-19.

Fannie Mae's Home Purchase Sentiment Index (HPSI) rose by 3.3 points to 77.5 in August 2020, showing a recovery after a slight dip in July. This increase was attributed to near-record low mortgage rates, improving consumers' outlook on homebuying and selling. However, the HPSI is down 16.3 points year-over-year. Key components include a rise in positivity about buying (59%) and selling (48%), but a decrease in expectations for home price increases (33%). Job security concerns showed slight improvement, with 78% feeling secure about their employment.

Fannie Mae (OTCQB: FNMA) has released its July 2020 Monthly Summary, detailing significant metrics on its mortgage portfolio. The report highlights activities related to gross mortgage holdings, mortgage-backed securities, and interest rate risk measures. It also provides updates on serious delinquency rates and loan modifications. This summary reflects Fannie Mae's ongoing efforts to support affordable housing and streamline the home buying process for Americans.

Fannie Mae (OTCQB: FNMA) announced the appointment of Jeffery Hayward as Executive Vice President and Chief Administrative Officer and Michele Evans as Executive Vice President and Head of Multifamily, effective immediately. Hayward will oversee teams focused on affordable housing, ESG, and diversity initiatives, while Evans, previously Chief Operating Officer, is tasked with leading the Multifamily sector amidst growing challenges in affordable rental housing.

These roles reflect Fannie Mae's commitment to enhancing housing opportunities and addressing urgent community needs.

Fannie Mae has announced an extension of the temporary moratorium on foreclosures and evictions related to single-family mortgages until December 31, 2020. This action supports households affected by COVID-19 and was previously set to expire on August 31, 2020. The moratorium applies to properties owned by Fannie Mae and provides options for homeowners facing financial hardship, including forbearance plans to postpone mortgage payments for up to 12 months.

Fannie Mae (OTCQB: FNMA) has announced mortgage assistance options for homeowners affected by Hurricane Laura and the California Wildfires. Homeowners can request relief from their mortgage servicer, who can suspend or reduce payments for up to 90 days, with the possibility of extending assistance for up to 12 months. No late fees will be incurred, and foreclosure proceedings will be halted during this period. Additionally, Fannie Mae's Disaster Response Network offers support for navigating financial recovery. Homeowners and renters can access these resources by calling 877-833-1746.

Fannie Mae (OTCQB: FNMA) announced the outcome of its sixteenth reperforming loan sale on August 25, 2020, involving approximately 18,190 loans worth $3.37 billion in unpaid principal balance. The transaction, set to close on September 25, 2020, was awarded to various bidders across six pools, including DoubleLine Capital and JP Morgan. The pools showcased varied loan sizes, note rates, and loan-to-value ratios, with cover bids generally reflecting competitive interest. This strategic sale underscores Fannie Mae's commitment to enhancing housing finance.

The U.S. economy experienced a historic contraction of 32.9% in Q2, the largest since WWII. However, a strong recovery is anticipated in Q3 with GDP growth projected at 27.2%. With falling COVID-19 cases, fiscal support, and high household savings likely to enhance consumer spending, the ESR Group revised its full-year GDP contraction expectation to 3.1%, an improvement from 4.2%. The housing sector remains robust, with home sales and mortgage origination volume expected to rise, potentially reaching $3.4 trillion in 2020, marking the highest level since 2003.