FREDDIE MAC - FMCC STOCK NEWS

Freddie Mac (OTCQB: FMCC) has announced the sale of 982 deeply delinquent non-performing residential first lien loans (NPLs) from its mortgage-related investments portfolio. The loans, with a balance of approximately $188 million, are currently serviced by Select Portfolio Servicing Inc., NewRez , and Nationstar Mortgage The transaction is expected to settle in November 2024 and is part of Freddie Mac's Standard Pool Offerings (SPO®).

The winning bidder for the SPO pool is J.P. Morgan Mortgage Acquisition Corp. The pool consists of geographically diverse properties with an average loan balance of $191,700 and an average delinquency of 32 months. Approximately 57% of the aggregate pool balance comprises previously modified mortgages that subsequently became delinquent.

This sale is part of Freddie Mac's ongoing efforts to reduce less-liquid assets in its mortgage-related investments portfolio. Since 2011, Freddie Mac has sold $10.3 billion of NPLs and securitized approximately $79.3 billion of re-performing loans (RPLs).

Freddie Mac (OTCQB: FMCC) has announced mortgage relief options for homeowners affected by Hurricane Helene. The company's forbearance program offers up to 12 months of mortgage relief without late fees or penalties. Freddie Mac emphasizes that safety is the top priority and encourages impacted homeowners to contact their mortgage servicers for assistance.

The relief options include suspension of foreclosure and legal proceedings during forbearance. After the forbearance period, homeowners have several options to make up missed payments, including reinstatement, repayment plans, payment deferral, and loan modification. These options are available to homeowners in Presidentially-Declared Major Disaster Areas and those whose homes or employment have been impacted.

Freddie Mac provides resources for both homeowners and renters through its My Home platform, offering guidance on recovery from natural disasters.

Freddie Mac (OTCQB: FMCC) released its Primary Mortgage Market Survey® (PMMS®) on September 26, 2024, showing the 30-year fixed-rate mortgage (FRM) averaged 6.08%, its lowest level in two years. This slight decline from last week's 6.09% marks a significant drop from the 7.31% rate a year ago. The 15-year FRM averaged 5.16%, up marginally from last week's 5.15%, but still well below the 6.72% rate of the previous year.

Sam Khater, Freddie Mac's Chief Economist, noted that the downward trend in rates is boosting refinance activity, offering homeowners opportunities to reduce their monthly mortgage payments. He also observed that many potential homebuyers are waiting to see if rates will decrease further as new economic data is released in the coming weeks.

Freddie Mac (OTCQB: FMCC) has released its Monthly Volume Summary for August 2024, providing insights into the company's mortgage-related activities. The summary covers various aspects of Freddie Mac's operations, including securities issuance, risk management, delinquencies, debt activities, and other investments.

Freddie Mac's mission focuses on making homeownership accessible to families across the United States. The organization aims to promote liquidity, stability, affordability, and equity in the housing market throughout all economic cycles. Since its inception in 1970, Freddie Mac has assisted tens of millions of families in buying, renting, or maintaining their homes.

Freddie Mac's Primary Mortgage Market Survey® (PMMS®) reveals a decline in mortgage rates, with the 30-year fixed-rate mortgage (FRM) averaging 6.09%, down from 6.20% last week and 7.19% a year ago. The 15-year FRM averaged 5.15%, decreased from 5.27% last week and 6.54% a year ago.

Sam Khater, Freddie Mac's Chief Economist, notes that rates are approaching the 6% mark, stimulating purchase and refinance demand. He expects rates to fall further following the Federal Reserve's first rate cut in over four years, potentially boosting housing market activity.

The PMMS® focuses on conventional, conforming home purchase loans for borrowers with 20% down payment and excellent credit. Freddie Mac's mission is to promote liquidity, stability, affordability, and equity in the housing market throughout economic cycles.

Freddie Mac's Multifamily Apartment Investment Market Index® (AIMI®) rose 0.3% quarter-over-quarter and 2.2% year-over-year nationwide in Q2 2024. The quarter saw mixed results across metro areas, with 14 markets up, 9 down, and 2 unchanged. Key findings include:

- Net operating income (NOI) grew in 19 metros and nationally quarter-over-quarter, but fell in 14 of 25 markets year-over-year.
- Property prices dropped in most markets quarterly and all markets annually, declining 8.3% nationally.
- Mortgage rates increased by 21 basis points in Q2 and 64 basis points year-over-year.

The slight AIMI growth indicates the market is working towards stabilization after significant volatility. Higher mortgage rates were offset by lower property prices and modest rental income growth.

Freddie Mac's latest Primary Mortgage Market Survey® reveals a significant drop in mortgage rates, with the 30-year fixed-rate mortgage (FRM) averaging 6.20%, the lowest since February 2023. This represents a decline of over half a percent in the past six weeks. The 15-year FRM also decreased to 5.27%.

Despite the improving rate environment, Chief Economist Sam Khater notes that potential buyers remain hesitant due to high house prices and persistent supply shortages. Compared to a year ago, both 30-year and 15-year FRMs show substantial decreases from 7.18% and 6.51%, respectively.

Freddie Mac (OTCQB: FMCC) has announced the pricing of its second Seasoned Credit Risk Transfer Trust (SCRT) offering of 2024, a $658 million securitization backed by seasoned re-performing loans (RPLs). The offering includes $625 million in guaranteed senior certificates and $33 million in non-guaranteed mezzanine and subordinate certificates. The transaction, expected to settle on September 13, 2024, involves 3,762 seasoned fixed-, step-, and adjustable-rate RPLs.

This SCRT program is part of Freddie Mac's strategy to reduce less liquid assets and transfer credit and market risk. To date, Freddie Mac has sold over $10.3 billion of Non-Performing Loans and securitized approximately $78.6 billion of RPLs. The underlying loans will be serviced by Newrez , prioritizing borrower retention options and promoting neighborhood stability in case of default.

Freddie Mac (OTCQB: FMCC) has appointed Diana Reid as its new CEO, effective immediately. Reid, a veteran with over 40 years of experience in banking, real estate, capital markets, and affordable housing, will also join the company's Board of Directors. She replaces Interim CEO Michael Hutchins, who will continue as president. Reid's extensive background includes nearly 12 years leading PNC Financial Services Group's real estate business division and founding Beekman Advisors. The appointment comes after a comprehensive search by Freddie Mac's Board, with Board Chair Lance Drummond expressing confidence in Reid's ability to further the company's mission-driven work in housing finance.