Federal Home Stock Price, News & Analysis

On August 22, 2022, Freddie Mac (OTCQB: FMCC) announced the appointment of Ian Ouwerkerk as senior vice president of Underwriting & Credit, having served in the interim role since early 2022. Ouwerkerk has been credited with implementing strategic solutions and driving significant business results during his tenure. Previously, he held positions as vice president of Multifamily underwriting and senior director for the Southeastern region. Freddie Mac continues to play a vital role in affordable housing finance, with a focus on facilitating access to mortgage capital for low-to-moderate income families.

Freddie Mac (OTCQB: FMCC) reported that the average rate for a 30-year fixed mortgage is 5.13% as of August 18, 2022, down from 5.22% the prior week but significantly higher than 2.86% a year ago. The 15-year fixed mortgage rate is now 4.55%, and the 5-year adjustable-rate mortgage averages 4.39%. Chief Economist Sam Khater noted that inflation has peaked, halting rapid mortgage rate increases, although affordability remains challenged, leading to lower purchase demand and decelerating home price growth.

Freddie Mac's recent survey reveals that nearly 60% of renters have faced rent increases over the past year, with 1 in 3 experiencing hikes of 10% or more. A mere 38% of renters reported wage gains, with one-third indicating their raises fall short of covering rising rents. Additionally, 20% of those with rent increases are likely to miss payments. The survey highlights a growing national housing affordability crisis, driven mainly by inflation, as 96% of respondents report being affected by higher costs across various categories.

Freddie Mac (OTCQB: FMCC) has announced updated results for its tender offer to purchase STACR® Debt Notes, with approximately $2,456 million in original principal amount validly tendered by the August 10, 2022 deadline. The offer was conducted under the terms specified in the Offer to Purchase dated August 2, 2022. Notably, several securities saw significant participation, including STACR 2017-DNA2, with a tender acceptance rate of 99.49%. This highlights market interest and participation in the offer, which may influence future financial strategies.

Freddie Mac (OTCQB: FMCC) released its 2022 stress test results, adhering to the Federal Housing Finance Agency’s Dodd-Frank guidelines. This assessment evaluates the company's resilience in a severely adverse economic scenario, underscoring its role in providing mortgage capital to lenders across the U.S. Established in 1970, Freddie Mac aims to enhance housing accessibility for homebuyers and renters. The full stress test results can be accessed on their investor resources page.

On August 11, 2022, Freddie Mac (OTCQB: FMCC) reported the latest results of its Primary Mortgage Market Survey (PMMS), indicating a significant rise in mortgage rates. The 30-year fixed-rate mortgage averaged 5.22%, up from 4.99% the previous week, a stark increase from 2.87% a year ago. The 15-year fixed-rate mortgage also increased to 4.59% from 4.26%. Despite rate fluctuations, the housing market appears to be stabilizing post-pandemic, with house prices expected to rise at a slower pace due to diminishing purchase demand and tight supply.

Freddie Mac (OTCQB: FMCC) announced the results of its offer to buy back Structured Agency Credit Risk (STACR) Debt Notes. By the expiration time of August 8, 2022, approximately $2.461 billion in the original principal amount of notes were tendered. The settlement date for accepted notes is expected on August 10, 2022. The tender offer was facilitated by BofA Securities and Wells Fargo Securities as lead dealer managers. The offer remains subject to certain conditions, and participation may be restricted in some jurisdictions.

Freddie Mac (OTCQB: FMCC) reported that the average 30-year fixed-rate mortgage is at 4.99%, down from 5.30% the previous week. This figure contrasts sharply with 2.77% a year ago. The 15-year fixed-rate mortgage averaged 4.26%, also decreasing from 4.58%, while last year it was 2.10%. The 5-year ARM averaged 4.25%, down from 4.29%, compared to 2.40% last year. Freddie Mac's Chief Economist, Sam Khater, noted ongoing volatility in mortgage rates due to inflation and economic growth uncertainties.

Freddie Mac (OTCQB: FMCC) has announced a unique integration with Mr. Cooper, the first servicer to connect its proprietary CMOD System directly with Freddie Mac’s Resolve® default management tool using an API. This integration facilitates real-time workout decisions, streamlining loss mitigation and enhancing risk management. Mr. Cooper’s seamless experience allows faster response times and improved accuracy in handling payment deferrals and modifications. The Resolve APIs deliver quick decisions in three to five seconds, aiding servicers in better case management for distressed homeowners.