FREDDIE MAC - FMCC STOCK NEWS

Freddie Mac (OTCQB: FMCC) has announced the pricing of its new Structured Pass-Through Certificates, known as K-F105 Certificates, totaling approximately $943 million. These certificates are backed by floating-rate multifamily mortgages with a 10-year term, indexed to the Secured Overnight Financing Rate (SOFR). The expected settlement date is April 13, 2021. The K-F105 structure includes various classes and will not be rated. This move aligns with Freddie Mac's strategy to mitigate taxpayer risk.

On April 1, 2021, Freddie Mac (OTCQB: FMCC) reported that the average rate for a 30-year fixed-rate mortgage reached 3.18%, slightly up from the previous week's 3.17%. Though rates remain low, homebuyer demand has decreased significantly, now standing at just 8% above pre-COVID levels compared to 25% earlier in the year. This trend indicates a potential affordability squeeze attributed to rising mortgage rates and home prices. The 15-year fixed-rate mortgage remained stable at 2.45%, while the 5-year adjustable-rate mortgage averaged 2.84%.

Freddie Mac's new analysis reveals how expanded unemployment benefits and federal stimulus payments impacted unemployed renters during COVID-19. The report indicates that by August 2021, many renters received nearly 95% of their income replaced through these benefits. Key findings show that in over half of the states, benefits nearly matched pre-pandemic income, with 30-40% of benefits allocated for median-priced rentals. However, areas with higher median incomes faced greater rent burdens. Despite local market contractions, the national apartment market has remained resilient.

Freddie Mac (OTCQB: FMCC) has released a survey indicating improved confidence among renters and homeowners regarding their ability to pay housing costs amidst the pandemic. The survey reveals a decline in concern about payment ability from 71% in November 2020 to 63% for renters and 45% to 41% for homeowners by February 2021. Additionally, 72% of employed respondents are confident in maintaining their income. Freddie Mac has implemented various support initiatives, including forbearance programs and eviction suspensions affecting over 4.2 million units, showcasing their commitment to aiding families during this challenging economic period.

Freddie Mac (OTCQB: FMCC) announced the broad availability of automated payroll income verification to lenders, enhancing the mortgage application process. This new feature simplifies documentation, speeds up loan closures, and adheres to strong credit underwriting standards. By partnering with Finicity, income verification can now be completed swiftly through the Loan Product Advisor (LPA). The integration of additional third-party providers, including CoreLogic and LoanCraft, further enriches options for lenders, promoting a seamless digital mortgage experience and improved financial outcomes for all parties.

On March 18, 2021, Freddie Mac (OTCQB: FMCC) released its Primary Mortgage Market Survey, revealing that the average 30-year fixed-rate mortgage rose to 3.09%, up from 3.05% the previous week. This increase comes amid declining residential construction and low inventory challenges for homebuyers. The 15-year fixed-rate mortgage averaged 2.40%, while the 5-year ARM reached 2.79%. Despite the rising rates, demand remains as prospective buyers are still engaging in the market.

Freddie Mac (OTCQB: FMCC) has announced the pricing of a new offering of approximately $938 million in Structured Pass-Through Certificates (K-F103 Certificates). These certificates, backed by floating-rate multifamily mortgages tied to the Secured Overnight Financing Rate (SOFR), are expected to settle on March 25, 2021. The K-F103 Certificates feature a senior principal and interest class, with a weighted average life of 9.51 years, and a coupon set at the 30-day SOFR average + 24. The issuance aims to transfer some risks from taxpayers to private investors.

On March 17, 2021, Freddie Mac (FMCC) announced the pricing of approximately $1.4 billion in Structured Pass-Through Certificates (K-127 Certificates), backed by fixed-rate multifamily mortgages primarily with 10-year terms. The issuance is expected to settle on or around March 25, 2021. Key details include various classes of K Certificates, led by co-managers Wells Fargo Securities and Deutsche Bank Securities. Freddie Mac aims to transfer risk from taxpayers to private investors through K-Deals, which offer stable cash flows and structured credit enhancements.

The Freddie Mac Multifamily Apartment Investment Market Index (AIMI) rose by 0.5% in Q4 2020, following a growth of 1.9% in Q3 2020. This increase is attributed to falling mortgage rates despite challenges in net operating income (NOI) and property price growth due to the COVID-19 pandemic. Yearly, AIMI improved by 3.4% as mortgage rates decreased by 57 basis points. While most markets saw positive trends, significant contractions were evident in areas like New York and San Francisco, where NOI fell by 6.2% and 9.4% respectively.