Freddie Mac Portfolio Grows 6.8 Percent, Refi’s on the Rise


Freddie Mac reported this week that its total mortgage portfolio increased
at an annualized rate of 6.8 percent in November, up from 4.7 percent the
previous month
.  The portfolio balance at the end of the period was $2.172
trillion compared to $2.159 trillion at the end of October and $2.098 trillion
a year earlier.  

Purchases and Issuances totaled $40.878 billion, bringing the 2018
year-to-date total to $160.446. Sales were ($4.776) billion and Liquidations
($23.806) billion in November and totaled ($22.378) and ($263.736) billion
respectively so far this year.  The annualized growth rate for 2018
through the end of November was 3.95 percent and the annualized liquidations
rate was (13.7) percent. 

Single-family refinance-loan
purchase and guarantee volume was $8.9 billion in November compared to $7.2
billion the prior month. The refinance share of total single-family mortgage
portfolio purchases or issuances was 31 percent, up from 27 percent in both September
and October

The Mortgage Related Investments
Portfolio had an ending balance of $221.961 billion, a decrease of
approximately $6.4 billion in the aggregate unpaid principal balance compared
to October. The annualized growth rate for the year to date as of November was
(13.6) percent.  Freddie Mac had purchases of $28.456 billion for the
month and $267.143 billion thus far in 2018.  Liquidations were ($2.971)
billion and Sales were ($31.860) billion and, for the year thus far, ($32.872)
billion and ($265.765) billion respectively. 

The ending balance of the Mortgage Related Investments Portfolio was
composed of $120.496 billion in Mortgage Related Securities, Mortgage Loans
valued at $92.737 billion, Non-Agency, non-Freddie Mac Mortgage-Related
Securities at $4.629 billion; and Agency non-Freddie Mac Mortgage related
securities of $4.629 billion. Mortgage related securities and other guarantee
commitments increased at an annualized rate of 10.2 percent compared to 4.7
percent in October.

Freddie Mac’s single-family delinquency
rate decreased
from 0.71 percent in October to 0.70 percent and
from .95 percent the previous November. The rate for credit-enhanced Primary
Mortgage Insurance loans and the non-credit enhanced rate both declined by 1
basis point month-over-month to 0.85 percent and 0.86 percent respectively. The
multi-family delinquency rate was 0.01 percent, unchanged from the preceding seven
months.  The rate in November 2017 was 0.02 percent.

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