Freddie Mac's Portfolio Shrinks Again; Delinquencies Decline

Freddie Mac's Total Loan Portfolio now has an outstanding balance of $1.94 trillion dollars.  The balance at the end of July represents a reduction of $2.78 billion or 1.7 percent from the end-of-June total of $1.95 trillion.  Purchases and issuances for the portfolio totaled $42.25 billion, and sales were 2.18 billion.  The year to date reduction of the portfolio is $13.81 billion or an annual growth rate of -1.2 percent.

The balance of the Mortgage-Related Investments Portfolio at the end of July was $521.25 billion compared to $521.22 billion at the end of June, an increase of 0.1 percent.  Purchases totaled $20.33 billion, sales $9.87 billion, and liquidations $10.43 billion.  The annualized growth rate was -11.2 percent.

Within the $521 billion balance of the Mortgage-Related Investment Portfolio were $186.86 billion in PCs, REMICs and other Securities; $20.48 billion in Non-Freddie Agency Securities; and $111.46 billion in Non-Freddie Mac Non-Agency Securities.

Multifamily new business volume in July was $2.5 billion.  The total for the seven months of 2013 to date is $16.0 billion.

The delinquency rate for Freddie Mac's portfolio at the end of July was 2.7 percent, down 9 basis points from the previous week and 72 basis points from one year earlier.  Non-credit enhanced loans had a delinquency rate of 2.24 percent compared to 2.31 percent in June and 2.75 percent a year earlier.  The credit enhanced portfolio had a rate of 5.90 percent, down from 6.12 percent and 7.75 percent in the two respective earlier periods.  The multi-family delinquency rate was 0.06 percent.

Freddie Mac said it completed 6,254 loan modifications in July.  This bring the year-to-date number of modifications to 46,244.