Freddie Mac Portfolio Up 6.1 Percent in August

Freddie Mac reported today that its total mortgage portfolio increased at an annualized rate of 6.1 percent in August.  The portfolio balance at the end of the period was $2.147 trillion compared to $2.136 trillion at the end of July and $2.052 trillion a year earlier.  

Purchases and Issuances totaled $38.413 billion, bringing the 2018 year-to-date total to $254.304 billion, Sales were ($2.569) billion and Liquidations ($26.066) billion in August and totaled ($15.442) and ($189.264) billion respectively so far this year.  The annualized growth rate for 2018 through the end of August was 3.5 percent and the annualized liquidations rate was (13.5) percent. 

Single-family refinance-loan purchase and guarantee volume was $6.9 billion in August compared to $6.4 billion the prior month. The refinance share of total single-family mortgage portfolio purchases or issuances was 23 percent, unchanged from July. 

The Mortgage Related Investments Portfolio had an ending balance of $234.464 billion, a decrease of $9.7 billion or 47.5 percent in the aggregate unpaid principal balance compared to July. The annualized growth rate for the year to date as of August was 7.1 percent.  Freddie Mac had purchases of $29.391 billion for the month and $188.203 billion thus far in 2018.  Liquidations were ($2.969) billion and Sales were ($36.095) billion and, for the year thus far, ($23.461) billion and ($183.733) billion respectively. 

The ending balance of the Mortgage Related Investments Portfolio was composed of $123.939 billion in Mortgage Related Securities, Mortgage Loans valued at $100.866 billion, Non-Agency, non-Freddie Mac Mortgage-Related Securities at $5.486 billion; and Agency non-Freddie Mac Mortgage related securities of $4.173 billion. Mortgage related securities and other guarantee commitments increased at an annualized rate of 7.1 percent in August.

Freddie Mac's single-family delinquency rate decreased from 0.78 percent in July to 0.73 percent in August and was down 11 basis points from the rate the previous August.  The rate for credit-enhanced Primary Mortgage Insurance loans declined by 6 basis points month-over-month and the non-credit enhanced rate was down 6 basis points to .90 percent and 0.86 percent respectively. The multi-family delinquency rate was 0.01 percent, unchanged from the prior four months.  The rate in August 2017 was 0.03 percent.