Fannie Mae [1] reported a net income of $3.4 billion and comprehensive income of $3.4 billion for Q2 2019, up from the net income of $2.4 billion and comprehensive income of $2.4 billion for the previous quarter. The GSE states that this reflects “the strength of the
company’s underlying business fundamentals.”
“Fannie Mae’s results continue to show the strength of our business model and our ability to generate solid returns,” said Hugh R. Frater, CEO, Fannie Mae. ”We are sharpening our focus on capital management through the lens of FHFA’s proposed capital framework. We continue to work with industry stakeholders to identify and enable new solutions to our country’s housing challenges and increase the supply of housing. And we will continue to improve the company in order to deliver value, liquidity, and stability to the housing finance system.”
According to a release, Fannie Mae provided $213.1 billion in liquidity to the single-family mortgage market in the first half of 2019 and was the largest issuer of single-family mortgage-related securities in the secondary market. Over 56% of the single-family mortgage loans the company acquired in the first half of 2019 were affordable to families earning at or below 120% of the area median income, providing support for both affordable and workforce housing. The company’s estimated market share of new single-family mortgage-related securities issuances was 35% for the second quarter of 2019.
Additionally, Fannie Mae transferred a portion of the credit risk on single-family mortgages with an unpaid principal balance of more than $1.7 trillion since 2013, measured at the time of the transactions, including $148 billion in the first half of 2019.
Between the two GSEs, Fannie Mae and Freddie Mac completed 1,746 foreclosure prevention actions in April 2019, according to the latest Federal Housing Finance Agency (FHFA) Foreclosure Prevention, Refinance, and Federal Property Manager's Report. The report states that the GSEs have completed 4,334,550 since the start of conservatorship in September 2008.