dhollier@imfpubs.com 

In a testament to the resilient business model of the government-sponsored enterprises, Fannie Mae saw profits tick up in the third quarter even as acquisitions fell to their lowest level of the year. Net income totaled $4.18 billion in the period compared to $3.98 billion in the second quarter and $3.86 billion in the same period last year.  

Net revenues remained remarkably stable at $7.65 billion for the quarter. That reflects a 1% sequential gain and 5% more than in the third quarter of 2025, even though single-family acquisitions fell from $111.2 billion in the second quarter to just $88.3 billion. 

That stability masks increasing volatility below the line. Ongoing high interest rates and weakening credit for multifamily loans held by the enterprise prompted a $1.14 billion provision for losses in the third quarter, up from a $485 million provision in the second quarter and just $338 million in the third quarter of 2025. 

However, most of that increase was offset by an improvement in fair value gains, which went from a $76 million loss in the second quarter to a $630 million gain in the third.