Fannie Mae and Freddie Mac purchases of distressed loans from mortgage-backed securities nearly offset the run-off of the GSEs’ retained MBS holdings in 2010, according to a new Inside The GSEs analysis. Fannie and Freddie held...[Includes one data chart]

Fannie Mae and Freddie Mac processed a surge in mortgage-backed securities issuance during the fourth quarter of 2010, but current indicators suggest the production boom is already fading. The two GSEs issued $331.5 billion in single-family MBS during the final three months of the year, a 32.6 percent increase over the third quarter. It was...[Includes one data chart]