Freddie Mac reported a net income of $4.85 billion in the fourth quarter, more than double its earnings from the previous quarter and lifting its full-year income to $7.82 billion. The government-sponsored enterprise released its earnings this week, posting one of its best profits ever in the fourth quarter. Net income for the quarter was fueled in part by gains on derivatives which amounted to $6.38 billion. “Interest rates went up an unusually large amount in the fourth quarter, therefore you saw an unusually large gain in the accounting,” Freddie CEO Donald Layton told Inside MBS & ABS. Freddie also reported...
“If Cordray were engaged in malfeasance, inefficiency or neglect of duty, don’t you think the Obama administration would have done something about that?” asked one legal scholar.
Late last decade Altisource was spun-off from Ocwen, a once large servicer that in years past had been sanctioned by regulators for some of its servicing practices.
In a conference call with reporters Friday morning, Fannie CEO Tim Mayopoulos noted: “While we expect to remain profitable on an annual basis for the foreseeable future, due to our declining and limited capital reserves and the potential for significant volatility in our financial results, we could experience a net worth deficit in a future quarter.”
Over the past two years, PHH has lost $347 million, much of it caused by a private-label origination model that has fallen on hard times and rapidly declining interest rates…
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