Freddie has issued several securities backed by re-performing loans during the pandemic. However: Are these loans still protected by the FHFA’s moratorium on foreclosures?

The nation’s two largest MBS-investing REITs reported higher-than-expected earnings per share for the third quarter. Annaly even declared a quarterly common dividend of $0.22 per unit.

Compared to the last three pre-COVID Freddie transactions, the percentage of credit risk transferred via Agency Credit Insurance Structure deals has doubled for low-loan-to-value deals.

Fannie Mae’s credit-risk transfer loan-level data show 21.0% of borrowers that were in forbearance in June exited when their relief plans expired in July. That works out to 1.7% of the government-sponsored enterprise’s outstandings.

Much of the criticism from the GOP concerned the re-proposed capital rule for Fannie Mae and Freddie Mac, which will reduce the capital relief the GSEs receive for credit-risk transfers.

Facing pressure from both sides of the aisle, FHFA Director Mark Calabria said if the GSEs had come into the current crisis with sufficient capital, the adverse market fee could have been delayed for a few years.

Industry feedback on the re-proposed GSE capital rule underscores the need for an explicit and permanent government guarantee on Fannie’s and Freddie’s existing and future MBS.

Beginning Sept. 1, all new floating rate quotes for multifamily loans can only be indexed to SOFR, the two GSEs said.

The GSE, however, hasn’t issued any new credit-risk transfer transaction since March and has no plans to for the rest of the year. Meaning?

Bolstered by recent successful offerings, Freddie Mac has four more STACR deals on its calendar for the year, each with its own companion ACIS transaction.