Errors in the model Fannie uses to calculate income during a stress test led the enterprise to underestimate profits in both its 2021 and 2022 stress tests.

New research shows that when mortgage companies use minority actors in their TV ads, viewers are more likely to apply for a loan with that lender. Borrowers also showed more brand favorability.

New business and MBS issuance jumped in the second quarter. However, those upticks didn’t account for the spike in profitability at Fannie Mae and Freddie Mac. (Includes data chart.)

Fannie and Freddie both shifted from a provision for losses in the first quarter to a benefit in the second. Almost all of that improvement took place in the enterprises’ single-family businesses.

Plaintiffs’ attorney Hamish Hume said he’s optimistic shareholders can persuade a DC jury that FHFA and the Treasury violated shareholders’ contractual rights when they agreed to implement the net worth sweep in 2012.

Higher home prices allowed the enterprise to shift from a $395 million provision for credit losses in the first quarter to a $537 million benefit in the second.

The mortgage giant saw a $132 million first-quarter provision for losses shift to a $1.22 billion benefit in the second.

Ohio-based Go Mortgage has accused its former director of capital markets of changing passwords to key company accounts and bad-mouthing the company to major counterparties, including the GSEs.

According to some critics, the Federal Reserve’s mark-to-market losses on its securities holdings is approaching $1.0 trillion. One option would be to sell off agency MBS, even at a loss.

Although FedNow might seem an ideal fit for mortgage settlements, it remains to be seen if the industry will embrace this technology.