Advanced Search

Volume 17 - Number 16

August 11, 2017

FHFA Stress Test Shows GSEs Would Need $100B in Bad Times

In the event of a severe global recession, Fannie Mae and Freddie Mac could need a bailout of up to $99.6 billion, according to the Federal Housing Finance Agency’s annual stress test report released this week. The test of severely-adverse scenarios, required by the Dodd-Frank Act for companies with consolidated assets of more than $10 billion, is based on Fannie and Freddie portfolios as of Dec. 31, 2016. The bailout would be needed on an incremental basis and would also depend on the treatment of the GSEs’ tax-deferred assets. Under this hypothetical economic scenario, elevated stress in corporate financial and commercial real estate markets include situations where...

Subscribers to Inside The GSEs have full access to all its stories and data online. Visitors may become subscribers for full access or may purchase individual articles and data.

Subscriber Log In

If you are a current subscriber or already purchased this article, please login below.

Forgot your password?

Already subscribe but haven't registered for all the benefits of the website?


This biweekly covers the housing-related government-sponsored enterprises with experienced, expert analysis.



You can purchase this article for $55.00 without subscribing and always have access to it on

Pay Per View

Please contact Customer Service if you need assistance: 1-800-570-5744


With mortgage production down noticeably this year from 2017, how many lenders might disappear via M&A or failure during the next 12 months?

10% or less. It’s not that bad out there.
11% to 25%. It’s a challenging market.
25% to 40%. It’s going to be very ugly.
No opinion.

vote to see results