Freddie Mac buys $44B in loans in June

By Liz Clinger Updated on 7/27/2012

In June, Freddie Mac bought $44.1 worth of loans. They sold or liquidated $48.2 billion of it, which made its mortgage portfolio balance shrink in June at an annualized rate of 2.5%. Freddie also reduced its portfolio in June to $2.012 trillion, down by $4.1 billion. In May, the portfolio contracted $16 trillion. After reducing its portfolio in May by an annualized rate of 9.4% and in April by 14.1%, Freddie continues to reduce its presence in the mortgage market.

The agency increased the number of loans it modified from May (5,091 loans) to June (6,597 loans). In 2012 overall, Freddie has modified 28,819 loans.
Freddie’s unpaid principal balance on its mortgage-related investment portfolio is $581.3 billion. This represents a fall of $10.7 billion for the month of June after a $9.5 billion fall in May.

The agency’s report shows that seriously delinquent single-family mortgages shrunk in June from 0.05% to 3.45%. In the same time period, the multifamily delinquency rate moved up 0.01% to 0.27%.

An increase of $8 billion in HARP loans is included in the agency’s overall single-family purchases and guarantee volume for June. Freddie’s single-family refinance loan purchase and guarantee volume was $31 billion in June (or 70% of all mortgage portfolio purchases and issuances). This is compared to May, which was 72% at the time.