Federal Home Loan Mortgage Corp (OTCMKTS:FMCC) reported that in January 2017, the total mortgage portfolio grew at an annualized pace of 3.7%. Single-family refinance-loan purchases and guarantee volume came at $20.9 billion, showing 59% of overall single-family mortgage portfolio purchase and issuances.
Relief refinance mortgages included almost 5% of single-family refinance volume in January. Total count of single-family loan changes came at 3,105. The aggregate UPB of mortgage-related investments portfolio surged by almost $0.5 billion.
Federal Home mortgage-linked securities and other mortgage-linked guarantees surged at a yearly rate of 7.4% for the reported month. The single-family SDR dropped to 0.99% in January from 1% in December. Also, multifamily delinquency rate continued to be flat at 0.03%.
The measure of exposure to changes in PMVS-L averaged $14 million. Duration gap came at 0 months. Since September 2008, the company has been working under conservatorship of the Federal Housing Finance Agency.
Federal National and Federal Home Loan investors have been on a roller-coaster ride in last couple of weeks. Both the firms have been in limbo for years as the government and the courts decide their fate. While both shares got a large boost after the election, short sellers have recorded the most gains in the past few weeks. When an appeals law made a shareholder claim challenging the legality of Freddie and Fannie ’s net-worth sweep in this month, the shares price of both firms declined more than 30%.
According to S3 Blacklight, short sellers may have booked profit of over $100 million of the news. The short Interest pointer indicates there was $205.1 million short interest in in Fannie Mae and $104.2 million short position in Freddie Mac as of last month. Annualized borrowing fees have remained between 1.5% and 2% percent so far in this year. Short sellers jumped to initiate trade into both stocks after the post-election surge.