April 1, 2006 |
Mortgage finance company Freddie Mac, which is trying to recover from $5 billion in accounting errors, said profit fell about 14% last year as it met a higher capital reserve level set by federal regulators. The government-chartered company said preliminary net income was about $2.5 billion, down from $2.9 billion in 2004. Core capital rose to $36.3 billion from $35 billion the previous year.
November 30, 2005 |
Tens of thousands of prospective California home buyers will benefit from a decision Tuesday by mortgage giants Fannie Mae and Freddie Mac to raise by 16% the ceiling on home loans they will purchase. Borrowers seeking mortgages under the new limit of $417,000 -- up from $359,650 -- will find it easier to qualify and will get a break on interest rates, experts said. The annual increase takes effect Jan. 1.
November 4, 2005 |
Mortgage giant Freddie Mac said the nationwide average for 30-year, fixed-rate mortgages rose this week to 6.31%, up from 6.15% last week. Rates on 15-year, fixed-rate mortgages, a popular choice for refinancing a home mortgage, averaged 5.85%, up from 5.69% last week. One-year adjustable rate mortgages rose to 5.09%, up from 4.91% last week. Rates on five-year hybrid adjustable-rate mortgages averaged 5.76%, up from 5.63% last week.
September 13, 2005 |
A U.S. regulator said it settled an action brought against Freddie Mac in 2003 related to a multibillion-dollar accounting scandal that required the mortgage finance giant to help in ongoing actions against former executives. The Office of Federal Housing Enterprise Oversight said Freddie also agreed to seek recovery of funds from separated officers after administrative actions against the former chief executive and chief financial officers.
August 16, 2005 |
Proposed federal legislation strengthening oversight of Fannie Mae and Freddie Mac could reduce mortgage costs for 397,000 U.S. homeowners -- including many in California -- by as much as $750 million a year, the California Assn. of Mortgage Brokers said. The bill, which passed the House Financial Services Committee by a 65-5 vote in May, would also cut mortgage rates enough to enable about 245,000 households to buy homes at the median price in their communities, the Folsom, Calif.
June 16, 2005 |
Fannie Mae and Freddie Mac, the biggest buyers of U.S. residential mortgages, reduced the amount of derivatives on their books by about a third last year, their federal regulator said Wednesday. The so-called notional amount of derivatives outstanding at Fannie Mae dropped 33% to $722.9 billion at the end of last year, while Freddie Mac's fell 31% to $756.8 billion, according to the annual report of the Office of Federal Housing Enterprise Oversight.
June 15, 2005 |
Beleaguered mortgage finance giant Freddie Mac said Tuesday that it was probable that the company would have to pay out large legal claims stemming from the shareholder lawsuits and various law enforcement actions probing its multibillion-dollar earnings restatement. "Freddie Mac believes that a loss in connection with the proceedings arising from the restatement is probable," the company said in its much-delayed 2004 annual earnings statement.
May 27, 2005 |
U.S. Treasury Secretary John W. Snow said Thursday that a bill passed by a House panel to stiffen oversight of mortgage giants Fannie Mae and Freddie Mac must be beefed up to bring it in line with White House policy.
May 26, 2005 |
A congressional panel approved legislation that would create a stricter regulator for Fannie Mae and Freddie Mac in response to $13 billion in accounting errors at the mortgage finance companies since 2003. The House Financial Services Committee voted 65 to 5 to create a federal overseer with authority to order the companies to cut their combined $1.5-trillion mortgage portfolios, deny new lines of business, alter capital standards and sell the assets of a company in the event of default.
May 20, 2005 |
Federal Reserve Chairman Alan Greenspan again pushed for limits on the multibillion-dollar mortgage holdings of Fannie Mae and Freddie Mac, saying such restrictions would not hurt the thriving housing market. Greenspan, who has been pressing Congress to limit the holdings of the two mortgage giants, warned Thursday that their debt poses a risk to U.S. financial markets.