Housing News

New Home Sales Post Double Digit September Gain

Freddie Mac reported this week that its total mortgage portfolio increased at an annualized rate of 17.4 percent in September compared to a 23.7 percent gain in August. The portfolio balance at the end of the period was $3.137 trillion compared to $3.093 trillion the prior month and $2.613 trillion a year earlier. Purchases and Issuances totaled $112.333 billion, and Sales were ($498) billion. The August numbers were $119.682 billion, and ($277) billion, respectively.

Single-family refinance loan purchase and guarantee volume was $59.8 billion in September compared to $65.7 billion in August, representing a 58 percent share of total single-family mortgage portfolio purchases and issuances, unchanged from the share in August.

Purchases in Freddie Mac's Mortgage Related Investments Portfolio totaled $68.040 billion for the month compared to $70.749 billion during the prior period. Liquidations were ($1.165) billion and ($1.122) billion for September and August, respectively and Sales for the two periods were ($67.004) and ($66.193) billion. The ending balance in the portfolio was $113.773 billion, compared to $113.903 billion in August and $172.372 billion in September 2020.

The annualized growth of the Mortgage Related Investments portfolio was (1.4) percent compared to 37.3 percent in August and a decline of (64.6) percent a year earlier.

The $113.773 billion ending balance of the Mortgage Related Investments Portfolio composed of $50.074 billion in Agency Securities, Mortgage Loans valued at $62.440 billion, and Non-Agency Securities at $1.259 billion. Mortgage related securities and other guarantee commitments increased at an annualized rate of 16.6 percent in September compared to 23.0 percent in August.

Freddie Mac's single-family delinquency rate decreased from 1.62 percent in August July to 1.46 percent in September. It was at 3.04 percent in September 2020. The multi-family delinquency rate was unchanged at .12 percent.   

Freddie Mac said the measure of its exposure to changes in portfolio value averaged $87 million in September compared to $81 million in August.