Federal National Mortgage Association

Fannie Mae, officially known as the Federal National Mortgage Association, is a United States government-sponsored enterprise (GSE) headquartered in Washington, D.C. Established in 1938 during the Great Depression, its core business is to expand the secondary mortgage market by purchasing mortgage loans from lenders and securitizing them into mortgage-backed securities (MBS). This process provides liquidity to lenders, enabling them to reinvest in additional lending and support a continuous supply of mortgage funds. Fannie Mae's mission is to facilitate equitable and sustainable access to homeownership and quality affordable rental housing across America, thereby providing liquidity, stability, and affordability to the U.S. housing market.

The company's key products and services include the creation and guarantee of mortgage-backed securities, which are sold to investors. It offers various loan products such as HomeReady®, RefiNow™, HomeStyle® Renovation, and HFA Preferred™ loans, designed to meet diverse borrower needs, including those with low down payments. Fannie Mae also provides technological solutions like Desktop Underwriter (DU) for automated loan underwriting, assisting lenders in efficiently assessing credit risk. Its market segments primarily encompass single-family and multifamily mortgage markets, serving primary mortgage lenders, servicers, and institutional investors.

In recent leadership news, Peter Akwaboah was appointed acting Chief Executive Officer in October 2025, with John Roscoe and Brandon Hamara named co-presidents. Fannie Mae reported a net income of $3.7 billion for the first quarter of 2026, with single-family loan acquisitions reaching $99 billion, largely driven by increased refinance demand. The company continues to play a dominant role in the U.S. housing finance system, maintaining approximately 24% market share of single-family mortgage debt outstanding and 21% of multifamily mortgage debt outstanding. It has also announced updates to its Selling Guide to incorporate VantageScore® 4.0 and future FICO® Score 10T credit scores to modernize credit assessment.

Latest updates

Fannie Mae Posts $3.7 Billion Q1 2026 Net Income

Event summary

  • Fannie Mae reported a net income of $3.7 billion for the first quarter of 2026.
  • The company filed its First Quarter 2026 Form 10-Q with the Securities and Exchange Commission.
  • Financial results and related documents are available on Fannie Mae's website.
  • A webcast to discuss the results is scheduled for April 29, 2026, at 8:00 a.m. ET.

The big picture

Fannie Mae's strong first-quarter performance underscores the continued importance of government-sponsored enterprises in the U.S. housing market. However, the company operates within a complex regulatory environment and faces ongoing pressure to balance profitability with its mission of ensuring affordable housing access. The webcast will likely provide further detail on the factors driving this performance and the challenges ahead.

What we're watching

Market Sensitivity
The reported profitability will be scrutinized in light of ongoing debates regarding housing affordability and potential policy changes impacting Fannie Mae's role in the mortgage market.
Regulatory Scrutiny
Increased regulatory oversight, particularly concerning capital requirements and risk management practices, may constrain future earnings growth and necessitate adjustments to Fannie Mae's business model.
Capital Deployment
The company's plans for capital deployment, including potential share repurchases or dividend increases, will signal management's confidence in future performance and its commitment to shareholder value.

Fannie Mae Adopts New Credit Scoring Models in FHFA-Led Modernization

Event summary

  • Fannie Mae is now allowing the use of VantageScore 4.0 for loan origination and delivery, effective immediately.
  • The company plans to implement FICO Score 10T in the future, as part of a broader credit score modernization initiative directed by the FHFA.
  • Historical credit score data for both VantageScore 4.0 and FICO Score 10T will be published this summer, covering periods from April 2013 to September 2025.
  • A limited rollout of VantageScore 4.0 is underway with approved lenders, while others must continue using Classic FICO scores.

The big picture

This move represents a significant shift in Fannie Mae's credit risk assessment practices, aligning with the FHFA’s broader push for modernization within the housing finance system. The adoption of newer scoring models, incorporating data like rent payment history, aims to expand access to credit while potentially improving risk management. The phased rollout suggests a cautious approach, balancing innovation with operational stability, a key consideration given Fannie Mae’s systemic importance.

What we're watching

Adoption Rate
The speed at which lenders adopt VantageScore 4.0 will indicate the level of operational readiness and potential cost savings realized by Fannie Mae.
Data Impact
How the inclusion of rent payment history and trended data in VantageScore 4.0 and FICO 10T affects loan performance and default rates warrants close monitoring.
Regulatory Scrutiny
The FHFA’s continued oversight of Fannie Mae’s credit score modernization efforts will likely shape the pace and scope of future model implementations.

Fannie Mae Tender Offers Signal Continued CAS Note Portfolio Reduction

Event summary

  • Fannie Mae completed a tender offer for $961 million in principal amount of Connecticut Avenue Securities (CAS) Notes.
  • The tender offer targeted specific CAS Note series issued in 2017 and 2018, with varying acceptance rates.
  • Acceptance rates ranged from 0% to 100%, indicating selective portfolio management.
  • BofA Securities and Wells Fargo Securities acted as dealer managers for the offers.
  • The settlement date for the tendered notes is March 3, 2026.

The big picture

This tender offer is part of Fannie Mae's ongoing effort to manage its portfolio of mortgage-related assets, likely driven by a combination of capital management needs and a desire to optimize risk-adjusted returns. The selective nature of the offer, with some series fully tendered while others were not, highlights a nuanced approach to portfolio restructuring. The CAS program, designed to support the secondary mortgage market, continues to evolve as Fannie Mae adapts to changing market conditions and regulatory requirements.

What we're watching

Portfolio Strategy
The selective nature of the tender offer suggests a deliberate strategy to reduce exposure to specific CAS Note series, potentially based on risk assessment or capital allocation priorities. Further offers targeting other CAS Note tranches are possible.
Market Impact
The ongoing reduction of Fannie Mae's CAS Note holdings could influence secondary market pricing and liquidity for these securities, particularly if further offers are announced.
Regulatory Scrutiny
The pace and scale of Fannie Mae's portfolio adjustments will likely be monitored by regulators, given the agency's role in the housing finance market and its impact on broader financial stability.

Fannie Mae Publishes January 2026 Portfolio Summary

Event summary

  • Fannie Mae released its January 2026 Monthly Summary on February 26, 2026.
  • The summary details monthly and year-to-date activities related to Fannie Mae's gross mortgage portfolio.
  • Reported data includes mortgage-backed securities, interest rate risk measures, and serious delinquency rates.
  • Kelly Antonacci is listed as the media contact for inquiries.

The big picture

The monthly summary provides a snapshot of Fannie Mae's performance within the broader mortgage market. As a government-sponsored enterprise (GSE), Fannie Mae's activities have significant implications for housing affordability and the stability of the financial system. Investors will be looking for signs of continued operational efficiency and risk management effectiveness in the face of ongoing economic uncertainty.

What we're watching

Delinquency Trends
The reported serious delinquency rates will be closely scrutinized for any indication of broader economic stress or changes in underwriting standards, particularly given the ongoing inflationary environment.
Interest Rate Risk
Continued monitoring of Fannie Mae's interest rate risk measures is essential, as fluctuating rates could significantly impact profitability and capital requirements.
Portfolio Growth
The pace of portfolio growth will be a key indicator of Fannie Mae's market share and its ability to navigate evolving regulatory oversight and competitive pressures.

Fannie Mae Repurchases $1.4B in CAS Notes in Accelerated Tender

Event summary

  • Fannie Mae has launched a tender offer to repurchase approximately $1.4 billion in outstanding Connecticut Avenue Securities (CAS) Notes.
  • The tender offer prices range from $1,025.20 to $1,089.50 per $1,000 original principal amount, representing a premium to the current market value.
  • The offer expires on February 27, 2026, with settlement expected on March 4, 2026.
  • Fannie Mae is the sole beneficial owner of the trusts issuing the CAS Notes, indicating a self-tender.

The big picture

This tender offer represents a significant move by Fannie Mae to reduce its exposure to CAS Notes, a legacy product line. The self-tender structure, where Fannie Mae is both issuer and buyer, is unusual and suggests a desire to proactively manage its balance sheet. The premium offered indicates a willingness to pay a price to accelerate the removal of these securities, potentially reflecting concerns about ongoing market demand or regulatory pressure.

What we're watching

Market Impact
The success of this tender offer could signal further opportunities for investors holding similar CAS Notes, potentially impacting secondary market pricing.
Capital Allocation
The move suggests Fannie Mae is actively managing its capital structure, and future tenders or other balance sheet adjustments are possible.
Regulatory Scrutiny
Given Fannie Mae's unique ownership structure of the trusts, regulators may scrutinize the rationale and execution of this self-tender to ensure fairness and transparency.

Fannie Mae Posts $14.4 Billion Annual Profit Amidst Mortgage Market Uncertainty

Event summary

  • Fannie Mae reported a net income of $3.5 billion for the fourth quarter of 2025.
  • Full-year 2025 net income totaled $14.4 billion.
  • The company filed its 2025 Form 10-K with the Securities and Exchange Commission.
  • Supporting financial documents, including a presentation and supplement, are available on Fannie Mae's website.

The big picture

Fannie Mae's substantial profit underscores its continued role in the US housing finance system, despite ongoing debates about its future structure. The reported earnings are likely influenced by the prevailing low interest rate environment and a robust, albeit potentially slowing, housing market. The webcast will be crucial for understanding the underlying drivers of this performance and management's outlook for 2026.

What we're watching

Market Volatility
How persistent interest rate fluctuations will impact Fannie Mae's origination volumes and overall profitability in the coming quarters remains a key risk factor.
Regulatory Scrutiny
The pace at which potential regulatory changes, particularly concerning capital requirements and risk management, will be implemented warrants close observation.
Capital Deployment
Whether Fannie Mae will prioritize share buybacks or reinvestment in technology and infrastructure will signal management's confidence in future growth prospects.

Fannie Mae Multifamily Lending Surges, Exceeds $70 Billion in 2025

Event summary

  • Fannie Mae financed approximately $74 billion in U.S. multifamily housing in 2025, a 34% increase year-over-year from $55 billion in 2024.
  • Financing for Multifamily Affordable Housing increased by 31% to over $8.3 billion.
  • Approximately 40% of deals were executed under Fannie Mae’s Delegated Underwriting and Servicing (DUS) model.
  • Walker & Dunlop, LLC was the top producer with $8.95 billion in business volume.

The big picture

Fannie Mae's substantial increase in multifamily lending underscores its continued role as a key liquidity provider for the U.S. housing market, particularly in the affordable housing segment. The expansion of its DUS model highlights a focus on efficiency and speed in deal execution. This level of activity, exceeding $70 billion annually, positions Fannie Mae as a significant force shaping the landscape of multifamily real estate finance.

What we're watching

Lender Dynamics
The continued dominance of Walker & Dunlop and Wells Fargo suggests a concentration of origination volume, potentially limiting opportunities for smaller lenders.
Regulatory Scrutiny
Given the scale of Fannie Mae’s lending and its role in affordable housing, increased regulatory scrutiny regarding underwriting standards and risk management is likely.
Market Volatility
The pace at which Fannie Mae can maintain this level of lending will depend on broader interest rate trends and overall economic conditions impacting the multifamily sector.

Fannie Mae Publishes December 2025 Portfolio Summary

Event summary

  • Fannie Mae released its December 2025 Monthly Summary on January 28, 2026.
  • The report details monthly and year-to-date activities related to Fannie Mae's gross mortgage portfolio.
  • Key data points include mortgage-backed securities, interest rate risk measures, and serious delinquency rates.
  • Contact information for media inquiries is provided: Kelly Antonacci at 202-752-0524.

The big picture

The monthly summary provides a window into Fannie Mae's ongoing operations and risk profile as it continues to navigate a complex mortgage market. The data released will be closely watched by investors and regulators alike, given the agency's systemic importance to the U.S. housing finance system. Continued monitoring of these metrics is crucial for assessing the stability of the secondary mortgage market.

What we're watching

Portfolio Health
The trend in serious delinquency rates will be a key indicator of overall mortgage market health and Fannie Mae's exposure to potential losses, particularly given ongoing economic uncertainty.
Rate Sensitivity
Changes in interest rate risk measures will reflect the ongoing volatility in the fixed-income markets and Fannie Mae's ability to manage its hedging strategies.
Regulatory Scrutiny
Future summary releases will likely be scrutinized for any indications of evolving regulatory expectations regarding capital adequacy and risk management practices.
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