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U.S. House Price Index Report 2021 Q235900<p style="font-style&#58;normal;"> <span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">​Washington, D.C.</span>&#160;– U.S. house prices rose&#160;<span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">17.4 percent</span>&#160;from the second quarter of 2020 to the second quarter of 2021 according to the Federal Housing Finance Agency House Price Index (FHFA HPI®). House prices were up&#160;<span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">4.9 percent</span>&#160;compared to the first quarter of 2021. FHFA’s seasonally adjusted monthly index for June was up&#160;<span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">1.6 percent&#160;</span>from May.<br>“During the second quarter, house prices peaked in June with an 18.8 percent growth rate compared to a year ago,” said Dr. Lynn Fisher, Deputy Director of FHFA’s Division of Research and Statistics. “For the quarter, annual gains surpassed 20 percent in the Mountain, New England, and Pacific census divisions and in all of the top 20 metro areas.”</p><p style="font-style&#58;normal;"><br><span style="font-style&#58;normal;">View highlights video featuring Dr. Lynn Fisher at&#160; <a href="https&#58;//go.usa.gov/xFhX4">https&#58;//go.usa.gov/xFhX4​</a></span><span style="font-style&#58;normal;">.</span></p><p style="font-style&#58;normal;"><span style="font-style&#58;normal;"></span><br>​​<a href="/Media/PublicAffairs/Pages/US-House-Prices-Rise-17pt4-pct-over-the-last-year-Up-4pt9-pct-from-the-1st-qtr.aspx">Related News Release</a></p>8/31/2021 1:00:13 PMHome / About FHFA / Reports / U.S. House Price Index Report 2021 Q2 House Price Index 24400https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
2021 Dodd-Frank Act Stress Test Results - Severely Adverse Scenario36142<h2>​​Overview</h2><p></p><p></p><p>Fannie Mae and Freddie Mac (the “Enterprises”) are required to conduct annual stress tests pursuant to Federal Housing Finance Agency (FHFA) rule 12 CFR § 1238, which implements section 165(i)(2) of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the &quot;Dodd-Frank Act&quot;). Section 165(i)(2) of the Dodd-Frank Act, as amended by section 401 of the Economic Growth, Regulatory Relief, and Consumer Protection Act (“EGRRCPA”) requires certain financial companies with total consolidated assets of more than $250 billion, and which are regulated by a primary federal financial regulatory agency, to conduct periodic stress tests to determine whether the companies have the capital necessary to absorb losses as a result of severely adverse economic conditions. These statutory changes became effective on November 24, 2019. This is the eighth implementation of the Dodd-Frank Act Stress Tests (DFAST) for the Enterprises.</p><p></p><p></p><p> ​In September 2008, FHFA suspended capital requirements after placing Fannie Mae and Freddie Mac into conservatorships. The Senior Preferred Stock Purchase Agreements that were established between the Department of the Treasury and each Enterprise limited the amount of capital that each Enterprise can hold to a Capital Reserve Amount of $3.0 billion. However, on September 27, 2019, the FHFA acting in its capacity as the conservator of the Enterprises, and Treasury entered into a letter agreement modifying the dividend and liquidation preference provisions of the senior preferred stock held by Treasury. Effective with the third quarter 2019 dividend period, the Enterprises were not required to pay further dividends to Treasury until they accumulated over $25 billion in net worth at Fannie Mae and $20 billion in net worth at Freddie Mae. Subsequently, on January 14, 2021, the FHFA and the Department of the Treasury announced amendments to the Senior Preferred Stock Purchase Agreements. The amendments allow the Enterprises to continue to retain earnings until they satisfy the requirements of the 2020 Enterprise Regulatory Capital Framework.</p><p></p><p></p><p> ​Notwithstanding the capital limits stipulated in the Senior Preferred Stock Purchase Agreements, FHFA requires the Enterprises to conduct DFAST annually in order to provide insight into risk exposure and potential sources of losses in the prescribed conditions. This report provides updated information on possible ranges of future financial results of the Enterprises under severely adverse conditions. The severely adverse conditions assumed are identical for both Enterprises.</p><p></p><p></p><p> The projections reported here are not expected outcomes. They are modeled projections in response to “what if” exercises based on assumptions about Enterprise operations, loan performance, macroeconomic and financial market conditions, and house prices. The projections do not define the full range of possible outcomes. Actual outcomes may be different. ​The 2021 DFAST Severely Adverse scenario is described on page 3. The Enterprises used their respective internal models to project their financial results based on the assumptions provided by FHFA. While this results in a degree of comparability between the Enterprises, it does not eliminate differences in the Enterprises’ respective internal models, accounting differences, or management actions.​<br></p><p></p><p><a href="/Media/PublicAffairs/Pages/FHFA-Announces-Results-of-Fannie-Mae-and-Freddie-Mac-Dodd-Frank-Act-Stress-Tests.aspx">​Related News Release</a>​<br><br></p>8/13/2021 2:30:33 PMHome / About FHFA / Reports / 2021 Dodd-Frank Act Stress Test Results - Severely Adverse Scenario Stress 960https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
2020 Dodd-Frank Act Stress Test Results - Severely Adverse Scenario36141<h3>​​​Overview</h3><p></p><div></div><ul><li><p>Fannie Mae and Freddie Mac (the “Enterprises”) are required to conduct annual stress tests pursuant to Federal Housing Finance Agency (FHFA) rule 12 CFR § 1238, which implements section 165(i)(2) of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the &quot;Dodd-Frank Act&quot;). Section 165(i)(2) of the Dodd-Frank Act, as amended by section 401 of the Economic Growth, Regulatory Relief, and Consumer Protection Act (“EGRRCPA”) requires certain financial companies with total consolidated assets of more than $250 billion, and which are regulated by a primary federal financial regulatory agency, to conduct periodic stress tests to determine whether the companies have the capital necessary to absorb losses as a result of severely adverse economic conditions. These statutory changes became effective on November 24, 2019. This is the seventh implementation of the Dodd-Frank Act Stress Tests (DFAST) for the Enterprises.<br></p></li><li><p>In September 2008, FHFA suspended capital requirements after placing Fannie Mae and Freddie Mac into conservatorships. The Senior Preferred Stock Purchase Agreements that were established between the Department of the Treasury and each Enterprise limited the amount of capital that each Enterprise can hold to a Capital Reserve Amount of $3.0 billion. However, on September 27, 2019, the FHFA acting in its capacity as the conservator of the Enterprises, and Treasury entered into a letter agreement modifying the dividend and liquidation preference provisions of the senior preferred stock held by Treasury. Effective with the third quarter 2019 dividend period, the Enterprises were not required to pay further dividends to Treasury until they accumulated over $25 billion in net worth at Fannie Mae and $20 billion in net worth at Freddie Mae.</p></li><li><p>Notwithstanding the capital limits stipulated in the Senior Preferred Stock Purchase Agreements, FHFA requires the Enterprises to conduct DFAST annually in order to provide insight into risk exposure and potential sources of losses in the prescribed conditions. This report provides updated information on possible ranges of future financial results of the Enterprises under severely adverse conditions. The severely adverse conditions assumed are identical for both Enterprises.</p></li><li><p>The projections reported here are not expected outcomes. They are modeled projections in response to “what if” exercises based on assumptions about Enterprise operations, loan performance, macroeconomic and financial market conditions, and house prices. The projections do not define the full range of possible outcomes. Actual outcomes may be different.</p></li><li><p>The 2020 DFAST Severely Adverse scenario is described on page 3. The Enterprises used their respective internal models to project their financial results based on the assumptions provided by&#160;FHFA. While this results in a degree of comparability between the Enterprises, it does not eliminate differences in the Enterprises’ respective internal models, accounting differences, or management actions.​​​</p></li></ul><div><font color="#404040"><a href="/Media/PublicAffairs/Pages/FHFA-Announces-Results-of-Fannie-Mae-and-Freddie-Mac-Dodd-Frank-Act-Stress-Tests.aspx" style="font-style&#58;normal;font-size&#58;14px;font-family&#58;&quot;source sans pro&quot;, sans-serif;">​Related News&#160;Release</a>​<br></font></div>8/13/2021 2:30:33 PMHome / About FHFA / Reports / 2020 Dodd-Frank Act Stress Test Results - Severely Adverse Scenario Stress 222https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
U.S. House Price Index - June 202134190<p>​​​​​House prices rose nationwide in April, up <strong>1.8 percent</strong> from the previous&#160;month, according to the latest Federal Housing Finance Agency House Price Index (FHFA HPI®). House prices rose<strong> 15.7 percent</strong> from April 2020 to April 2021. The previously reported 1.4 percent price change for March 2021 was revised upward to a 1.6 percent increase.<br></p><p>For the <a href="/Media/PublicAffairs/PublicAffairsDocuments/FHFA-HPI-FAQs.pdf#page=9">nine census divisions, </a>seasonally adjusted monthly house price changes from March 2021&#160;to April 2021 ranged from <strong>+1.2 percent</strong> in the West North Central division to<strong> +2.6 percent </strong>in the Mountain and Middle Atlantic divisions. The 12-month changes ranged from <strong>+13.0 percent</strong> in the West North Central to <strong>+20.6 percent</strong> in the Mountain division.</p><div><br></div><div><strong><a href="/Media/PublicAffairs/Pages/FHFA-House-Price-Index-Up-1pt8-Percent-in-April-Up-15pt7-Percent-from-Last-Year.aspx">Related News Release​</a></strong><br><br></div>6/29/2021 1:00:43 PMHome / About FHFA / Reports / U.S. House Price Index - June 2021 House Price Index 6526https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
U.S. House Price Index Report - 2021 Q133720<p>​U.S. house prices rose <strong>12.6 percent</strong> from the first quarter of 2020 to the first quarter of 2021 according to the Federal Housing Finance Agency House Price Index (FHFA HPI<sup><font size="2">®</font></sup>). House prices were up <strong>3.5 percent</strong> compared to the fourth quarter of 2020. FHFA's seasonally adjusted monthly index for March was up <strong>1.4 percent</strong> from February.</p><p>“House price growth over the prior year clocked in at more than twice the rate of growth observed in the first quarter of 2020, just before the effects of the pandemic were felt in housing markets,&quot; said Dr. Lynn Fisher, Deputy Director of FHFA's Division of Research and Statistics. “In March, rates of appreciation continued to climb, exceeding 15 percent over the year in the Pacific, Mountain and New England census divisions.&quot;</p><p>View highlights video featuring Dr. Lynn Fisher at&#160;<a title="Link goes to an external web page." href="https&#58;//go.usa.gov/xHuY5" target="_blank">https&#58;//go.usa.gov/xHuY5</a>.</p><p><a href="/Media/PublicAffairs/Pages/US-House-Prices-Rise-12pt6-Percent-over-the-Last-Year-Up-3pt5-Percent-in-the-First-Quarter.aspx">Related News Release</a></p>5/25/2021 1:07:20 PMHome / About FHFA / Reports / U.S. House Price Index Report - 2021 Q1 House Price Index 368955https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
Prepayment Monitoring Report First Quarter 202134153<p>​​​​​​​Fannie Mae and Freddie Mac began issuing the Uniform Mortgage-Backed Securities (UMBS) on June 3, 2019.&#160;&#160;</p><div><p>This quarterly report provides market participants additional transparency into a sample of the data FHFA receives and reviews on a monthly basis. The report focuses on alignment of prepayment rates, which continues to be important to the success of UMBS and to the efficiency and liquidity of the secondary mortgage market.&#160;&#160;<br></p><p>Ex post monitoring of prepayment rates is part of a broader effort to assure investors that cash flows from UMBS will be similar regardless of which Enterprise is the issuer.&#160; This report provides insight into how FHFA monitors the consistency of prepayment rates across cohorts of the Enterprises’ TBA-eligible MBS,<a href="#footNote1">[1]</a>&#160;where a cohort consists of those Enterprise TBA-eligible securities with the same coupon, maturity, and loan-origination year and total combined issuance across the Enterprises exceeds $10 billion.&#160; A prepayment on a mortgage loan is the amount of principal paid in advance of the loan’s scheduled payments.&#160; Full prepayment occurs when a borrower pays off the loan ahead of the scheduled maturity.<br></p><div><p><strong>​Background on UMBS&#58;</strong> <br></p><p>Issuance of UMBS through their jointly developed Common Securitization Platform (CSP), fulfilled important elements of FHFA’s 2014 Strategic Plan for the Conservatorships of Fannie Mae and Freddie Mac.&#160; Forward trading of UMBS began in the “To-Be-Announced” (TBA) market,<a href="#footNote2">[2]</a>&#160;on March 12, 2019 with first settlements of the UMBS trades on June 3, 2019. UMBS is issued without regard to which Enterprise is the issuer and has effectively merged the formerly separate UMBS markets. UMBS has broadened and enhanced&#160; liquidity in the secondary market for residential mortgages and reduced costs to taxpayers.<a href="#footNote3">[3]</a>&#160; &#160;</p><div><p></p><p> <a name="footNote1">[1]</a>&#160;To avoid double counting, only first-level securitizations are included in the analysis. Second-level securitizations (Megas, Giants, and Supers) are excluded, with the exception of fastest quartile analyses and Table 2 (Quartile Report). For those exceptions, Freddie Mac multi-lender second-level securitizations traded as a single security are included and the related first-level securitizations are excluded to avoid double counting.<br></p><p> <a name="footNote2">[2]</a>&#160;The TBA market is a forward market for certain mortgage-backed securities, including those issued by the Enterprises.<br></p><p> <a name="footNote3">[3]</a>&#160;See <a href="/AboutUs/Reports/ReportDocuments/Single%20Security%20Update%20final.pdf"><em>An Update on the Structure of the Single Security</em></a>, May 2015, p.&#160;​4.<br></p></div></div></div>8/6/2021 2:09:56 PMHome / About FHFA / Reports / Prepayment Monitoring Report First Quarter 2021 Prepayment Monitoring Report 1715https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
U.S. House Price Index - April 202133805<p style="font-style&#58;normal;">House prices rose nationwide in February, up <strong>0.9 percent</strong> from the previous month, according to the latest Federal Housing Finance Agency House Price Index (FHFA HPI®). &#160;House prices rose&#160;<span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">12.2 percent</span>&#160;from February 2020 to February 2021. The previously reported 1.0 percent price change for January 2021 remained unchanged.<br></p><p style="font-style&#58;normal;">For the <a href="/Media/PublicAffairs/PublicAffairsDocuments/FHFA-HPI-FAQs.pdf#page=9">nine census divisions</a>, seasonally adjusted monthly house price changes from January 2021 to February 2021 ranged from&#160;<span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">+0.3 percent&#160;</span>in the Middle Atlantic division to&#160;<span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">+1.6 percent</span>&#160;in the Mountain division.&#160;The 12-month changes ranged from&#160;<span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">+10.5 percent&#160;</span>in the West North Central division to&#160;<span style="font-family&#58;inherit;font-size&#58;inherit;font-weight&#58;700 !important;">+15.4 percent</span>&#160;in the Mountain division.</p><p style="font-style&#58;normal;"><span style="font-style&#58;normal;"><a href="/Media/PublicAffairs/Pages/FHFA-HPI-Up-0pt9-Percent-in-Feb-Up-12pt2-Percent-from-Last-Yr.aspx">Related News Release</a></span>​</p>4/27/2021 1:00:26 PMHome / About FHFA / Reports / U.S. House Price Index - April 2021 House Price Index 345816https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
Prepayment Monitoring Report Fourth Quarter 202032895<p>On June 3, 2019, Fannie Mae and Freddie Mac began issuing a new common mortgage-backed security, known as the Uniform Mortgage-Backed Securities or UMBS, through their jointly developed Common Securitization Platform, bringing to fruition important elements of FHFA's <a href="/AboutUs/Reports/Pages/2014-Conservatorships-Strategic-Plan.aspx"> <strong> <em>2014 Strategic Plan for the Conservatorships of</em></strong></a>&#160;<a href="/AboutUs/Reports/Pages/2014-Conservatorships-Strategic-Plan.aspx"><strong><em>Fannie Mae and Freddie Mac</em></strong></a>.&#160; On March 12, 2019 forward trading of UMBS began in the “To-Be-Announced&quot; (TBA) market<a href="#footNote1">[1]</a>, with first settlements of the UMBS trades coinciding with their initial issuance by the Enterprises on June 3, 2019.</p><p>FHFA encouraged Fannie Mae and Freddie Mac to develop this new security to broaden and enhance liquidity in the secondary market for residential mortgages and to reduce costs to taxpayers.<a href="#footNote2">[2]</a>&#160; To address those goals, UMBS issued by Fannie Mae and Freddie Mac trade in the TBA market without regard to which Enterprise is the issuer, effectively merging the formerly separate markets for mortgage-backed securities issued by each Enterprise. </p><p>Consistency of prepayment rates is important to the success of UMBS and to the efficiency and liquidity of the secondary mortgage market.&#160; Some industry stakeholders have expressed concern that the rates of prepayment of the Enterprises' securities might materially diverge and undermine their fungibility.&#160; FHFA has taken a number of steps to promote the continued consistency of prepayment rates of Fannie Mae- and Freddie Mac-issued mortgage-backed securities (MBS).&#160; This quarterly report provides market participants additional transparency into a sample of the data FHFA receives and reviews on a monthly basis.</p><p> <em>Ex post </em>monitoring of prepayment rates is part of a broader effort to assure investors that cash flows from UMBS will be similar regardless of which Enterprise is the issuer.&#160; This report provides insight into how FHFA monitors the consistency of prepayment rates across cohorts of the Enterprises' TBA-eligible MBS,<a href="#footNote3">[3]</a> where a cohort consists of those Enterprise TBA-eligible securities with the same coupon, maturity, and loan-origination year and total combined issuance across the Enterprises exceeds $10 billion.&#160; A prepayment on a mortgage loan is the amount of principal paid in advance of the loan's scheduled payments. &#160;Full prepayment occurs when a borrower pays off the loan ahead of the scheduled maturity.&#160; If a borrower defaults on the mortgage loan, the Enterprise will pay investors the remaining principal balance and remove the loan from the MBS.&#160; That action has the same effect on investors as a full prepayment. &#160;Partial prepayment occurs when a borrower pays principal in addition to the regularly scheduled payment of principal and interest.</p><p> <br>&#160;</p><p> <a name="footNote1">[1]</a> The TBA market is a forward market for certain mortgage-backed securities, including those issued by Fannie Mae and Freddie Mac.</p><p> <a name="footNote2">[2]</a> See <a href="/AboutUs/Reports/ReportDocuments/Single%20Security%20Update%20final.pdf"> <em>An Update on the Structure of the Single Security</em></a>, May 2015, p. 4.</p><p> <a name="footNote3">[3]</a> To avoid double counting, only first-level securitizations are included in the analysis. Second-level securitizations (Megas, Giants, and Supers) are excluded, with the exception of fastest quartile analyses and Table 2 (Quartile Report).&#160; For those exceptions, Freddie Mac multi-lender second-level securitizations traded as a single security are included and the related first-level securitizations are excluded to avoid double counting.&#160;</p>3/2/2021 8:30:49 PMHome / About FHFA / Reports / Prepayment Monitoring Report Fourth Quarter 2020 Prepayment Monitoring 1266https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
U.S. House Price Index Report - 2020 Q431848<p> <strong>Washington, D.C. </strong>– U.S. house prices rose <strong>10.8 percent </strong>from the fourth quarter of 2019 to the fourth quarter of 2020 according to the Federal Housing Finance Agency House Price Index (FHFA HPI®). House prices were up <strong>3.8 percent </strong>compared to the third quarter of 2020. FHFA's seasonally adjusted monthly index for December was up <strong>1.1 percent </strong>from November.</p><p>“House prices nationwide recorded the largest annual and quarterly increase in the history of the FHFA HPI,&quot; said Dr. Lynn Fisher, Deputy Director of FHFA's Division of Research and Statistics. “Low mortgage rates, pent up demand from homebuyers, and a limited housing supply propelled every region of the country to experience faster growth in 2020 compared to a year ago despite the pandemic. In particular, house prices in western states and cities saw the highest rates of growth, where annual gains often rose above 10 percent.&quot;</p><p>View highlights video featuring Dr. Lynn Fisher at <a href="https&#58;//youtu.be/kF8KSDAstbE">https&#58;//youtu.be/kF8KSDAstbE</a>.</p><p><a href="/Media/PublicAffairs/Pages/US-House-Prices-Rise-10pt8-Percent-over-the-Last-Year-Up-3pt8-Percent-in-4Q.aspx">Related News Release</a>​ </p>2/23/2021 2:00:43 PMHome / About FHFA / Reports / U.S. House Price Index Report - 2020 Q4 House Price Index 12395https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx
Annual Performance Plan - FY 202131593<p>The Fiscal Year (FY) 2021 Annual Performance Plan (APP) supports the <a href="/AboutUs/Reports/Pages/FHFA-Strategic-Plan-Fiscal-Years-2021-to-2024-Final.aspx">FHFA Strategic Plan&#58; Fiscal Years 2021–2024 </a> (Strategic Plan), which was issued in October 2020.&#160; The APP sets out performance measures and targets in support of the goals in the Strategic Plan.</p><p>FHFA’s APP has four components&#58; (1) strategic goals; (2) strategic objectives; (3) performance measures and associated targets; and (4) means and strategies to accomplish the performance goals.</p><p>The strategic goals, which are outlined in the Strategic Plan, are the starting point for the FY 2021 APP. The nexus between the Strategic Plan and the APP helps to ensure that FHFA priorities are integrated with the Agency’s mission.</p>1/4/2021 2:55:25 PMHome / About FHFA / Reports / Annual Performance Plan - FY 2021 FHFA Annual Performance Plan 3419https://www.fhfa.gov/AboutUs/Reports/Pages/Forms/AllItems.aspxhtmlFalseaspx

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