During
the
government-sponsored
enterprise’s
(GSE)
earnings
call
on
Wednesday
morning,

FHFA
director

Bill
Pulte
shared
opening
remarks
about
Fannie
Mae’s
priorities.

“Our
current
focus
at
Fannie
Mae
is
on
operational
efficiency
and
ensuring
that
Fannie
Mae
is
a
world-class
operator,”
Pulte
said.
“While
assets
are
significant,
there
remains
[a]
great
opportunity
to
trim
fat,
turn
the
business
around,
generate
more
earnings
and
do
so
all
while
ensuring
safety
and
soundness.”

He
continued,
“A
profitable
Fannie
Mae,
one
with
a
strong
balance
sheet
and
strong
capital
focused
on
delighting
customers,
means
a
safe
and
sound
U.S.
mortgage
market.”

Fannie’s
continued
profits
come
as
the
mortgage
industry
itself
struggles.
The

Mortgage
Bankers
Association
reported
the
average
IMB
reported
a
pre-tax
net
loss
of
$40
on
each
loan
they
originated
in
the
fourth
quarter.
Conditions
haven’t
dramatically
improved
in
the
first
quarter.

The
GSE
posted
$76
billion
in
liquidity
provided
in
Q1
2025,
which
enabled
the
financing
of
approximately
287,000
home
purchases,
refinancings
and
rental
units.

Fannie
Mae
President
and
CEO

Priscilla
Almodovar
shared
a
broad
update
of
the
economic
environment,
commenting
that
“high
home
prices
continue
to
be
the
primary
sticky
point
for
buyers.”

She
continued,
“The
30-year
fixed
mortgage
rate
averaged
6.8%
during
the
quarter,
slightly
up
from
6.6%
in
the
last
quarter.
Total
annualized
home
sales
rose
slightly
to
an
estimated
4.8
million
units
in
the
first
quarter,
though,
remained
well
below
the
levels
seen
before
COVID…Nationally,
home
prices
increased
5.2%
for
the
12
months
ended
March
31.
Single-family
mortgage
market
originations
were
an
estimated
$378
billion,
a
16%
increase
from
the
first
quarter
of
2024.”

Fannie
Mae’s
CFO,

Chryssa
Halley,
gave
a
more
in-depth
glimpse
into
the
company’s
business
activity.
“Our
guaranteed
book
stood
at
$4.1
trillion
as
of
the
end
of
the
quarter.
This
included
$76
billion
of
new
business
acquisitions.
In
single-family,
we
acquired
$64
billion
in
loans
this
quarter,
up
3%
year
over
year.”

Halley
added
that
acquisitions
“continued
to
be
muted”
due
to
a
tough
mortgage
interest
rate
environment,
a
lack
of
supply
and
housing
affordability
constraints.

Single-family
and
multifamily
results

During
Q1
2025,
Fannie
acquired
approximately
144,000

single-family
purchase
loans,
of
which
approximately
half
were
for
first-time
homebuyers,
and
approximately
50,000
single-family
refinance
loans,
shared
Almodovar
during
the
earnings
call.

Single-family
conventional
acquisition
volume
was
$64.3
billion
in
Q1
2025,
compared
with
$62.3
billion
in
Q1
2024.
Purchase
acquisition
volume,
of
which
approximately
half
was
for
first-time
homebuyers,
decreased
to
$50.1
billion
in
Q1
2025
from
$53.0
billion
in
Q1
2024.

Refinance
acquisition
volume
was
$14.2
billion
in
Q1
2025,
an
increase
from
$9.3
billion
in
Q1
2024.

The
average
single-family
conventional
guaranty
book
of
business
decreased
by
$21.3
billion
compared
with
Q1
2024,
to
$3.6
trillion
in
Q1
of
2025.
Halley
added
that
the
credit
profile
of
Fannie’s
single
family
book
remained
strong
with
a
weighted
average
mark
to
market
loan
to
value
ratio
of
50%
and
a
weighted
average
credit
score
at
origination
of
753.

New

multifamily
business
volume
was
$11.8
billion
in
Q1
2025,
compared
with
$10.1
billion
in
Q1
2024.
The
company
also
financed
approximately
93,000
units
of
multifamily
rental
housing,
in
which
a
majority
were
affordable
to
households
earning
at
or
below
120%
of
area
median
income.

“Our
multifamily
book
as
of
the
quarter
end
had
a
weighted
average
original
loan-to-value
ratio
of
63%
and
a
weighted
average
debt
service
coverage
ratio
of
2.0
times,”
Halley
added.

How
is
the
rest
of
2025
shaping
up
for
Fannie
Mae?

Halley
shed
more
light
on
Fannie’s
predictions
for
the
remainder
of
2025.

“Our
economists
currently
expect
that

mortgage
rates
will
average
6.5%
for
2025.
Total

home
sales
are
expected
to
improve
slightly
to
4.9
million
units
compared
to
the
4.7
million
units
seen
for
the
full
year
of
2024,”
she
said.
“They
currently
project
year
over
year,
home
price
growth
will
be
4.1%
in
2025
as
measured
by
the
Fannie
Mae
home
price
index,
compared
to
5.3%
in
2024.”

Fannie
Mae’s
economists
also
forecast
single-family
mortgage
originations
of
about
$2.0
trillion
in
2025,
up
from
an
estimated
$1.7
trillion
in
2024,
with
purchases
forecasted
to
make
up
73%
of
single-family
mortgage
originations
this
year,
Halley
told
investors.

The
GSE
expects
multifamily
rent
growth
to
be
in
the
2%
to
2.5%
range
in
2025,
unchanged
from
its
predictions

announced
in
its
last
earnings
call.

“Separately,
we
believe
vacancy
rates
could
rise
to
6.25%
this
year,
and
we
forecast
multi-family
market
originations
between
$325
billion
and
$365
billion
in
2025,
up
from
$310
billion
in
2024,”
Halley
said.