Business is booming.

Fannie Mae sees profits fall in Q4


In remarks accompanying its news release Tuesday, CEO Priscilla Almovodar forecast further economic hurdles for US homebuyers in the year ahead.

“Our 2022 results reflect a housing market in transition… We expect there will be economic headwinds in 2023 and that housing affordability will continue to remain a challenge for many homebuyers and renters,” she said.

The enterprise provided $684 billion in liquidity to the mortgage market last year, according to its full-year report, having acquired north of 1.15 million single-family purchase loans and 886,000 single-family refinance loans throughout 2022.

A big decline in the market value of single-family loans contributed to investment losses of $297 million last year, Fannie said, after reaping $1.4 billion in investment gains the previous year.

On the single-family side, the company also reported full-year decreases in conventional acquisition volume (by 55%, to $614.8 billion), purchase acquisition volume, and refinance acquisition volume, with the rising-rate environment of recent months described as the main reason for the dip.  



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