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Also traded in: Argentina, Germany

GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 4/10

vs
industry
vs
history
Cash-to-Debt 0.01
FMCC's Cash-to-Debt is ranked lower than
99% of the 1592 Companies
in the Global Specialty Finance industry.

( Industry Median: 2.23 vs. FMCC: 0.01 )
Ranked among companies with meaningful Cash-to-Debt only.
FMCC' s Cash-to-Debt Range Over the Past 10 Years
Min: 0  Med: 0.02 Max: N/A
Current: 0.01
Interest Coverage 0.31
FMCC's Interest Coverage is ranked lower than
92% of the 1515 Companies
in the Global Specialty Finance industry.

( Industry Median: 1.69 vs. FMCC: 0.31 )
Ranked among companies with meaningful Interest Coverage only.
FMCC' s Interest Coverage Range Over the Past 10 Years
Min: 0.14  Med: 0.2 Max: 0.45
Current: 0.31
0.14
0.45
Beneish M-Score: -2.48
WACC vs ROIC
1.75%
0.52%
WACC
ROIC
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 6/10

vs
industry
vs
history
Operating Margin % 81.13
FMCC's Operating Margin % is ranked higher than
98% of the 1606 Companies
in the Global Specialty Finance industry.

( Industry Median: 31.37 vs. FMCC: 81.13 )
Ranked among companies with meaningful Operating Margin % only.
FMCC' s Operating Margin % Range Over the Past 10 Years
Min: -282.5  Med: 73.79 Max: 199.13
Current: 81.13
-282.5
199.13
Net Margin % 54.44
FMCC's Net Margin % is ranked higher than
94% of the 1605 Companies
in the Global Specialty Finance industry.

( Industry Median: 22.70 vs. FMCC: 54.44 )
Ranked among companies with meaningful Net Margin % only.
FMCC' s Net Margin % Range Over the Past 10 Years
Min: -266.23  Med: 53.44 Max: 223.96
Current: 54.44
-266.23
223.96
ROE % 14.71
FMCC's ROE % is ranked lower than
82% of the 1603 Companies
in the Global Specialty Finance industry.

( Industry Median: 8.58 vs. FMCC: 14.71 )
Ranked among companies with meaningful ROE % only.
FMCC' s ROE % Range Over the Past 10 Years
Min: -1020.07  Med: -30.17 Max: 14.71
Current: 14.71
-1020.07
14.71
ROA % 0.52
FMCC's ROA % is ranked lower than
78% of the 1612 Companies
in the Global Specialty Finance industry.

( Industry Median: 0.90 vs. FMCC: 0.52 )
Ranked among companies with meaningful ROA % only.
FMCC' s ROA % Range Over the Past 10 Years
Min: -6.09  Med: 0.04 Max: 2.46
Current: 0.52
-6.09
2.46
3-Year Revenue Growth Rate -15.80
FMCC's 3-Year Revenue Growth Rate is ranked lower than
93% of the 1354 Companies
in the Global Specialty Finance industry.

( Industry Median: 4.20 vs. FMCC: -15.80 )
Ranked among companies with meaningful 3-Year Revenue Growth Rate only.
FMCC' s 3-Year Revenue Growth Rate Range Over the Past 10 Years
Min: -33.2  Med: 12.5 Max: 68.2
Current: -15.8
-33.2
68.2
3-Year EBITDA Growth Rate -22.80
FMCC's 3-Year EBITDA Growth Rate is ranked lower than
93% of the 1256 Companies
in the Global Specialty Finance industry.

( Industry Median: 6.40 vs. FMCC: -22.80 )
Ranked among companies with meaningful 3-Year EBITDA Growth Rate only.
FMCC' s 3-Year EBITDA Growth Rate Range Over the Past 10 Years
Min: -58.7  Med: 10.1 Max: 87.1
Current: -22.8
-58.7
87.1
GuruFocus has detected 1 Warning Sign with Federal Home Loan Mortgage Corp $FMCC.
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» FMCC's 30-Y Financials

Financials


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Equity & Asset
Operating Cash Flow & Free Cash Flow
Operating Cash Flow & Net Income

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Guru Trades

Q2 2016

FMCC Guru Trades in Q2 2016

Ruane Cunniff 1,500,000 sh (unchged)
Fairholme Fund Sold Out
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Q3 2016

FMCC Guru Trades in Q3 2016

Ruane Cunniff 1,500,000 sh (unchged)
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Q4 2016

FMCC Guru Trades in Q4 2016

Ken Fisher 25,000 sh (New)
Ruane Cunniff Sold Out
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Q1 2017

FMCC Guru Trades in Q1 2017

Ken Fisher Sold Out
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Preferred stocks of Federal Home Loan Mortgage Corp

SymbolPriceYieldDescription
FREGP10.020.005.81% Cum.Pfd Shs
FMCKL5.070.006.02% Non-Cumulative Perpetual Preferred Stock
FREJO11.500.005.1 % Pfd Shs 2002- Salomon Smith Barney
FREJN9.000.005.81 % Pfd Shs
FMCKM4.910.005.57% NonCumulative Perpetual Preferred Stock
FMCCM9.000.00Variable Rate NonCumulative Preferred Stock
FMCCL9.190.00Variable Rate NonCumulative Preferred Stock
FMCCJ8.510.00Variable Rate NonCumulative Preferred Stock
FMCCP9.750.006% NonCumulative Preferred Stock
FMCCN8.350.00Variable Rate NonCumulative Preferred Stock
FMCCO9.700.005.81% NonCumulative Preferred Stock
FMCKP9.500.005.7% NonCumulative Preferred Stock
FMCCK9.000.005.79% NonCumulative Preferred Stock
FMCCS8.550.00Variable Rate NonCumulative Perpetual Preferred Stock
FMCCT9.800.006.42% NonCumulative Perpetual Preferred Stock
FMCKO4.890.005.9% NonCumulative Perpetual Preferred Stock
FMCCI9.190.00Variable Rate NonCumulative Preferred Stock
FMCCH9.690.005.1% NonCumulative Preferred Stock, issued on September 23, 1998
FMCCG8.780.00Variable Rate NonCumulative Preferred Stock
FMCKK9.000.005% NonCumulative Preferred Stock
FMCKI5.060.006.55 % Non-Cum Perp Pfd Shs
FMCKN4.800.005.66% Non-Cumulative Perpetual Preferred Stock
FMCKJ6.250.008 3/8 % Fxd-to-Fltng Non-Cum Perp Pfd Shs
FREJP9.700.005.30% Pfd Shs

Business Description

Industry: Banks » Specialty Finance    NAICS: 522292    SIC: 6111
Compare:NYSE:NSM, NYSE:WD, NAS:TREE, NYSE:KREF, OTCPK:FNLIF, NYSE:HTGC, NYSE:GSBD, NYSE:HTH, NYSE:PHH, OTCPK:EQGPF, NYSE:EFC, OTCPK:HMCBF, NYSE:PFSI, NAS:ATAX, NYSE:AI, NYSE:OCN, AMEX:IMH, NAS:MRLN, NAS:MRCC, OTCPK:MAMTF » details
Traded in other countries:FMCC.Argentina, FHL.Germany,
Headquarter Location:USA
Federal Home Loan Mortgage Corp provides credit guarantees for residential mortgages originated by mortgage lenders and invests in mortgage loans and mortgage-related securities. Its segments are single-family guarantee, investments, and multifamily.

Freddie Mac is the smaller of the two government-sponsored entities that buy and guarantee conforming mortgages in the U.S. The firm also buys and guarantees loans in the multifamily housing market. Freddie Mac is currently operating under conservatorship, with the FHFA in the position to sign off on all major decisions.

Top Ranked Articles about Federal Home Loan Mortgage Corp

Freddie Mac Announces Record ACIS Transactions

Reaches $5 Billion ACIS Issuance Milestone

MCLEAN, VA--(Marketwired - Jun 30, 2016) - Freddie Mac (OTCQB: FMCC) announced today that it has obtained three new insurance policies under its successful Agency Credit Insurance Structure (ACIS®) program, representing the largest aggregate transaction to date. Together, they provide up to a combined maximum limit of approximately $788 million of losses on single-family loans and transfer much of the remaining credit risk associated with three of the Structured Agency Credit Risk (STACR®) debt issuances this year, STACR 2016-DNA2, STACR 2016-HQA2, and STACR 2016-DNA3. These transactions are transferring a significant portion of mortgage credit risk on approximately $75 billion of unpaid principal balance (UPB) on single-family mortgages. Through ACIS, Freddie Mac obtains insurance policies that transfer to insurance and reinsurance companies around the globe, a portion of the credit risk associated with its STACR debt note reference pools. Freddie Mac has placed over $5 billion in insurance coverage through 20 ACIS transactions since the program's inception in 2013.  "We are pleased to have reached another significant issuance milestone in our single-family credit risk transfer program," said Kevin Palmer, senior vice president of single-family credit risk transfer for Freddie Mac. "Our evolving and maturing ACIS program continues to attract a growing amount of capital from domestic and foreign insurers and reinsurers, as evidenced by the record number of counterparties who helped to make today's announcement possible. We continue to work to strengthen our credit risk transfer programs to shift additional mortgage credit risk away from taxpayers and provide new opportunities for investors." Aon Benfield CEO Eric Andersen added, "We have a strong and long-standing relationship with Freddie Mac, and are excited to have helped them to reach this important milestone in credit risk transfer. After a period of educating insurers and reinsurers on U.S. mortgage credit risk, we have found they have become comfortable and very receptive to this new line of business. We are pleased to have the opportunity to continue to work alongside Freddie Mac to create sustainable re-insurance capacity in this sector, and consequently an ever more stable U.S. housing market environment." Freddie Mac has led the market in introducing new risk-sharing initiatives with STACR, Whole Loan Securities (SM) (WLS(SM)) and ACIS, and was the first agency to market these types of credit risk transfer transactions. The company has since grown its investor base to approximately 200 unique investors, including insurers and reinsurers. Since 2013, the company has transferred a substantial portion of credit risk on more than $525 billion of UPB on single-family mortgages. Additional information about the company's single-family risk sharing offerings is at http://www.freddiemac.com/creditriskofferings/. Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for one in four home borrowers and is the largest source of financing for multifamily housing. Additional information is available at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog FreddieMac.com/blog.







Read more...
Mortgage Rates Touch New 2016 Lows

MCLEAN, VA--(Marketwired - Jun 30, 2016) - Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing average fixed mortgage rates dropping to new 2016 lows in the wake of the Brexit vote. At 3.48 percent, the 30-year fixed-rate mortgage is only 17 basis points from its November 2012 all-time record low of 3.31 percent. News Facts

30-year fixed-rate mortgage (FRM) averaged 3.48 percent with an average 0.5 point for the week ending June 30, 2016, down from last week when it averaged 3.56 percent. A year ago at this time, the 30-year FRM averaged 4.08 percent. 



15-year FRM this week averaged 2.78 percent with an average 0.4 point, down from last week when it averaged 2.83 percent. A year ago at this time, the 15-year FRM averaged 3.24 percent. 



5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.70 percent this week with an average 0.5 point, down from last week when it averaged 2.74 percent. A year ago, the 5-year ARM averaged 2.99.

Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following link for the Definitions. Borrowers may still pay closing costs which are not included in the survey. Quote

Attributed to Sean Becketti, chief economist, Freddie Mac. "In the wake of the Brexit vote, the yield on the 10-year U.S. Treasury bond plummeted 24 basis points. The 30-year mortgage rate declined as well, but not by as much, falling 8 basis points to 3.48 percent. This week's survey rate is the lowest since May 2013 and only 17 basis points above the all-time low recorded in November 2012. This extremely low mortgage rate should support solid home sales and refinancing volume this summer." Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for one in four home borrowers and is the largest source of financing for multifamily housing. Additional information is available at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog FreddieMac.com/blog. Image Available: http://www2.marketwire.com/mw/frame_mw?attachid=3028850









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Freddie Mac Announces First Structured Sale of Seasoned Loans

MCLEAN, VA--(Marketwired - Jun 29, 2016) - Freddie Mac (OTCQB: FMCC) today announced a $199 million pilot structured sale of seasoned loans it currently guarantees and holds in its mortgage-related investments portfolio. The collateral is comprised of Option ARMs and loans that were originated as Option ARMs but have since been modified pursuant to a HAMP or proprietary modification. The majority of the loans have payment histories that are less than six months current or are moderately delinquent. The loans are currently serviced by JP Morgan Chase Bank, N.A. This transaction is a two-step process. The initial step involves the sale of loans via a competitive bidding process, subject to a securitization term sheet. The sale will be executed on the basis of economics, subject to meeting Freddie Mac's internal reserve levels. In the second step, the purchaser of the loans will, upon completion of collateral due diligence, securitize the loans. Freddie Mac will guarantee and purchase the senior tranches of the securitization. Freddie Mac may retain or sell the guaranteed senior tranches. The first loss subordinate tranche will be initially retained by the loan purchaser. This transaction expands Freddie Mac's fully guaranteed re-performing loan (RPL) securitization program (approximately $24 billion securitized to date) and non-performing loan (NPL) sales program ($4.3 billion sold and settled through March 31, 2016). RPLs are loans that were previously delinquent but are performing again, in many cases as a result of receiving a modification. NPLs are loans that have been delinquent for an extended period, typically one year or longer. The RPL securitization program and NPL sales program are a key part of Freddie Mac's strategy to reduce less liquid assets in its mortgage-related investments portfolio, shed credit and market risk via economically reasonable and well-controlled transactions, potentially improve borrower outcomes in the event of a default and promote neighborhood stability. It is a key requirement of this transaction that the buyer of the subordinate tranche must be an investor with substantial experience managing "high-risk" mortgage loans as well as substantial experience in securitizations. As part of this seasoned loan sale, the servicing of the loans will be in accordance with requirements similar to those applicable to the sale of NPLs. Advisors to Freddie Mac on this transaction are Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and First Financial Network, Inc. Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for approximately one in four home borrowers and is the largest source of financing for multifamily housing. Additional information is available at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog FreddieMac.com/blog







Read more...
99 of Top 100 Housing Metros Improve Year Over Year

MCLEAN, VA--(Marketwired - Jun 29, 2016) - Freddie Mac (OTCQB: FMCC) today released its Multi-Indicator Market Index® (MiMi®), showing the spring homebuying season staying on course in most areas of the country, with two additional metros -- Charlotte, North Carolina, and Knoxville, Tennessee -- entering their benchmark ranges. The national MiMi value stands at 84.1, indicating a housing market that's on the outer range of its historic benchmark level of housing activity, with a 0.27 percent improvement from March to April and a three-month improvement of 1.63 percent. On a year-over-year basis, the national MiMi value has improved 7.37 percent. Since its all-time low in October 2010, the national MiMi has rebounded 42 percent, but remains significantly off from its high of 121.7. News Facts:

Thirty-six of the 50 states plus the District of Columbia have MiMi values within range of their benchmark averages, with the District of Columbia (102), Hawaii (97.4), Utah (95.9) and Colorado, Montana and Oregon all having the same value (95.8) and being closest to their benchmark averages.
Sixty-seven of the 100 metro areas have MiMi values within range with Nashville, TN (99.9), Honolulu, HI (99.8), Salt Lake City, UT (99.0), Los Angeles, CA (98.6) and Austin, TX (102.6) ranking in the top five.
The most improving states month over month were Mississippi ( 1.29%), Tennessee ( 1.27%), Massachusetts ( 1.15%), Florida ( 0.98%) and Nebraska ( 0.97%). On a year-over-year basis, the most improving states were Florida ( 15.34%), Colorado ( 14.73%), Nevada ( 14.62%), Oregon ( 14.46%) and New Jersey ( 13.48%).
The most improving metro areas month over month were Lakeland, FL ( 2.06%), Chattanooga, TN ( 2.04%), Modesto, CA ( 1.83%), Orlando, FL ( 1.82%), and New Haven, CT ( 1.78%). On a year over year basis, the most improving metro areas were Orlando, FL ( 20.17%), Tampa, FL ( 17.47%), Denver, CO ( 17.39%), Cape Coral, FL ( 16.69%), and Portland, OR ( 15.99).
In April, 42 of the 50 states and 86 of the top 100 metros were showing an improving three-month trend. The same time last year, 46 of the 50 states, and all of the top 100 metro areas were showing an improving three-month trend.

Quote attributable to Freddie Mac Deputy Chief Economist Len Kiefer: "Seven years into the recovery from the Great Recession most of the nation's housing markets remain below their historical benchmarks, but continue to grind higher month-by-month. Nationally, MiMi in April 2016, is 84.1, a 7.37 percent year-over-year increase and the 48th consecutive month of year-over-year increases. Over this four-year timeframe, MiMi has increased 36.5 percent and now stands just 15.9 percent below its historic benchmark average. "Out of the 50 states and the District of Columbia 49 posted positive year-over-year changes. North Dakota and Wyoming, two states heavily reliant on the energy sector, were the only states with year-over-year declines. Out of the 100 metro areas MiMi tracks, 99 posted positive year-over-year gains, with Tulsa, Oklahoma -- also with deep ties to the energy sector -- posting no change year-over-year. "Among the four MiMi indicators, Purchase Applications increased the most in April, rising 1.77 percent from March and up 15.27 percent year over year. The strong positive momentum in home purchase applications is a good sign for a housing market likely to post the best year in home sales since 2006. Despite strong house price growth, the MiMi Payment-to-Income indicator fell 1.05 percent in March, reflecting the impact of lower mortgage rates. If global factors like the Brexit put significant downward pressure on long-term mortgage rates, the U.S. housing market could benefit from increased affordability, helping to partially offset the impact of house prices, which are rising around six percentage points year over year nationally." The 2016 MiMi release calendar is available online. MiMi monitors and measures the stability of the nation's housing market, as well as the housing markets of all 50 states, the District of Columbia, and the top 100 metro markets. MiMi combines proprietary Freddie Mac data with current local market data to assess where each single-family housing market is relative to its own long-term stable range by looking at home purchase applications, payment-to-income ratios (changes in home purchasing power based on house prices, mortgage rates and household income), proportion of on-time mortgage payments in each market, and the local employment picture. The four indicators are combined to create a composite MiMi value for each market. Monthly, MiMi uses this data to show, at a glance, where each market stands relative to its own stable range of housing activity. MiMi also indicates how each market is trending, whether it is moving closer to, or further away from, its stable range. A market can fall outside its stable range by being too weak to generate enough demand for a well-balanced housing market or by overheating to an unsustainable level of activity. For more detail on MiMi see the FAQs. The most current version can be found at FreddieMac.com/mimi. Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for approximately one in four home borrowers and is the largest source of financing for multifamily housing. Additional information is available at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog FreddieMac.com/blog. Image Available: http://www2.marketwire.com/mw/frame_mw?attachid=3028093









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Freddie Mac Issues Monthly Volume Summary for May 2016

MCLEAN, VA--(Marketwired - Jun 28, 2016) - Freddie Mac (OTCQB: FMCC) today issued the company's Monthly Volume Summary for May 2016. The summary, available on the company's website at www.FreddieMac.com/investors/volsum, provides information on Freddie Mac's mortgage-related portfolios, securities issuance, risk management, delinquencies, debt activities and other investments. Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for approximately one in four home borrowers and is the largest source of financing for multifamily housing. Additional information is available at www.FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog www.FreddieMac.com/blog.







Read more...
Freddie Mac Forgoes Issuing a Reference Notes(R) Security on Its June 28, 2016 Announcement Date

MCLEAN, VA--(Marketwired - Jun 28, 2016) - Freddie Mac (OTCQB: FMCC) announced today that it will forgo issuing a Reference Notes® security on its June 28, 2016 announcement date. The company's 2016 Reference Notes calendar designates dates that it may use to announce the issuance of Reference Notes securities. This announcement is not an offer to sell any Freddie Mac securities. Offers for any given security are made only through applicable offering circulars and related supplements, which incorporate Freddie Mac's Annual Report on Form 10-K for the year ended December 31, 2015, filed with the Securities and Exchange Commission ("SEC") on February 18, 2016; all other reports Freddie Mac filed with the SEC pursuant to Section 13(a) of the Securities Exchange Act of 1934 ('Exchange Act") since December 31, 2015, excluding any information "furnished" to the SEC on Form 8-K; and all documents that Freddie Mac files with the SEC pursuant to Sections 13(a), 13(c) or 14 of the Exchange Act, excluding any information "furnished" to the SEC on Form 8-K. Freddie Mac's press releases sometimes contain forward-looking statements. A description of factors that could cause actual results to differ materially from the expectations expressed in these and other forward-looking statements can be found in the company's Annual Report on Form 10-K for the year ended December 31, 2015, and its reports on Form 10-Q and Form 8-K, filed with the SEC and available on the Investor Relations page of the company's Web site at www.FreddieMac.com/investors and the SEC's Web site at www.sec.gov. Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for approximately one in four home borrowers and is the largest source of financing for multifamily housing. Additional information is available at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog.







Read more...
Baby Boomers Poised to Compete for Affordable Rental Housing, Says Freddie Mac 55+ Survey

Over 5 Million Expect to Rent Next Home by 2020

MCLEAN, VA--(Marketwired - Jun 28, 2016) - Freddie Mac (OTCQB: FMCC) -- Baby Boomers and others aged 55 or older, including several million current homeowners, are poised to move to rental units based on estimates from the first Freddie Mac 55 Survey of housing plans and perceptions of people born before 1961. The Freddie Mac 55 Survey shows an estimated 6 million homeowners and nearly as many renters prefer to move again and rent at some point. Of those that expect to move again, over 5 million indicate they are likely to rent by 2020. Majorities of 55 renters (79 percent) and homeowners (83 percent) who expect to rent their next home predict it will cost the same or less than their current one, according to the Freddie Mac 55 Survey. "When a population this large expects to move into less expensive rental housing, we have to expect it will create significant new pressure on both the supply and cost of existing affordable rental housing," said David Brickman, executive vice president, Freddie Mac Multifamily. Other findings from the Freddie Mac 55 Survey found just over half of renters (51 percent) prefer renting over owning. This is especially true among existing multifamily renters (60 percent). The survey also underscores the need for additional affordable rental housing. Specifically, 47 percent of 55 renters say they struggle from payday to payday, while 13 percent admitted they sometimes could not afford basics until their next paycheck. Conducted by GfK on behalf of Freddie Mac, the Freddie Mac 55 Survey is based on responses from nearly 6,000 homeowners and renters. The Survey explored other questions related to the housing preferences, retirement plans and financial concerns of Baby Boomers and those older who rent or own. 55 Renters' Future Housing Preferences and Predictions When asked to predict their future housing situation, significant percentages of 55 renters say: They plan to rent versus buying their next home. Among those 55 renters who plan to move again, 71 percent of respondents plan to rent their next home. For many this may be a renter-by-choice decision as 38 percent say they have enough extra money to go beyond each payday including for savings. Further, more than half (59 percent) think it makes financial sense for people their age to be renters. This view is held by 67 percent of multifamily renters. Their top attractions are affordability, amenities. Among the top "very important" factors influencing their next move, respondents picked affordability (60 percent), amenities needed for retirement (47 percent), living in a community where they are no longer responsible for caring for the property (44 percent) and being in a walkable community (43 percent). They don't want to move far. Among those who plan to move again, 55 renters would like to relocate to a different neighborhood in the same city (31 percent) or a different property in the same neighborhood (23 percent) compared to those who would like to move to a different city in the same state (18 percent) or move to a different state (24 percent). They want family near (or in) their next home. When asked to predict their retirement housing situation nearly six out of ten 55 renters prefer to either move closer to their families or in with them. Hispanic single-family renters (44 percent) were most likely to predict they will move closer to family, while multifamily Asian-American renters (40 percent) were most likely to predict they will move in with their children. The Freddie Mac 55 Survey also found significant differences between the housing predictions of 55 ers who haven't retired and the housing choices retirees actually made. For example:

Thirty-four percent of renters predict they will live in their current home for the rest of their lives, but only 7 percent of retired renters say they currently live in the same home.
Forty-six percent of renters predict they will move closer to family in retirement, but of those already retired only 31 percent have done so.
While 12 percent of renters predict they will move in with an adult child, less than half that amount (5 percent) of those already retired are living with one of their adult children.

Methodology GfK conducted an online survey on behalf of Freddie Mac using the GfK KnowledgePanel® from February 10-23, 2016. A total of 5,914 interviews were completed online, including oversamples of African-Americans, Hispanics and Asians, obtained through additional opt-in sample. Interviews were conducted in both English and Spanish. GfK's KnowledgePanel® is the only large-scale online panel based on a representative random sample of the U.S. population. The margin of sampling error was /- 1.27 percentage points for the full sample. Sampling error is higher for subgroups. See the report for the full methodology. Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for one in four homebuyers and is the largest source of financing for multifamily housing. www.FreddieMac.com. Twitter: @FreddieMac Image Available: http://www2.marketwire.com/mw/frame_mw?attachid=3027422









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Freddie Mac Extends Disaster Relief to Eligible Borrowers in West Virginia

MCLEAN, VA--(Marketwired - Jun 27, 2016) - Freddie Mac's (OTCQB: FMCC) full menu of disaster relief policies is now available to homeowners whose homes or place of employment were damaged or destroyed by floods in West Virginia. Freddie Mac's disaster relief policies are available to borrowers with homes in presidentially declared Major Disaster Areas where federal Individual Assistance programs are being made available to affected individuals and households. Freddie Mac is one of the nation's largest investors in residential mortgages. "If your West Virginia home, business or employer was harmed by the floods now is the time to call your mortgage servicer to discuss temporary mortgage relief. Freddie Mac's disaster relief options include forbearance, in some cases for as long as year, for borrowers whose mortgages are owned or guaranteed by Freddie Mac," said Yvette Gilmore, vice president of single-family servicer performance management, Freddie Mac. Freddie Mac disaster relief policies authorize mortgage servicers to help affected borrowers in presidentially declared Major Disaster Areas where federal Individual Assistance programs have been extended. (Servicers and borrowers can find an updated list of these areas at http://www.fema.gov/disasters.) Freddie Mac disaster relief policies include suspending foreclosures by providing forbearance for up to 12 months, waiving penalties or late fees against borrowers with disaster-damaged homes; and not reporting forbearance or delinquencies caused by the disaster to the nation's credit bureaus. Freddie Mac is also reminding servicers to consider borrowers who work in eligible disaster areas, but have homes in unaffected areas, for Freddie Mac's standard relief policies, which include forbearance or mortgage modifications. See http://www.freddiemac.com/singlefamily/service for a description of Freddie Mac disaster relief policies. Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for one in four home borrowers and is the largest source of financing for multifamily housing. Additional information is available at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog FreddieMac.com/blog.







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Freddie Mac June 2016 Outlook

MCLEAN, VA--(Marketwired - Jun 27, 2016) - Freddie Mac (OTCQB: FMCC) released today its monthly Outlook for June showing that low mortgage rates are helping to keeping housing on track despite rapidly rising house prices. It also looks at current projections of homeownership rates in the years to come from among various experts, as well as the latest results on refinance statistics from current homeowners. So far, homeowners aren't using cash-out refinances to overleverage themselves. Outlook Highlights 

Given recent data around Gross Domestic Product, expect growth rebound in the remaining quarters of 2016 to be at 1.9 and 2.3 percent in 2016 and 2017, respectively.
Regardless of May's disappointing employment report, expect unemployment to average 4.9 percent in 2016 and 4.8 percent in 2017.
The house price appreciation forecast for 2016 has increased by 20 basis points to 5.0 percent, and in 2017 by 40 basis points to 4.0 percent.
During the first quarter of this year an estimated $10.9 billion net of home equity were converted to cash during the refinance of conventional prime-credit home mortgages, down from $11.0 billion in the fourth quarter of 2015 and substantially less than during the peak cash-out refinance volume of $84.0 billion during the second quarter of 2006.
Lastly, while there are wide variations in plausible scenarios around the future of the homeownership rate, they require many uncertain parameters, which makes it difficult to say with much confidence how the homeownership rate will evolve. This Outlook looks at these projections and sets the stage for further Freddie Mac analysis in the months to come.





Quote: Attributed to Sean Becketti, Chief Economist, Freddie Mac. "In this month's Outlook, we review recent economic developments and their impact on our projections for the remainder of 2016 and all of 2017. We then shift our focus to the future of the homeownership rate and finally, we highlight recent trends in refinancing. "Despite the increase in cash-out refinances in the recent quarters, there is little risk of overleveraging in the conventional conforming prime market. The median loan-to-value ratio for all prime conventional cash-out refinances was 69 percent in the first quarter of 2016. For comparison, it was 74 percent in 2000, 73 percent in 2001, and 71 percent in 2002. As we mentioned in last month's Insight increased leverage -- including greater utilization of cash-out refinancing -- is an important trend to monitor. The latest quarterly data show no worrisome cash-out trends." Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for one in four home borrowers and is the largest source of financing for multifamily housing. Additional information is available at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog FreddieMac.com/blog.







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Freddie Mac Prices $950 Million Multifamily K-Deal, K-722

MCLEAN, VA--(Marketwired - Jun 24, 2016) - Freddie Mac (OTCQB: FMCC) recently priced a new offering of Structured Pass-Through Certificates (K Certificates), which are backed by underlying collateral consisting of fixed-rate multifamily mortgages with predominantly 7-year terms. The company expects to issue nearly $950 million in K-722 Certificates, which are expected to settle on or about June 29, 2016. 


 


K-722 Pricing


 


Class
 
Principal/Notional Amount (mm)
 
Weighted Average Life (Years)
 
Discounted Margin
 
Coupon
 
Yield
 
Dollar Price


A1
 
$222.314
 
4.99
 
58
 
2.1830%
 
1.7397%
 
101.9978


A2
 
$727.463
 
6.48
 
60
 
2.4060%
 
1.8951%
 
102.9971


X1
 
$949.777
 
5.82
 
185
 
1.3115%
 
3.2220%
 
7.1813


X3
 
$117.796*
 
6.52
 
590
 
1.4471%
 
7.3747%
 
7.6184


* 50% of the Class X3 notional size


 
 
 
 
 
 
 
 
 



Details

Co-Lead Managers and Joint Bookrunners: Merrill Lynch, Pierce, Fenner & Smith Incorporated and Credit Suisse Securities (USA) LLC
Co-Managers: CastleOak Securities, L.P., Jefferies LLC, Morgan Stanley & Co. LLC and Wells Fargo Securities, LLC
Rating Agencies: Fitch Ratings, Inc. and Standard & Poor's Ratings Services

Related Links

The K-722 preliminary offering circular supplement: http://www.freddiemac.com/mbs/data/k722oc.pdf
Freddie Mac Multifamily Investor Presentation
Multifamily Securities Investor Access database of post-securitization data from Investor Reporting Packages

The K-722 Certificates are backed by corresponding classes issued by the FREMF 2016-K722 Mortgage Trust (K-722 Trust) and guaranteed by Freddie Mac. The K-722 Trust will also issue Class X2-A, X2-B, B, C, D and R Certificates, which will not be guaranteed by Freddie Mac and will not back any class of K-722 Certificates.  Freddie Mac Multifamily is a leading issuer of agency-guaranteed structured multifamily securities. K-Deals are part of the company's business strategy to transfer a portion of the risk of losses away from taxpayers and to private investors who purchase the unguaranteed subordinate bonds. K Certificates typically feature a wide range of investor options with stable cash flows and structured credit enhancement. This announcement is not an offer to sell any Freddie Mac securities. Offers for any given security are made only through applicable offering circulars and related supplements, which incorporate Freddie Mac's Annual Report on Form 10-K for the year ended December 31, 2014, filed with the Securities and Exchange Commission (SEC) on February 19, 2015; all other reports Freddie Mac filed with the SEC pursuant to Section 13(a) of the Securities Exchange Act of 1934 (Exchange Act) since December 31, 2014, excluding any information "furnished" to the SEC on Form 8-K; and all documents that Freddie Mac files with the SEC pursuant to Sections 13(a), 13(c) or 14 of the Exchange Act, excluding any information furnished to the SEC on Form 8-K. Freddie Mac's press releases sometimes contain forward-looking statements. A description of factors that could cause actual results to differ materially from the expectations expressed in these and other forward-looking statements can be found in the company's Annual Report on Form 10-K for the year ended December 31, 2014, and its reports on Form 10-Q and Form 8-K, filed with the SEC and available on the Investor Relations page of the company's Web site at www.FreddieMac.com/investors and the SEC's Web site at www.sec.gov. Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Today Freddie Mac is making home possible for one in four home borrowers and is one of the largest sources of financing for multifamily housing. Additional information is available at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog FreddieMac.com/blog.







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Ratios

vs
industry
vs
history
PE Ratio 17.85
FMCC's PE Ratio is ranked lower than
96% of the 1510 Companies
in the Global Specialty Finance industry.

( Industry Median: 14.59 vs. FMCC: 17.85 )
Ranked among companies with meaningful PE Ratio only.
FMCC' s PE Ratio Range Over the Past 10 Years
Min: 8.32  Med: 22.55 Max: 103.75
Current: 17.85
8.32
103.75
PE Ratio without NRI 17.85
FMCC's PE Ratio without NRI is ranked lower than
96% of the 1477 Companies
in the Global Specialty Finance industry.

( Industry Median: 14.63 vs. FMCC: 17.85 )
Ranked among companies with meaningful PE Ratio without NRI only.
FMCC' s PE Ratio without NRI Range Over the Past 10 Years
Min: 8.22  Med: 22.55 Max: 103.75
Current: 17.85
8.22
103.75
PS Ratio 0.43
FMCC's PS Ratio is ranked higher than
97% of the 1586 Companies
in the Global Specialty Finance industry.

( Industry Median: 3.40 vs. FMCC: 0.43 )
Ranked among companies with meaningful PS Ratio only.
FMCC' s PS Ratio Range Over the Past 10 Years
Min: 0.06  Med: 0.41 Max: 63.46
Current: 0.43
0.06
63.46
Price-to-Free-Cash-Flow 0.89
FMCC's Price-to-Free-Cash-Flow is ranked higher than
87% of the 870 Companies
in the Global Specialty Finance industry.

( Industry Median: 12.33 vs. FMCC: 0.89 )
Ranked among companies with meaningful Price-to-Free-Cash-Flow only.
FMCC' s Price-to-Free-Cash-Flow Range Over the Past 10 Years
Min: 0.06  Med: 0.52 Max: 7.72
Current: 0.89
0.06
7.72
Price-to-Operating-Cash-Flow 0.89
FMCC's Price-to-Operating-Cash-Flow is ranked higher than
86% of the 940 Companies
in the Global Specialty Finance industry.

( Industry Median: 10.82 vs. FMCC: 0.89 )
Ranked among companies with meaningful Price-to-Operating-Cash-Flow only.
FMCC' s Price-to-Operating-Cash-Flow Range Over the Past 10 Years
Min: 0.06  Med: 0.52 Max: 7.72
Current: 0.89
0.06
7.72
EV-to-EBIT 135.49
FMCC's EV-to-EBIT is ranked lower than
98% of the 1668 Companies
in the Global Specialty Finance industry.

( Industry Median: 12.52 vs. FMCC: 135.49 )
Ranked among companies with meaningful EV-to-EBIT only.
FMCC' s EV-to-EBIT Range Over the Past 10 Years
Min: -5432.2  Med: 77.4 Max: 2477
Current: 135.49
-5432.2
2477
EV-to-EBITDA 135.49
FMCC's EV-to-EBITDA is ranked lower than
98% of the 1685 Companies
in the Global Specialty Finance industry.

( Industry Median: 11.29 vs. FMCC: 135.49 )
Ranked among companies with meaningful EV-to-EBITDA only.
FMCC' s EV-to-EBITDA Range Over the Past 10 Years
Min: -5432.2  Med: 77.4 Max: 2477
Current: 135.49
-5432.2
2477

Buy Back

vs
industry
vs
history

Valuation & Return

vs
industry
vs
history
Price-to-Intrinsic-Value-Projected-FCF 0.12
FMCC's Price-to-Intrinsic-Value-Projected-FCF is ranked higher than
98% of the 869 Companies
in the Global Specialty Finance industry.

( Industry Median: 0.78 vs. FMCC: 0.12 )
Ranked among companies with meaningful Price-to-Intrinsic-Value-Projected-FCF only.
FMCC' s Price-to-Intrinsic-Value-Projected-FCF Range Over the Past 10 Years
Min: 0.02  Med: 0.45 Max: 38.48
Current: 0.12
0.02
38.48
Price-to-Median-PS-Value 1.03
FMCC's Price-to-Median-PS-Value is ranked lower than
65% of the 1462 Companies
in the Global Specialty Finance industry.

( Industry Median: 1.14 vs. FMCC: 1.03 )
Ranked among companies with meaningful Price-to-Median-PS-Value only.
FMCC' s Price-to-Median-PS-Value Range Over the Past 10 Years
Min: 0.15  Med: 11.9 Max: 135.2
Current: 1.03
0.15
135.2
Price-to-Peter-Lynch-Fair-Value 0.02
FMCC's Price-to-Peter-Lynch-Fair-Value is ranked lower than
99.99% of the 426 Companies
in the Global Specialty Finance industry.

( Industry Median: 1.17 vs. FMCC: 0.02 )
Ranked among companies with meaningful Price-to-Peter-Lynch-Fair-Value only.
FMCC' s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 0.02  Med: 0.77 Max: 1.74
Current: 0.02
0.02
1.74
Earnings Yield (Greenblatt) % 0.74
FMCC's Earnings Yield (Greenblatt) % is ranked lower than
73% of the 2207 Companies
in the Global Specialty Finance industry.

( Industry Median: 5.95 vs. FMCC: 0.74 )
Ranked among companies with meaningful Earnings Yield (Greenblatt) % only.
FMCC' s Earnings Yield (Greenblatt) % Range Over the Past 10 Years
Min: 0.2  Med: 0.5 Max: 1.3
Current: 0.74
0.2
1.3
Forward Rate of Return (Yacktman) % 27.51
FMCC's Forward Rate of Return (Yacktman) % is ranked lower than
99.99% of the 890 Companies
in the Global Specialty Finance industry.

( Industry Median: 11.45 vs. FMCC: 27.51 )
Ranked among companies with meaningful Forward Rate of Return (Yacktman) % only.
FMCC' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: -44.3  Med: -24.6 Max: 27.51
Current: 27.51
-44.3
27.51

More Statistics

Revenue (TTM) (Mil) $19,066
EPS (TTM) $ 0.14
Beta2.06
Short Percentage of Float7.95%
52-Week Range $1.46 - 4.84
Shares Outstanding (Mil)650.05
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