Fannie's Monthly Purchases Fall 8%

Fannie Mae purchased $47.9 billion in mortgages during May, an 8% decline from April's total but a slight improvement over that of a year earlier.Through the first five months of 2006, Fannie purchased $243.4 billion in loans from its seller/servicers. Fannie's chief competitor, Freddie Mac, acquired $35 billion in loans during May, an 11% decline from April's level and a 30% drop from that of May 2005. Fannie's retained portfolio continues to shrink, and at month's end it had $733.8 billion in mortgages on its books, an 11% decline from the level recorded a year earlier. At the end of May Freddie Mac had $723 billion in mortgages on its books, up 8% from the level of a year earlier. The figures are based on monthly reports issued by the two government-sponsored enterprises.