Freddie Breaks Monthly Purchase Record

Freddie Mac purchased a record $73.6 billion in mortgages in October, doubling its volume from the same month a year ago.On a year-to-date basis, the secondary giant has acquired $476.8 billion in mortgages and is well on its way to cracking the $600 billion mark in purchases this year. Unlike its chief competitor, Fannie Mae, Freddie Mac managed to expand its portfolio in October. (Fannie's portfolio shrank by a meager 0.1% during the month. Fannie Mae is the larger of the two secondary giants.) At the end of October, Freddie's portfolio totaled $536.4 billion, a 12.9% increase from the same period a year ago. However, earlier this year Freddie did suffer from two consecutive months of portfolio contraction -- back in April and May. Thanks to the lowest mortgage rates in 40 years, both secondary agencies are due to have record years but have also been plagued by tremendous portfolio run-off. Freddie's purchase commitments slipped to $27.5 billion in October from $34.8 billion in September.