Freddie Purchases Jump in Month

Freddie Mac purchased $44 billion in mortgages from its seller/servicers in December, a handsome 58% spike from November, according to new figures released by the company. For the full year, the government-controlled GSE bought $548 billion of loans from its customers, a 19% jump in acquisitions. Meanwhile, its total delinquencies climbed to 3.87% during the month, more than double the rate a year ago. Its retained portfolio fell to $755.3 billion at year-end, a 1% decline from the previous month. However, as the Federal Reserve begins to exit the GSE MBS market, Freddie and its sister company, Fannie Mae, could wind up buying more MBS for its balance sheet. Fannie is expected to release its monthly purchase numbers shortly. Both will report earnings in February but an exact date has not been released.