Freddie Mac · OTC:FMCC
Freddie Mac — Federal Home Loan Mortgage Corp (Fmcc, Fmccg, Fmcci, Fmccj, Fmccl, Fmccn, Fmcco, Fmccs, Fmcct, Fmcki, Fmckl, Fmckn, Frejn, Frejo) — Q1 2023 Earnings Presentation
14 slides from Freddie Mac's earnings presentation, May 3, 2023
Slide 1: First Quarter 2023 Financial Results Supplement
© Freddie Mac First Quarter 2023 Financial Results Supplement May 3, 2023 Exhibit 99.2
Slide 2: Financial Highlights
© Freddie Mac 2 Financial Highlights $5.8 $5.4 $5.2 $4.8 $4.8 $3.8 $2.5 $1.3 $1.8 $2.0 Net revenues Net income 1Q22 2Q22 3Q22 4Q22 1Q23 Net revenues and net income $ Billions ▪ Net income of $2.0 billion for the first quarter of 2023, a decrease of 47% year-over-year, primarily driven by lower net r
Slide 3: Mortgage Portfolio Balances
© Freddie Mac 3 $3,299 $3,343 $3,387 $3,415 $3,415 $2,884 $2,928 $2,971 $2,986 $2,989 $415 $415 $416 $429 $426 Single-Family mortgage portfolio Multifamily mortgage portfolio 03/31/22 06/30/22 09/30/22 12/31/22 03/31/23 Mortgage Portfolio Balances Mortgage portfolio1 UPB in $ Billions 4% YoY increas
Slide 4: Conservatorship Matters
© Freddie Mac 4 $39.1 $109.7 $140.2 Net worth Senior preferred stock liquidation preference Remaining Treasury funding commitment As of March 31, 2023 Conservatorship Matters Pursuant to the Purchase Agreement, Freddie Mac will not be required to pay a dividend to Treasury until it has built suffici
Slide 5: Key Economic Indicators
© Freddie Mac 5 National home prices increased by an average of 1.0% over the past year 4.67% 5.70% 6.70% 6.42% 6.32% 0.16% 1.09% 2.47% 4.06% 4.63% 30-year mortgage rate, based on Primary Mortgage Market Survey (PMMS) SOFR 03/31/22 06/30/22 09/30/22 12/31/22 03/31/23 Key Economic Indicators Quarterl
Slide 6: Single-Family Financial Highlights and Key Metrics
© Freddie Mac 6 $2,884 $2,928 $2,971 $2,986 $2,989 1Q22 2Q22 3Q22 4Q22 1Q23 0.73% 0.81% 0.79% 0.94% 0.76% 0.20% 0.19% 0.20% 0.24% 0.20% 0.92% 0.76% 0.67% 0.66% 0.62% One month past due Two months past due Seriously delinquent 1Q22 2Q22 3Q22 4Q22 1Q23 $207 $138 $121 $75 $59 $93 $86 $98 $63 $51 $114 $
Slide 7: Single-Family Loan Purchase Credit Characteristics
© Freddie Mac 7 72% 75% 78% 78% 79% 1Q22 2Q22 3Q22 4Q22 1Q23 45% 62% 80% 84% 86% 33% 28% 16% 12% 9%22% 10% 4% 4% 5% Home purchase Cash-out refinance Other refinance 1Q22 2Q22 3Q22 4Q22 1Q23 746 744 747 747 749 1Q22 2Q22 3Q22 4Q22 1Q23 15% 17% 19% 22% 23% 1Q22 2Q22 3Q22 4Q22 1Q23 New business activit
Slide 8: Single-Family Credit Risk Transfer
© Freddie Mac 8 UPB covered by new CRT issuance $ Billions $208 $151 $136 $58 $15 1Q22 2Q22 3Q22 4Q22 1Q23 Mortgage portfolio with credit enhancement UPB in $ Billions $1,594 $1,726 $1,803 $1,832 $1,840 55% 59% 61% 61% 62% UPB Percentage 03/31/22 06/30/22 09/30/22 12/31/22 03/31/23 Single-Family Cre
Slide 9: Multifamily Financial Highlights and Key Metrics
© Freddie Mac 9 $15 $15 $14 $29 $6 1Q22 2Q22 3Q22 4Q22 1Q23 0.08% 0.13% 0.22% 0.17% 1.26% 0.69% Freddie Mac (60+ day) FDIC insured institutions (90+ day) MF CMBS market (60+ day) 1Q22 2Q22 3Q22 4Q22 1Q23 Multifamily delinquency rates $415 $415 $416 $429 $426 1Q22 2Q22 3Q22 4Q22 1Q23 Multifamily Fina
Slide 10: Multifamily New Business Characteristics
© Freddie Mac 10 Acquisitions of units by area median income (AMI) (% of eligible units acquired) 53% 53% 44% 34% 38% 28% 27% 31% 33% 26% 16% 17% 21% 28% 25% 3% 3% 4% 5% 11% ≤60% >60% to ≤80% >80% to ≤120% >120% 1Q22 2Q22 3Q22 4Q22 1Q23 1.33 1.33 1.31 1.25 1.27 67% 63% 59% 58% 57% Weighted average O
Slide 11: Multifamily Credit Risk Transfer
© Freddie Mac 11 $389 $397 $394 $398 $396 94% 96% 95% 93% 93% UPB Percentage 03/31/22 06/30/22 09/30/22 12/31/22 03/31/23 Mortgage portfolio with credit enhancement UPB in $ Billions $14 $21 $11 $16 $8 1Q22 2Q22 3Q22 4Q22 1Q23 Multifamily Credit Risk Transfer UPB covered by new CRT issuance $ Billio
Slide 12: Housing Market Support
© Freddie Mac 12 49 37 28 22 24 10 8 6 6 7 23 16 12 10 11 16 13 10 6 6 Forbearance and other Payment deferral plans Loan modifications 1Q22 2Q22 3Q22 4Q22 1Q23 Number of families Freddie Mac helped to own or rent a home4 In Thousands Housing Market Support 834 616 542 504 250 412 205 95 52 33 279 26
Slide 13: Endnotes
© Freddie Mac 13 Endnotes 1 Based on unpaid principal balances (UPB) of mortgage loans held-for-investment, mortgage loans held-for-sale, and mortgage loans underlying our mortgage-related guarantees. 2 Includes the initial $1 billion liquidation preference of the senior preferred stock issued to Tr
Slide 14: Safe Harbor Statements
© Freddie Mac 14 Safe Harbor Statements Freddie Mac obligations Freddie Mac’s securities are obligations of Freddie Mac only. The securities, including any interest or return of discount on the securities, are not guaranteed by and are not debts or obligations of the United States or any federal age