Fannie, Freddie, Counterparty Risk and More
Yesterday I posted some excerpt from Freddie Mac's 10-Q: We believe that several of our mortgage insurance counterparties are at risk of falling out of compliance with regulatory capital requirements, which may result in regulatory actions that could threaten our ability to receive future claims payments, and negatively impact our access to mortgage insurance for high LTV loans. The WSJ has more tonight, including the risks to Fannie Mae: Fannie, Freddie Warn on More Losses Fannie Mae has about $109.5 billion of mortgage-insurance coverage in force … Freddie Mac had $63.4 billion in mortgage insurance and $12.2 billion in bond insurance. And this a key sentence: The reduction in private insurance coverage has contributed to the rise in the volume of loans backed by the Federal Housing…(read more)
Related posts:
- Fannie, Freddie Consider Mortgage Write-Downs
- Tab for Fannie, Freddie rescues could soar to $259 billion
- While Foreclosures Persist the Big Question Before the Government is Allowing Fannie and Freddie to Also Persist
- While Foreclosures Persist the Big Question Before the Government is Allowing Fannie and Freddie to Also Persist
- While Foreclosures Persist the Big Question Before the Government is Allowing Fannie and Freddie to Also Persist
