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Freddie Mac recorded a net income of $3.2 billion for Q4 2024 and $11.9 billion for the full year 2024, it reported this morning. The full-year net income figure marked an increase of 13% from 2023. Comprehensive income increased 11% from 2023 to $11.9 billion.
In its earnings call, Freddie Mac’s Executive Vice President and Chief Financial Officer
James Whitlinger noted that the GSE delivered its strongest earnings since 2021, with its net worth reaching nearly $60 billion.
“We also continued to support other market participants,” Whitlinger added during the call. “For example, last year alone, Freddie Mac acquired more than 1 million loans from over 1,000 lenders of all sizes across the country. We packaged those loans into mortgage-backed securities (MBS) that attracted investors from around the world to support U.S. housing.”
Freddie Mac purchased loans for cash and issued MBS totaling more than $411 billion in 2024, up 18% from 2023, Whitlinger added. The proceeds enabled Freddie Mac to help nearly 1.6 million families buy, refinance or rent a home. Fifty-two percent of the primary home purchases Freddie financed went to first-time homebuyers, and 53% of all the home loans it financed were affordable to low- and moderate-income families.
Freddie also financed 553,000 rental units, with 93% of eligible units affordable to low- to moderate-income families.
“Full-year net revenues of $23.9 billion were up $2.7 billion, or 13%, year over year. Our 2024 net interest income of $19.7 billion was up 6% year over year primarily driven by continued mortgage portfolio growth, which rose 3% year over year, and lower funding costs driven by our increase in our net worth, which grew by 25% year over year,” said Whitlinger.
Freddie’s total mortgage portfolio grew 3% year over year to $3.6 trillion at the end of 2024, which the GSE says was driven by a 2% increase in its single-family mortgage portfolio and a 6% increase in its multifamily mortgage portfolio.
Fourth-quarter results
Shifting into Q4 2024’s numbers, Whitlinger reported that Freddie Mac raked in a net income of $3.2 billion, an increase of $308 million or 11% from Q4 2023.
Net revenue for the fourth quarter totaled $6.3 billion, an increase of $956 million, or 18%, year over year, which was “driven by increases in both net interest income and non-interest income.”
Fourth quarter net interest income of $5.1 billion was up 6% from the prior-year quarter. The increase in net interest income was primarily driven by continued mortgage portfolio growth and lower funding costs due to increasing net worth, Whitlinger stated.
Single-family and multifamily results
Freddie Mac’s single-family segment reported full-year net income of $9.4 billion, an increase of $318 million, or 4%, from the prior year. For Q4 2024, net revenues for single-family were $5.2 billion, up 9% year-over-year. Net interest income was $4.7 billion, up 4% year-over-year.
The GSE’s multifamily segment had a Q4 2024 net income of $0.7 billion, up from $0.3 billion in Q4 2023. For the full year 2024, the segment posted a net income of $2.5 billion, up 67% year-over-year.
