MCLEAN, Va., Dec. 18, 2025 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) today announced that its offer to investors to exchange certain eligible Gold PCs and Giant PCs for TBA-eligible and non-TBA-eligible mirror securities will close on December 18, 2026. Freddie Mac announced the opening of the exchange offer on May 7, 2019. Investors can refer to the Exchange Offer Circular (available at Legal Documentation - Capital Markets) for the terms and conditions pertaining to the exchange offer. Additional info ...

The Trump administration’s goal of releasing housing giants Fannie Mae and Freddie Mac from government control will take far longer than many investors realize, according to a new Bloomberg Intelligence report https://t.co/NAwFxnlvHv ...

Mortgage Rates Overview - Current average mortgage rates are stable, with the 30-year fixed rate at 6.05% and the 15-year fixed rate at 5.52% [1] - The 20-year fixed rate is slightly higher at 6.06%, while adjustable-rate mortgages (ARMs) like the 5/1 ARM and 7/1 ARM are at 6.31% and 6.30% respectively [6] Mortgage Refinance Rates - Today's refinance rates show a similar trend, with the 30-year fixed refinance rate at 6.18% and the 15-year fixed refinance rate at 5.62% [7] - Refinance rates can sometimes be higher than purchase mortgage rates, indicating variability in the market [3] Factors Influencing Mortgage Rates - Mortgage rates are influenced by both controllable and uncontrollable factors, including borrower credit scores, debt-to-income ratios, and overall economic conditions [10][11] - A strong economy typically leads to higher mortgage rates, while a struggling economy may result in lower rates to encourage borrowing [12] Types of Mortgages - Fixed-rate mortgages lock in the interest rate for the entire loan term, while adjustable-rate mortgages have an initial fixed period followed by periodic adjustments [8] - The 30-year fixed mortgage is popular for its lower monthly payments, but it incurs more interest over time compared to a 15-year fixed mortgage, which has higher monthly payments but lower overall interest costs [13][14] Current Market Insights - Banks like Chase and Citibank are noted for offering some of the lowest median mortgage rates, emphasizing the importance of shopping around for the best rates [16] - Historical context shows that the lowest-ever 30-year fixed mortgage rate was 2.65% in January 2021, with current rates unlikely to dip below 3% in the near future [18]

Core Insights - The article provides a market analysis focusing on the S&P 500 and the State Street® Utilities Select Sector SPDR® ETF, highlighting trends and performance metrics in the current investment landscape [1] Group 1: S&P 500 Analysis - The S&P 500 has shown significant fluctuations, reflecting broader economic conditions and investor sentiment [1] - Recent performance metrics indicate a potential upward trend, with key sectors contributing to this growth [1] Group 2: State Street® Utilities Select Sector SPDR® ETF - The State Street® Utilities Select Sector SPDR® ETF has experienced notable changes in its valuation, driven by shifts in utility sector performance [1] - The ETF's performance is closely tied to interest rate movements and regulatory changes impacting the utilities sector [1]

Market Overview - The real estate market is expected to be calmer heading into 2026, but not significantly cheaper or easier for buyers and sellers [1] - Expert predictions indicate that preparation, flexibility, and local conditions will be more important than timing the market [1] Mortgage Rates - As of December 11, 2025, the average 30-year fixed mortgage rate is 6.22%, which is lower than its peak but still high compared to pandemic-era rates [2] - Predictions for 2026 suggest mortgage rates may decrease, with estimates ranging from the low- to mid-6% range, and Fannie Mae forecasting a rate of 5.9% by the end of the year [3][4] - Small rate drops may not significantly alleviate the burden of high home prices, property taxes, and insurance costs [5] Home Prices - Home prices are expected to experience modest growth, with national values projected to rise about 1.2% in 2026 according to Zillow, and Redfin predicting roughly 1% growth [7] - The resilience of home prices is attributed to ongoing supply shortages, with inventory not returning to pre-pandemic levels [8] - A nationwide collapse in home prices is unlikely, as many markets still face tight supply [9] Rental Market Dynamics - The rental market provided some relief in 2025, with new apartment supply leading to higher vacancies and softer rents [11][12] - Developers are expected to slow construction in 2026, which may lead to firmer rents in areas with lagging supply [13] - Renting is increasingly viewed as a viable strategy for many households due to high home prices [14] Buyer and Seller Dynamics - The housing market appears more favorable to buyers on paper, with homes spending longer on the market, but local inventory levels still dictate seller advantages in many areas [16][17] - The experience of buyers can vary significantly based on local market conditions, with some able to negotiate better terms while others face competition from cash offers [19][20] Preparation for Buyers - Renters aiming to buy in 2026 should focus on reducing monthly obligations and improving credit scores, as lenders are closely monitoring these factors [21][22] - Buyers are encouraged to build savings and consider cash reserves to ensure they can comfortably manage future mortgage payments [25][26] Homeowner Considerations - Homeowners are sitting on significant equity and low mortgage rates, which complicates decisions about moving or refinancing [30][31] - Inventory levels are rising but still fall short of pre-pandemic numbers, making personal financial calculations more relevant than national trends [32][35] - Homeowners should focus on aligning their buying plans with their financial situations and long-term goals [35][36]

Group 1: AI Automation and Technology in Lending - OptiFunder has introduced a fully connected warehouse ecosystem that automates the warehouse lifecycle, enhancing collaboration between originators and warehouse lenders, resulting in lower risk and faster strategies [1] - Usherpa is positioning itself as a Relationship Engagement Platform to meet lenders' needs for automation, open integrations, and personalized support, aiming to improve engagement and relationships for loan officers and marketing teams [2] - Laminr Technologies' automated bank statement income analysis is now accepted by multiple investors, significantly improving underwriting efficiency by over 50% and simplifying the non-QM underwriting process [3] Group 2: UAD 3.6 Implementation and Impact - UAD 3.6 has been successfully implemented, modernizing the appraisal process and enabling faster, more accurate appraisals through a single dynamic report driven by property characteristics [7][8] - The adoption of UAD 3.6 is expected to lead to cleaner appraisal data, supporting faster reviews and greater confidence in collateral risk assessment, which can result in lower costs and shorter cycle times for mortgage originators [9] - Lenders are encouraged to prepare for UAD 3.6 adoption to avoid hidden costs associated with delays, such as manual reviews and vendor misalignment, positioning themselves for efficiency and scale [10][11] Group 3: Economic Indicators and Labor Market - The U.S. labor market has shown signs of stagnation, with November payrolls rising by only 64,000, leading to an increase in the unemployment rate to 4.6%, the highest since the post-pandemic period [11] - Despite the labor market's deterioration, markets reacted calmly, reflecting skepticism about data quality and the expectation of further rate cuts by the Federal Reserve in 2026 [12] - Retail sales in October were flat, indicating modest holiday spending expectations, while higher-frequency indicators suggest a potential slip in consumer momentum as the year ends [13][14]

Group 1 - Greystone provided a $36,595,000 Freddie Mac loan to refinance a 476-unit garden-style multifamily community in Houston, Texas [1] - The property, originally developed in 1966, features renovated apartments and townhomes with one-, two-, and three-bedroom layouts [2] - The loan has a fixed 5-year term with full-term interest-only payments, replacing a floating-rate bank loan and facilitating ongoing property renovations [2] Group 2 - The refinancing allows the client to secure long-term, fixed-rate financing while continuing to invest in the property [3] - Greystone is recognized as a leader in multifamily and healthcare finance, ranking as a top lender for FHA, Fannie Mae, and Freddie Mac [3]

Summary of Key Points from the Conference Call Industry Overview - The report focuses on the U.S. economic landscape, particularly in relation to tariffs and fiscal policy ahead of the midterm elections in 2026 [2][5][30]. Core Insights and Arguments - **Cost of Living Concerns**: The cost of living remains the top issue for voters, with 29% citing it as their primary concern, an increase from 25% prior to the 2024 presidential election [2][5]. - **Political Landscape**: Democrats are perceived to have an advantage in the House for the upcoming midterms, while Republicans maintain a safer majority in the Senate [5][30]. - **Tariff Policy**: - The Supreme Court is expected to rule on the legality of tariffs imposed under the International Emergency Economic Powers Act (IEEPA), which could lead to lower tariff rates [2][7][11]. - A decline in the effective tariff rate is anticipated, with projections indicating a reduction of around 2 percentage points (pp) by the end of 2026 [2][18]. - The administration may seek to replace IEEPA tariffs with tariffs under different authorities, potentially capping rates at 15% [2][12]. - **Fiscal Policy**: - A second fiscal package is considered possible but unlikely due to high hurdles in Congress [30][34]. - Proposed measures include extending health insurance subsidies and additional defense spending, but consensus among Republicans is lacking [30][34][36]. - The potential for a $2000/person tariff rebate has not gained traction due to fiscal concerns and opposition to the tariffs [30][35]. Additional Important Content - **Housing Policy**: Executive actions on housing are likely, focusing on government-sponsored enterprises (GSEs) like Fannie Mae and Freddie Mac, with potential adjustments in loan pricing and the introduction of a 50-year mortgage product [3][40]. - **USMCA Review**: The review of the US-Mexico-Canada Agreement (USMCA) in 2026 could lead to lower tariffs on imports from Canada and Mexico, particularly on products subject to sectoral tariffs [28][30]. - **US-China Relations**: The economic relationship with China is expected to stabilize, with a recent agreement to delay export controls and reduce tariffs from 20% to 10% [29][30]. - **Sectoral Tariffs**: Investigations into sectors like pharmaceuticals and semiconductors may not lead to immediate tariff impositions, as the administration is likely to proceed cautiously [23][24]. This summary encapsulates the critical insights and projections regarding U.S. economic policies, particularly in the context of tariffs and fiscal measures leading up to the midterm elections.

Core Viewpoint - Freddie Mac has appointed Kenny M. Smith as its new CEO effective December 17, ahead of a planned share sale by the Trump administration, which is under pressure to make housing more affordable before the 2026 midterm elections [1][3]. Group 1: Leadership Change - Kenny M. Smith, former vice chairman at Deloitte Consulting LLP, will take over from interim CEO Michael Hutchins, who will remain as president [1][4]. - Smith has 27 years of experience at Deloitte, including a significant role as Global Lead Client Service Partner for Wells Fargo from 2008 to 2019 [4]. Group 2: Strategic Context - The leadership change occurs as the Trump administration considers a public offering of shares in Freddie Mac and its sister company Fannie Mae, which together back over half of the US residential mortgage market [3]. - Treasury Secretary Scott Bessent indicated that the IPOs for Freddie Mac and Fannie Mae are expected to occur "sometime" next year [3]. Group 3: Compensation and Vision - As CEO, Smith will receive a base salary of $600,000, as disclosed in an 8-K filing with the Securities and Exchange Commission [4]. - Smith expressed his commitment to expanding access to homeownership and rental housing across the country, highlighting the vital role of Freddie Mac in the housing finance system [2].

Freddie Mac on Tuesday announced that Kenny Smith will be its next chief executive officer effective Dec. 17, replacing interim CEO Michael Hutchins, who will continue in his role as president. https://t.co/JZcyFh2dyt ...