Core Insights - The 30-year fixed-rate mortgage (FRM) averaged 6.22% as of November 6, 2025, indicating a slight increase from the previous week's average of 6.17% [1][4] - Compared to a year ago, the current average of 6.22% shows a decrease from 6.79%, suggesting an improvement in affordability for homebuyers [1][4] - The 15-year FRM averaged 5.50%, up from 5.41% the previous week, and down from 6.00% a year ago [4] Mortgage Market Overview - The PMMS® focuses on conventional, conforming, fully amortizing home purchase loans for borrowers with excellent credit who put 20% down [2] - Freddie Mac's mission is to enhance liquidity, stability, and affordability in the housing market across all economic cycles [3]

Financial Data and Key Metrics Changes - GAAP net loss for Q3 2025 was $22 million or $0.27 per share, with GAAP book value at $20.24 per share [11] - Economic return on GAAP book value was negative 1.4% for Q3, while year-to-date return was 8.3% [11] - Economic net interest income for Q3 was $69 million, with a yield on average interest-earning assets of 5.9% and an average cost of funds of 4.5% [11] Business Line Data and Key Metrics Changes - Home Express originated $2.4 billion by UPB in Q3, up 36% year-over-year, with expectations of around $1 billion in Q4 originations [9][10] - For 2026, projected originations are between $4 billion and $4.4 billion, with pre-tax earnings of $62 million to $80 million [10] Market Data and Key Metrics Changes - The non-QM market share is expected to grow from 1.1% in 2021 to 5.1% or more than $100 billion in 2025, indicating a five-fold increase [5] - Primary mortgage rates declined approximately 35 basis points to 6.32%, leading to a rise in refinance activity [18] Company Strategy and Development Direction - The acquisition of Home Express for $267 million is aimed at enhancing earnings, diversifying revenue streams, and supporting long-term growth [9][10] - The company is focused on building a balanced and diversified portfolio, reducing reliance on residential credit [21] Management's Comments on Operating Environment and Future Outlook - The U.S. economy remains mixed but resilient, with growth supported by non-residential investment and gradual cooling in labor conditions [17] - The Federal Reserve has shifted to a more growth-oriented policy, cutting rates to support employment [17] Other Important Information - The company ended Q3 with $752 million in total cash and unencumbered assets, up from $561 million at the end of Q2 [12] - The acquisition of Home Express is expected to create synergies and enhance the company's asset management capabilities [25] Q&A Session Summary Question: Can you walk through the change in book value? - Management explained that the change was due to a lag in the timing of spreads changing in the securitization markets compared to the loan market, along with the steepening yield curve affecting securitized debt more significantly [29][30] Question: What is the update on book value for the quarter? - Management reported a 2.4% increase in book value through October 31 [31] Question: Is Goodwill $120 million from the acquisition? - Management confirmed that the total premium was above the $120 million book value, with ongoing evaluations for purchase accounting [32] Question: How will Home Express's earnings impact dividends? - Management indicated that the board will consider various factors regarding the retention of earnings for growth versus dividend payouts [36][37] Question: What are the near-term expectations for loan retention and securitization? - Management stated the intent to retain loans without disrupting existing partnerships, with expectations of one securitization per quarter [40][42]

Core Insights - Mortgage interest rates experienced significant fluctuations last week, leading to a decrease in demand for mortgage applications [1][2] - The average contract interest rate for 30-year fixed-rate mortgages rose to 6.31% from 6.30%, with notable volatility following Federal Reserve announcements [2] - Refinance applications dropped by 3% week-over-week, although they remain 151% higher than the same week last year, indicating a strong year-over-year demand despite recent rate changes [3] Mortgage Market Trends - Total mortgage application volume fell by 1.9% compared to the previous week, reflecting the impact of rising interest rates [1] - The average loan size for refinance applications reached its highest level in six weeks, as borrowers with larger loans sought to reduce monthly payments [4]

Core Insights - Mortgage rates have seen a slight decrease, with the average 30-year fixed rate at 6.08% and the 15-year fixed rate at 5.62% [1][15] Mortgage Rates Overview - Current national average mortgage rates include: - 30-year fixed: 6.08% - 20-year fixed: 5.89% - 15-year fixed: 5.62% - 5/1 ARM: 6.41% - 7/1 ARM: 6.48% - 30-year VA: 5.67% - 15-year VA: 5.19% - 5/1 VA: 5.53% [4] Refinance Rates - Today's mortgage refinance rates are generally higher than purchase rates, with national averages rounded to the nearest hundredth [3] Market Trends - Mortgage rates are expected to remain stable in a tight range over the next few months, with potential Federal Reserve actions influencing short-term rates but likely having minimal impact on mortgage rates [17] - There has been a general downward trend in mortgage rates since the government shutdown, with current rates lower than a year ago according to Freddie Mac data [18] Mortgage Types and Characteristics - 30-year fixed mortgages offer lower monthly payments and predictable costs, but come with higher interest rates over the loan's life compared to shorter terms [7][9] - 15-year fixed mortgages have higher monthly payments but lower interest rates, allowing borrowers to pay off their loans faster and save on interest [10][11] - Adjustable-rate mortgages (ARMs) provide lower initial rates but carry the risk of rate increases after the introductory period, making long-term costs unpredictable [12][13]

Core Insights - Rocket Companies, Inc. (RKT) reported earnings per share (EPS) of $0.07 and revenue of $1.78 billion, indicating a strong financial performance [1] - Following the earnings release, the company's stock experienced a rise of 5.65% [1] Financial Performance - The reported EPS of $0.07 reflects the company's profitability during the reporting period [1] - Revenue of $1.78 billion demonstrates significant sales performance, contributing to the overall positive financial results [1] Market Reaction - The stock price increase of 5.65% on the day of the earnings release suggests a favorable market response to the financial results [1]

Core Insights - Rocket Companies, Inc. (NYSE: RKT) reported earnings per share (EPS) of $0.07 and revenue of $1.78 billion, indicating a strong performance that exceeded market expectations [1] - Following the earnings release, the company's stock experienced a notable increase of 5.65% [1] Financial Performance - The reported EPS of $0.07 reflects the company's profitability during the reporting period [1] - Revenue of $1.78 billion demonstrates a solid financial performance, contributing to investor confidence [1] Market Reaction - The stock price increase of 5.65% on the day of the earnings release suggests positive market sentiment and investor optimism regarding the company's future prospects [1]

Financial Data and Key Metrics Changes - For Q3 2025, the company reported GAAP net income of $131 million, or $5.78 per basic share, benefiting from lower interest rates and tighter spreads, despite softer home price appreciation projections [5] - Adjusted net income for Q3 was $33 million, or $1.33 per share, representing a significant sequential improvement and more than double the level from a year ago [5][14] - Year-to-date, funded volumes increased by over 28%, and adjusted net income grew from $9 million in 2024 to $60 million in the first nine months of 2025, translating to $2.33 of adjusted earnings per share [6][15] - Adjusted EBITDA for the first nine months of 2025 was $114 million, a 171% improvement compared to the same period a year ago [6] Business Line Data and Key Metrics Changes - Origination performance remained robust, with funded volume reaching $603 million and submission volume reaching $887 million for Q3, compared to $764 million in the same period last year [10] - By the end of October 2025, the company funded $1.97 billion in reverse mortgages, surpassing the entire 2024 production of $1.92 billion [10] - Unique web leads increased by 16% quarter over quarter, and customer email retention increased by 36% since the AAG platform acquisition [12] Market Data and Key Metrics Changes - The company completed over $3 billion in securitizations during the quarter, including a nearly $2 billion securitization in September, the largest in its history [7][16] - The market for securitizations has been performing well, with tight spreads and good demand, leading to a different class of investors participating in larger deals [25][26] Company Strategy and Development Direction - The company is focused on operational excellence, proactive balance sheet management, and long-term growth, with investments in digital innovation, AI, and data analytics [5][8] - A strategic partnership with Better.com was announced to expand product offerings and enhance technology capabilities [7][12] - The company aims to define the future of home equity solutions, enhancing productivity and expanding operating leverage through digital automation and AI [13][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a 60% year-over-year increase in adjusted EPS guidance for 2026, driven by strong momentum in lead generation and digital engagement [18][19] - The company anticipates volume growth of 20%-25% year over year for 2026, supporting adjusted earnings per share guidance of $4.25-$4.75 [17] Other Important Information - The company repaid $85 million of higher-cost working capital facilities and entered into an agreement to repurchase Blackstone's equity stake in FOA [6][7] - Cash and cash equivalents increased from $46 million as of June 30 to $110 million as of September 30, providing liquidity for upcoming corporate bond payments [7][16] Q&A Session Summary Question: Update on the buyback completion timeframe - The buyback has not been completed yet, but it is on track to begin later this month and into December [21] Question: Cash total and uses of current cash position - The cash total for the buyback is about $80 million, with $110 million on hand at the end of September and $60 million available to be redrawn [23][24] Question: Securitization cadence and market update - The company typically aims for one large securitization each quarter, with a smaller securitization expected to complete this month; the market is performing well with tight spreads and good demand [25][26] Question: Cash generation in a typical year - The company expects that within 24 to 36 months after posting PTI, the earnings will turn to cash, with approximately $300 million of residuals and retained securities on the balance sheet [29][32] Question: New capitalization and share count - The total shares outstanding will decrease from about 31 million to approximately 24 million after the buyback and convertible notes [33] Question: Cash earnings per share - The company indicated that with $100 million in PTI, it would generate about $4 per share in cash earnings [34]

Core Insights - Freddie Mac sold 25 deeply delinquent non-performing residential first lien loans (NPLs) to Revolve Capital LLC for approximately $4.9 million as part of its Extended Timeline Pool Offering (EXPO) [1][2] - The transaction is expected to settle in December 2025, with marketing efforts beginning on September 25, 2025 [1] Group 1: Loan Details - The loans have an average delinquency of 22 months and an average loan balance of $196,000 [3] - Approximately 42% of the aggregate pool balance consists of previously modified mortgages that became delinquent [2] - The unpaid principal balance (UPB) weighted combined loan-to-value (CLTV) is 56%, while the broker price opinion (BPO) weighted CLTV is 50% [3] Group 2: Transaction Context - Freddie Mac's seasoned loan offerings aim to reduce less-liquid assets in its mortgage-related investments portfolio [4] - Since 2011, Freddie Mac has sold $10.7 billion of NPLs and securitized approximately $81.7 billion of re-performing loans (RPLs) [4] - The servicing requirements for these transactions focus on improving borrower outcomes and stabilizing communities [4]

Core Points - Jyske Realkredit plans to conduct auctions for refinancing on loans in cover pool E from November 17 to November 21, 2025, with a total refinancing amount of 4,400 million DKK for each auction day [1][3][10] Auction Details - The auctions will take place daily from 09:30 to 10:00, with allocation results expected shortly after the closing time [1][6] - Bids must be made in multiples of DKK 1,000,000, with specific decimal accuracy depending on the bond maturity [5] - All auctioned bonds are rated AAA by S&P, indicating a high credit quality [10] Reverse Facility - A reverse facility will be available for participants needing bonds sooner than the long settlement period, allowing for the sale and subsequent repurchase of allotted bonds [8][9] - The size of the reverse facility will be determined individually and cannot exceed the amount allotted to each bidder [9] Technical and Regulatory Considerations - If technical issues arise during the auction, Jyske Realkredit will issue a stock exchange announcement with details [11] - The company is not obligated to sell the announced offering, and changes may occur based on loan disbursements during the auction period [12][13]

Mortgage Rate & Refinance Opportunities - 30-year fixed mortgage rates have decreased to around 65%, potentially leading to savings for homeowners with 7-8% mortgages [1] - Approximately 20 million Americans currently hold mortgages above 7% [2] - Refinancing at an average rate of 65% (or 62% on bettercom) could save borrowers with a $400000 loan balance around $3200 per year [3] Bettercom's AI-Driven Efficiency - Bettercom's mortgage origination cost is $3000, significantly lower than the industry average of $12000, attributed to AI-powered automation [4][5] - Bettercom's AI loan officer, Betsy, is trained on 12 million phone calls and can handle various tasks, including calculating savings and understanding underwriting criteria [6] - Betsy operates 24/7, offering continuous service [7] Competitive Landscape & Home Equity - American families hold $32 trillion in tapable home equity with $18 trillion in debt, half of which was accumulated since the pandemic [7][8] - Refinancing through home equity lines of credit can save families an average of $1000 per month [8] - Bettercom's direct-to-consumer home equity product, launched in 2023, is already two-thirds the size of Figure's [8] - Bettercom's valuation is around $1 billion, while Figure's valuation is approximately 8 to 9 billion [9] Technological Advantage - Bettercom utilizes Tinman, an end-to-end mortgage system built from the ground up, unlike the industry standard of using multiple disparate systems [12] - The Tinman system allows for AI integration across all tasks, leading to significant cost reduction and consumer savings [14][15]