Fannie "Actual Property Owned" stock elevated in This fall; Anticipated to extend additional in 2023

by Calculated Threat on 2/20/2023 01:37:00 PM

Fannie reported results for Q4 2022. Right here is a few data on single-family Actual Property Owned (REOs).

First, a be aware on the pandemic from Fannie:

“In response to the COVID-19 pandemic, various legislative and government actions have been taken by the federal
authorities and state and native governments to help affected debtors and renters and to sluggish the unfold of the
pandemic, together with actions that utilized to the loans we assure. Whereas most of those actions are not in impact,
the COVID-19 nationwide emergency stays in place. In January 2023, the Administration introduced it intends to increase
the COVID-19 nationwide emergency to Could 11, 2023, and finish the emergency on that date. We proceed to supply
forbearance reduction and different house retention options to debtors affected by the COVID-19 pandemic …”
emphasis added

A kind of actions was a foreclosures moratorium that resulted in mid-2021. Since then, foreclosures have elevated barely.

Fannie Mae reported the variety of REOs elevated to eight,779 on the finish of This fall 2022, up 23% from 7,166 on the finish of This fall 2021. For Fannie, that is down 95% from the 166,787 peak variety of REOs in Q3 2010.

Click on on graph for bigger picture.

Here’s a graph of Fannie Actual Property Owned (REO).

That is effectively under a traditional degree of REOs for Fannie, and REO ranges will improve additional in 2023, however there won’t be a huge wave of foreclosures.