Agency and non-agency/not sold mortgages were neck and neck in early HMDA reporting.

The three main agencies had a little more than 48 percent of early reporter volumes in the 2016 Early Look reports on LendingPatterns™. Non-agency investors and held-in-portfolio share came to a little more than 51 percent. (Percentages refer to mortgage dollars, and do not include purchased mortgages.)

Of the $762 billion in mortgages reported by Early Look lenders as of June 27, 40.7 percent were held in portfolio. Fannie Mae had the largest share of the secondary market agencies, at 21.7 percent ($166 billion), followed by Freddie Mac at 14.2 percent ($108 billion) and Ginnie Mae at 12.2 percent ($93 billion). Non-agency volume trailed at 11.1 percent, and Farmer Mac’s volume was negligible.

The federal agencies are not homogenous, and that shows up in the differences between them. In average loan amount, for instance, Fannie Mae was highest at $245,000 for a first lien while Freddie was right behind at $230,000 and Ginnie Mae trailed at $206,000. Interestingly, Freddie led Fannie on average subordinate lien, at $438,000 to Fannie’s $380,000.

One area where the agencies are homogenous is minority lending. Both Fannie Mae and Ginnie Mae saw 58 percent plus of the loans they bought made to whites while Freddie Mac was slightly higher at 61 percent.

Asians got the highest percentage of mortgage dollars at Freddie Mac (nine percent) and Fannie Mae (8.5 percent), while at Ginnie Mae, Hispanics (10.5 percent) edged out Blacks (10.2 percent).

As expected, all of Ginnie Mae’s buying was in nonconventional government mortgages (48 percent Federal Housing Administration, 50 percent Veterans Administration, two percent Rural Housing Service/Farm Services Agency loans. But the conventional agencies, Freddie and Fannie, each made small amounts of “guvvie” purchases. Fannie Mae bought one basis point worth of RHS/FSA loans, and Freddie had a basis point share in FHA mortgages.

Fannie Mae’s purchases tilted toward refinancings (57 percent, versus 40 percent purchase loans), as did Freddie Mac’s (60 percent to 36 percent) and Ginnie Mae’s (61 percent to 38 percent).

Freddie’s and Fannie’s buys tilted heavily toward upper income borrowers, at 61 percent and 64 percent respectively. Ginnie Mae was much lower, at 32 percent, but a large amount of its purchases (33 percent) fell into the unknown/NA category.

As might be expected, Ginnie Mae showed more volume in low- and moderate-income borrowers, 17 percent combined. Freddie Mac followed, at nearly 12 percent, trailed by Fannie Mae at less than ten percent.

Fannie purchased the most jumbo mortgages, at 18 percent, while Ginnie, at 14 percent, edged out Freddie at 13 percent.

Freddie had the highest percentage of single-family mortgages, at 95 percent. Fannie led the pack on multifamily mortgages, at 7 percent. Ginnie Mae had the most manufactured home purchases, at 1.5 percent.


(Mark Fogarty is a journalist and analyst who has been covering the mortgage industry for more than 30 years.)