Fannie Mae, the mortgage financier seized by U.S. regulators in 2008, will pay the Treasury Department $10.2 billion after reporting its sixth consecutive quarterly profit on continued recovery in the housing market.
The government-sponsored enterprise, which is operating under federal conservatorship, had net income of $10.1 billion for the three-month period that ended June 30, according to a statement released Thursday.
“Fannie Mae reported a strong second quarter in 2013 driven primarily by continued stable revenues and boosted by a significant increase in home prices in the quarter, which resulted in a reduction in the company’s loss reserves,” the company said in the statement.
After its latest payment, Washington-based Fannie Mae will have sent the Treasury a total of $105 billion, compared with the $117.1 billion of aid the company has received. Freddie Mac, which Wednesday reported a $5 billion quarterly profit, will have paid about $41 billion after drawing $72 billion.
Don Layton, Freddie Mac’s chief executive officer, said his McLean, Va.-based company may send Treasury as much as $28.6 billion within the next two quarters if tax credits it holds have value based on expectation of continued profitability.
Bedford New York Real Estate | Bedford NY Homes by Robert Paul Realtor » Blog Archive » Fannie Mae to pay Treasury $10.2B as housing prices rise | Armonk Homes.