Regulator Sets 2016 Performance Goals for Fannie, Freddie

The Federal Housing Finance Agency today issued the metrics on which it will assess the 2016 performance of Fannie Mae, Freddie Mac and their jointly owned securitization platform, which is expected to be implemented for Freddie Mac’s securities in 2016 and for the “Single Security” issued by both GSEs in 2018.

Among other goals, the GSEs will be expected to complete enhancements to their Representation and Warranty Framework, evaluate greater adoption of automated underwriting, prepare for the wind-down of the HAMP and HARP borrower assistance programs and continue sales of delinquent loans. FHFA also provided specific metrics for credit risk transfer goals for Fannie and Freddie.