Freddie Mac Q3 2026 Earnings Recap

Freddie Mac shares rose 13.5% after earnings, as investors responded to higher year-over-year net income and revenue, portfolio growth, and lower expenses. The quarter also included a much larger credit-loss provision, driven by a single-family reserve build, while elevated mortgage rates continued to weigh on housing-market activity.

Key Takeaways

• Net income increased 17% year-over-year to $3.2 billion; net revenues rose 19% to $6.8 billion.
• Net interest income increased 8% to $5.7 billion, while net interest yield rose 3 basis points to 67 basis points.
• The $800 million credit-loss provision was up from $175 million a year earlier, primarily reflecting a single-family reserve build tied to higher projected mortgage rates and new acquisitions.
• Non-interest expense fell 6% year-over-year to nearly $2 billion; the total mortgage portfolio grew 2% to nearly $3.7 trillion.
• Mortgage rates ended the quarter at 7.03%. The single-family serious delinquency rate was 61 basis points, up 4 basis points year-over-year.