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Fannie Mae Reports $4.2B Net Income, Highest Revenue Since 2023
Fannie Mae posts $4.2 billion net income and $7.7 billion revenue, highest since 2023, despite $1.1 billion credit loss provision.
In brief
Fannie Mae posts $4.2 billion net income and $7.7 billion revenue, highest since 2023, despite $1.1 billion credit loss provision. Fannie Mae reported $4.2 billion net income for Q3 2026, up 8% year-over-year, with $7.7 billion revenue, the highest since 2023, though credit losses rose to $1.1 billion. Originally…
Fannie Mae Q3 2026 Results
![[Federal National Mortgage Association Q3 2026 Earnings Call] Fannie Mae Posts $4.2 Billion Net Income, Highest Revenue Since 2023 Despite $1.1 Billion Credit P](https://img.biggo.com/SRmLKmh6e9r8Il1K1jmAqNpmh4Cjm3UZSD8JtYAiQ3Y/fit/1720/0/sm/0/aHR0cHM6Ly9pbWcuYmdvLm9uZS9uZXdzLWltYWdlL2Vhcm5pbmdzX2NhcmQvMjAyNi0xMC9VU19GTk1BXzIwMjYtMTAtMjhfMTc5MzE5NDc0MS53ZWJw.webp)
Fannie Mae reported third-quarter 2026 net income of $4.2 billion, up 5% sequentially and 8% year-over-year.
Net Revenues Climb to $7.7 Billion
Net revenues reached $7.7 billion, the highest since 2023, with 79% generated by the core guaranty business.
Guaranty Fee Income
The $4.1 trillion guaranty book produced over $6 billion in guaranty fee income, more than 70% from loans originated in 2022 or earlier.
Net Worth Growth
Net worth grew $3.1 billion to over $119 billion, and the illustrative return on required equity improved 30 basis points.
Credit Loss Provision
A combined $1.1 billion credit loss provision ($694 million single-family, $446 million multifamily) reflected higher interest rates.
Unrealized Losses
The company recorded $1 billion in net unrealized losses on available-for-sale securities.
Serious Delinquency
Serious delinquency rose to 62 basis points in both single-family and multifamily segments.
Acting CEO Peter Akwaboah
Acting CEO Peter Akwaboah highlighted $344 billion in year-to-date liquidity and $141 million in closing-cost savings.
CFO Chryssa Halley
CFO Chryssa Halley noted expected additional multifamily delinquencies ahead of higher interest rates.
Credit Cost Drivers
Higher interest rates and newly delinquent loans drove credit loss provisions, with single-family and multifamily allowances rising.
Rate Sensitivity Impact
Higher rates reduced single-family refinance volumes but slowed prepayments, preserving guaranty revenues.
Multifamily Market Challenges
Multifamily new business volume of $14.5 billion was 2% higher than the prior quarter but below the year-earlier period.
Outlook for Credit
Fannie Mae expects additional multifamily delinquencies if mortgage rates remain elevated.
Key Financial Metrics
Net income increased 8% year-over-year to $4.2 billion, with net revenues at $7.7 billion, the highest since 2.023.
The one thing
Fannie Mae reported $4.2 billion net income for Q3 2026, up 8% year-over-year, with $7.7 billion revenue, the highest since 2023, though credit losses rose to $1.1 billion.
