Fannie Mae (FNMA, Financial) just wrapped up 2024 with a solid performance, pulling in $17.0 billion in net income for the year, including $4.1 billion in the fourth quarter alone. The mortgage finance giant pushed its net worth to $94.7 billion, fueled by steady guaranty fee income and a resilient housing market. Despite home prices climbing 5.8% and mortgage rates ticking up to 6.85%, Fannie Mae provided $381 billion in liquidity, helping 1.4 million households buy, refinance, or rent homes.
The single-family business remained a key driver, with $326 billion in loan acquisitions—nearly half going to first-time homebuyers. Refinancing activity jumped to $56.1 billion, up from $43.2 billion in 2023, signaling some resilience despite affordability challenges. On the multifamily side, Fannie Mae's guaranty book grew 6.2% to $499.7 billion, though delinquency rates nudged higher. The company's tight grip on credit risk and disciplined underwriting continues to keep things steady, even as market conditions shift.
For investors, all eyes are on how Fannie Mae navigates a higher-rate environment and ongoing housing affordability debates. With mortgage demand evolving and policy discussions heating up, the company's ability to balance risk and profitability will be crucial. The market will be watching closely to see how it sustains momentum while keeping the housing market stable.
