Freddie Mac (FMCC) Q1 2026 earnings summary

Executive summary

• Net income for Q1 2026 rose to $3.6 billion, up 27% year-over-year, driven by higher net revenues and a credit reserve release compared to a build in Q1 2025.

• Net worth increased to $74 billion as of March 31, 2026, up from $62.4 billion a year earlier.

• Provided $116 billion in liquidity, supporting 380,000 home purchases, refinancings, and rental units, with a focus on affordability.

• Majority of financed homes were affordable to families earning ≤120% of area median income.

Financial highlights

• Net revenues grew 5% year-over-year to $6.1 billion, driven by a 10% increase in net interest income to $5.6 billion.

• Non-interest income declined 31% year-over-year to $514 million, mainly due to lower guarantee income and investment gains.

• Benefit for credit losses was $320 million, compared to a $280 million provision expense last year, reflecting improved house price forecasts.

• Non-interest expense fell 3% year-over-year to $2 billion, mainly from lower salaries and credit enhancement costs.

Outlook and guidance

• Management expects continued moderate growth in the mortgage portfolio and ongoing support for housing market liquidity.

• House price growth forecasts for the next 12 months are 2.3%, with 2.4% for the following 12 months.

• Credit quality remains stable with low delinquency rates in both single-family and multifamily portfolios.

• Forward-looking statements highlight sensitivity to economic, regulatory, and market conditions.