Company: FMCCN
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001026214-25-000116
Chunk: 122

Company: FEDERAL HOME LOAN MORTGAGE CORP
Filing Date: 2025-10-30
Form: 10-Q
Item: Item 1
Chunk 122
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 losses in Single-Family driven by interest rate and spread changes.

l    YTD 2025 vs. YTD 2024 - Decreased primarily due to lower gains in Single-Family driven by interest rate and spread changes, as well as lower revenues from held-for-sale loan purchase and securitization activities in Multifamily due to our business strategy change.

(Provision) Benefit for Credit Losses

The table below presents the components of provision for credit losses.

Table 5 - (Provision) Benefit for Credit Losses ChangeChange(Dollars in millions)3Q 20253Q 2024$%YTD 2025YTD 2024$%Single-Family($118)$99 ($217)NM($968)($336)($632)(188)%Multifamily(57)92 (149)NM(270)(48)(222)(463)(Provision) benefit for credit losses($175)$191 ($366)NM($1,238)($384)($854)(222)%

Key Drivers:

n    3Q 2025 vs. 3Q 2024 - The provision for credit losses for 3Q 2025 was primarily driven by a credit reserve build in Single-Family attributable to new acquisitions. The benefit for credit losses for 3Q 2024 was driven by a credit reserve release in Single-Family as a result of lower mortgage interest rates and a credit reserve release in Multifamily due to enhancements in the credit loss estimation process.

n    YTD 2025 vs. YTD 2024 - The provision for credit losses for YTD 2025 was primarily driven by a credit reserve build in Single-Family attributable to new acquisitions, changes in estimated market values of single-family properties based on our internal house price index, and changes in forecasted house price growth rates. The provision for credit losses for YTD 2024 was primarily driven by a credit reserve build in Single-Family attributable to new acquisitions.

Freddie Mac 3Q 2025 Form 10-Q8

Management's Discussion and AnalysisConsolidated Results of Operations

Non-Interest Expense 

The table below presents the components of non-interest expense.

Table 6 - Components of Non-Interest Expense ChangeChange(Dollars in millions)3Q 20253Q 2024$%YTD 2025YTD 2024$%Salaries and employee benefits($423)($424)$1 —