Company: FMCCN
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001026214-25-000116
Chunk: 219

Company: FEDERAL HOME LOAN MORTGAGE CORP
Filing Date: 2025-10-30
Form: 10-Q
Item: Item 1
Chunk 219
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2 152 150 2 Debt of consolidated trusts5,144 5,214 (70)1,689 1,817 (128)Other assets (other liabilities)— N/AN/A1 N/AN/A(1)    Excludes interest-only securities related to debt of consolidated trusts and debt of Freddie Mac with a fair value of $0.5 billion as of both September 30, 2025 and December 31, 2024. 

Changes in Fair Value Under the Fair Value Option ElectionThe table below presents the changes in fair value related to items for which we have elected the fair value option. These amounts are included in investment gains, net, on our condensed consolidated statements of income.Table 13.7 - Changes in Fair Value Under the Fair Value Option Election3Q 20253Q 2024YTD 2025YTD 2024(In millions)Gains (Losses) Gains (Losses)Mortgage loans held-for-sale$9 $267 $237 $87 Mortgage loans held-for-investment(5)53 63 (4)Debt of Freddie Mac15 13 46 18 Debt of consolidated trusts(7)(6)(59)— Other assets/other liabilities2 230 127 472 Changes in fair value attributable to instrument-specific credit risk were not material for the periods presented for assets or liabilities for which we elected the fair value option.

Freddie Mac 3Q 2025 Form 10-Q88

Financial Statements                      Notes to the Condensed Consolidated Financial Statements | Note 14

NOTE 14Legal ContingenciesWe are involved, directly or indirectly, in a variety of legal and regulatory proceedings arising from time to time in the ordinary course of business (including, among other things, contractual disputes, personal injury claims, employment-related litigation, and other legal proceedings incidental to our business) and in connection with the conservatorship and Purchase Agreement. We are frequently involved, directly or indirectly, in litigation involving mortgage foreclosures. From time to time, we are also involved in proceedings arising from our termination of a seller's or servicer's eligibility to sell loans to, and/or service loans for, us. In these cases, the former seller or servicer sometimes seeks damages against us for wrongful termination under a variety of legal theories. In addition, we are sometimes sued in connection with the origination or servicing of