Numbers may not sum due to rounding See Endnotes and Glossary on Pages 3 and 4

MONTHLY SUMMARY HIGHLIGHTS

January 2018

Ä Fannie Mae's Book of Business increased at a compound

annualized rate of 2.7 percent in January.

Ä The Conventional Single-Family Serious Delinquency Rate

decreased 1 basis point to 1.23% in January. The Multifamily

Serious Delinquency Rate remained flat at 0.11%. 

Ä Fannie Mae completed 7,285 loan modifications in January.

IMPORTANT NOTE:

Fannie Mae has been under conservatorship, with the Federal

Housing Finance Agency (FHFA) acting as conservator, since

September 6, 2008.

TABLE 1. TOTAL BOOK OF BUSINESS COMPONENTS ($ in Millions) 1

Mortgage Portfolio

End Balance

[Table 2]

Total Fannie Mae

MBS and Other

Guarantees

[Table 4]

Fannie Mae MBS in

Portfolio

[Table 3]

+ - =

Total Book of

Business

Compounded Growth

Rate

New Business

Acquisitions

January 2017 $ 272,981 $ 2,929,632 $ 52,404 $ 3,150,209 2.3 % $ 55,271

February 2017 268,802 2,934,631 51,223 3,152,210 0.8 % 39,748

March 2017 268,833 2,946,652 54,938 3,160,547 3.2 % 40,964

April 2017 278,462 2,953,250 67,739 3,163,973 1.3 % 41,845

May 2017 255,721 2,961,339 49,255 3,167,805 1.5 % 43,632

June 2017 255,798 2,970,836 51,252 3,175,382 2.9 % 49,443

July 2017 245,693 2,979,319 46,848 3,178,164 1.1 % 49,261

August 2017 244,036 2,993,361 49,057 3,188,340 3.9 % 50,579

September 2017 245,133 3,003,863 53,481 3,195,515 2.7 % 50,607

October 2017 235,779 3,011,884 47,824 3,199,839 1.6 % 47,242

November 2017 236,298 3,019,831 50,778 3,205,351 2.1 % 48,006

December 2017 230,783 3,034,493 48,792 3,216,484 4.2 % $ 53,018

YTD 2017 $ 230,783 $ 3,034,493 $ 48,792 $ 3,216,484 2.3 % $ 569,616

January 2018 $ 234,896 $ 3,048,149 $ 59,470 $ 3,223,575 2.7 % $ 45,513

YTD 2018 $ 234,896 $ 3,048,149 $ 59,470 $ 3,223,575 2.7 % $ 45,513

Page 1 of 4

TABLE 2. MORTGAGE PORTFOLIO ACTIVITY ($ in Millions) 1 TABLE 3. MORTGAGE PORTFOLIO COMPOSITION ($ in Millions) 1

Mortgage Portfolio Fannie Mae MBS Non-Fannie Mae Mortgage Securities Mortgage Portfolio

Purchases Sales Liquidations End Balance in Portfolio Mortgage Loans Agency Non-Agency End Balance

January 2017 $ 24,161 $ (19,674) $ (3,860) $ 272,981 $ 52,404 $ 210,811 $ 2,374 $ 7,392 $ 272,981

February 2017 18,984 (19,153) (4,010) 268,802 51,223 207,773 2,691 7,115 268,802

March 2017 21,327 (17,330) (3,966) 268,833 54,938 204,739 2,412 6,744 268,833

April 2017 34,867 (22,012) (3,226) 278,462 67,739 201,480 2,715 6,528 278,462

May 2017 23,108 (41,192) (4,657) 255,721 49,255 198,236 2,814 5,416 255,721

June 2017 23,808 (20,158) (3,573) 255,798 51,252 197,194 2,284 5,068 255,798

July 2017 23,250 (30,087) (3,268) 245,693 46,848 191,668 2,285 4,892 245,693

August 2017 25,519 (23,826) (3,350) 244,036 49,057 188,443 2,037 4,499 244,036

September 2017 27,057 (23,289) (2,671) 245,133 53,481 185,439 1,730 4,483 245,133

October 2017 23,756 (30,133) (2,977) 235,779 47,824 182,640 1,610 3,705 235,779

November 2017 25,602 (21,994) (3,089) 236,298 50,778 180,873 1,133 3,514 236,298

December 2017 21,969 (24,729) (2,755) 230,783 48,792 177,365 1,417 3,209 230,783

YTD 2017 $ 293,408 $ (293,577) $ (41,402) $ 230,783 $ 48,792 $ 177,365 $ 1,417 $ 3,209 $ 230,783

January 2018 $ 27,068 $ (19,768) $ (3,187) $ 234,896 $ 59,470 $ 171,203 $ 1,803 $ 2,420 $ 234,896

YTD 2018 $ 27,068 $ (19,768) $ (3,187) $ 234,896 $ 59,470 $ 171,203 $ 1,803 $ 2,420 $ 234,896

TABLE 4. FANNIE MAE GUARANTY BOOK OF BUSINESS ($ in Millions) 1

Fannie Mae Other Total Fannie Mae Compounded Fannie Mae

Total Fannie Mae MBS MBS Annualized Fannie Mae MBS and Other Growth (Decline) Mortgage Guaranty

Issuances Liquidations End Balance Liquidation Rate Guarantees Guarantees Rate Loans Book of Business

January 2017 $ 62,430 $ (46,631) $ 2,914,400 (19.3)% $ 15,232 $ 2,929,632 6.7 % $ 210,811 $ 3,140,443

February 2017 40,519 (35,375) 2,919,544 (14.6)% 15,087 2,934,631 2.1 % 207,773 3,142,404

March 2017 42,088 (30,005) 2,931,627 (12.3)% 15,025 2,946,652 5.0 % 204,739 3,151,391

April 2017 42,458 (35,782) 2,938,303 (14.6)% 14,947 2,953,250 2.7 % 201,480 3,154,730

May 2017 42,874 (34,614) 2,946,563 (14.1)% 14,776 2,961,339 3.3 % 198,236 3,159,575

June 2017 48,634 (38,993) 2,956,204 (15.9)% 14,632 2,970,836 3.9 % 197,194 3,168,030

July 2017 49,805 (41,265) 2,964,744 (16.8)% 14,575 2,979,319 3.5 % 191,668 3,170,987

August 2017 52,093 (38,001) 2,978,836 (15.4)% 14,525 2,993,361 5.8 % 188,443 3,181,804

September 2017 52,539 (42,001) 2,989,374 (16.9)% 14,489 3,003,863 4.3 % 185,439 3,189,302

October 2017 46,263 (38,099) 2,997,538 (15.3)% 14,346 3,011,884 3.3 % 182,640 3,194,524

November 2017 48,507 (40,440) 3,005,605 (16.2)% 14,226 3,019,831 3.2 % 180,873 3,200,704

December 2017 52,153 (37,530) 3,020,228 (15.0)% 14,265 3,034,493 6.0 % 177,365 3,211,858

YTD 2017 $ 580,363 $ (458,736) $ 3,020,228 (15.8)% $ 14,265 $ 3,034,493 4.1 % $ 177,365 $ 3,211,858

January 2018 $ 50,510 $ (36,763) $ 3,033,975 (14.6)% $ 14,174 $ 3,048,149 5.5 % $ 171,203 $ 3,219,352

YTD 2018 $ 50,510 $ (36,763) $ 3,033,975 (14.6)% $ 14,174 $ 3,048,149 5.5 % $ 171,203 $ 3,219,352
Numbers may not sum due to rounding See Endnotes and Glossary on Pages 3 and 4

TABLE 5. OTHER INVESTMENTS ($ in Millions) 1 TABLE 6. DEBT ACTIVITY ($ in Millions) 2

Original Maturity Original Maturity > 1 Year

Other Investments < 1 Year Maturities and Foreign Exchange Total Debt

End Balance End Balance Issuances Redemptions Repurchases Adjustments End Balance Outstanding

January 2017 $ 85,291 $ 33,305 $ 6,596 $ (8,963) $ Å $ 8 $ 291,440 $ 324,745

February 2017 91,677 38,037 4,378 (5,419) Å (7) 290,392 328,429

March 2017 90,214 37,478 2,134 (1,500) Å 7 291,033 328,511

April 2017 71,038 32,832 2,975 (8,156) Å 14 285,866 318,698

May 2017 88,875 30,491 2,939 (5,063) (80) (2) 283,660 314,151

June 2017 78,178 30,527 Å (10,130) Å 5 273,535 304,062

July 2017 87,241 29,634 1,781 (2,971) Å 7 272,352 301,986

August 2017 84,814 28,360 4,345 (9,151) (70) (10) 267,466 295,826

September 2017 78,332 33,359 310 (8,934) Å 16 258,858 292,217

October 2017 78,482 29,593 3,527 (9,993) (283) (4) 252,105 281,698

November 2017 78,320 28,264 1,561 (1,561) (967) 8 251,146 279,410

December 2017 80,649 33,412 201 (7,277) (13) Å 244,057 277,469

YTD 2017 $ 80,649 $ 33,412 $ 30,747 $ (79,118) $ (1,413) $ 42 $ 244,057 $ 277,469

January 2018 $ 74,823 $ 32,071 $ 2,545 $ (4,963) $ (85) $ 24 $ 241,578 $ 273,649

YTD 2018 $ 74,823 $ 32,071 $ 2,545 $ (4,963) $ (85) $ 24 $ 241,578 $ 273,649

TABLE 7. SERIOUS DELINQUENCY RATES

Conventional Single-Family3

Vintage by Origination Year

Credit Enhanced

Non-Credit Primary MI Credit Risk

2004 and Prior 2005 - 2008 2009 - 2018 Overall Enhanced and Other4Transfer5 Overall Multifamily6

January 2017 2.84% 6.41% 0.36% 1.20% 1.17% 2.14% 0.17% 1.20% 0.05%

February 2017 2.86% 6.40% 0.36% 1.19% 1.17% 2.09% 0.17% 1.19% 0.05%

March 2017 2.76% 6.15% 0.34% 1.12% 1.12% 1.95% 0.16% 1.12% 0.05%

April 2017 2.67% 5.85% 0.33% 1.07% 1.07% 1.80% 0.16% 1.07% 0.04%

May 2017 2.64% 5.80% 0.32% 1.04% 1.06% 1.74% 0.15% 1.04% 0.04%

June 2017 2.62% 5.73% 0.32% 1.01% 1.03% 1.68% 0.15% 1.01% 0.04%

July 2017 2.63% 5.71% 0.32% 1.00% 1.03% 1.64% 0.15% 1.00% 0.04%

August 2017 2.65% 5.71% 0.32% 0.99% 1.02% 1.64% 0.15% 0.99% 0.04%

September 2017 2.75% 5.83% 0.33% 1.01% 1.05% 1.62% 0.16% 1.01% 0.03%

October 2017 2.82% 5.91% 0.33% 1.01% 1.06% 1.62% 0.18% 1.01% 0.05%

November 2017 3.05% 6.26% 0.42% 1.12% 1.17% 1.76% 0.27% 1.12% 0.11%

December 2017 3.28% 6.55% 0.53% 1.24% 1.27% 1.95% 0.42% 1.24% 0.11%

January 2018 3.31% 6.54% 0.54% 1.23% 1.26% 1.92% 0.43% 1.23% 0.11%

Jan. 2018 % of Book Outstanding 3% 6% 91% 59% 20% 32%

TABLE 8. INTEREST RATE RISK DISCLOSURES ($ in Billions)

Market Value Sensitivity Effective

Rate Level Rate Slope Duration Gap

Shock (50 bp) Shock (25 bp) (in months)

January 2017 $ 0.0 $ 0.0 0

February 2017 0.0 0.0 0

March 2017 0.0 0.0 0

April 2017 0.0 0.0 0

May 2017 0.0 0.0 0

June 2017 0.0 0.0 0

July 2017 0.0 0.0 0

August 2017 0.0 0.0 0

September 2017 0.0 0.0 0

October 2017 0.0 0.0 0

November 2017 (0.1) 0.0 0

December 2017 (0.1) 0.0 0

YTD 2017 $ 0.0 $ 0.0

January 2018 $ (0.1) $ 0.0 0

YTD 2018 $ (0.1) $ 0.0

Page 2 of 4
ENDNOTES

1. The end balances and business activity in this report represent unpaid principal balances ("UPB"), which do not reflect market valuation adjustments,

allowance for loan losses, impairments, unamortized premiums and discounts, and the impact of consolidation of variable interest entities.

2. Reported amounts represent the UPB at each reporting period or, in the case of the long-term zero coupon bonds, at maturity, and include credit risksharing securities issued under the Connecticut Avenue SecuritiesTM series. UPB does not reflect the effect of debt basis adjustments, including

discounts, premiums, and issuance costs.

3. Delinquency rates represent seriously delinquent conventional single-family loans as a percent of the total number of conventional single-family loans.

These rates are based on conventional single-family mortgage loans and exclude reverse mortgages and non-Fannie Mae mortgage securities held in

Fannie Mae's portfolio. The credit-enhanced categories are not mutually exclusive. A loan with primary mortgage insurance that is also covered by a credit

risk transfer transaction will be included in both the ÇPrimary MI and OtherÉ category and the ÇCredit Risk TransferÉ category. The percent of book

outstanding is calculated based on the aggregate UPB of conventional single-family loans for each category, divided by the aggregate UPB of loans in

Fannie Mae's single-family conventional book of business.

4. Refers to loans included in an agreement used to reduce credit risk by requiring primary mortgage insurance, collateral, letters of credit, corporate

guarantees, or other agreements to provide an entity with some assurance that it will be compensated to some degree in the event of a financial loss.

Excludes loans covered by credit risk transfer transactions unless such loans are also covered by primary mortgage insurance.

5. Refers to loans included in reference pools for credit risk transfer transactions, including loans in these transactions that are also covered by primary

mortgage insurance. For Connecticut Avenue Securities and some lender risk-sharing transactions, this represents outstanding unpaid principal balance

of the underlying loans on the single-family mortgage credit book, not the outstanding reference pool, as of the specified date. Loans included in our credit

risk transfer transactions have all been acquired since 2012 and newer vintages typically have significantly lower delinquency rates than more seasoned

loans.

6. Calculated based on the UPB of seriously delinquent multifamily loans owned by Fannie Mae or underlying Fannie Mae guaranteed securities, divided by

the UPB of multifamily loans owned by Fannie Mae or underlying Fannie Mae guaranteed securities.

Page 3 of 4
GLOSSARY & OTHER INFORMATION

General

Risk Disclosures. In addition to the interest rate risk disclosures provided in Table 8, Fannie Mae's most recent available information relating to subordinated debt, liquidity management and credit risk is included in its most

recent Form 10-K or Form 10-Q filed with the Securities and Exchange Commission.

Compounded Growth Rate. Monthly growth rates are compounded to provide an annualized rate of growth.

Table 1

Total Book of Business. Sum of the Mortgage Portfolio End Balance and the Total Fannie Mae MBS and Other Guarantees balance, less Fannie Mae MBS held in the mortgage portfolio.

New Business Acquisitions. Single-family and multifamily mortgage loans purchased during the period and single-family and multifamily mortgage loans underlying Fannie Mae MBS issued pursuant to lender swaps. These

amounts reflect new business purchases on which our statutory affordable housing allocations are based. 

Table 2

Mortgage Portfolio Activity. End balance represents the unpaid principal balance ("UPB") of the mortgage portfolio that Fannie Mae holds for investment and liquidity purposes. Excludes certain matched trades and certain early

funding activities.

Purchases. Acquisition of mortgage loans and mortgage securities for the mortgage portfolio.

Sales. Sales of mortgage securities and mortgage loans from the mortgage portfolio.

Liquidations. Represents the total amount of repayments, curtailments, payoffs, and foreclosures on mortgage loans and mortgages underlying securities held in the mortgage portfolio.

Table 3

Mortgage Portfolio Composition. Shows the primary components of Fannie Mae's mortgage portfolio.

Non-Fannie Mae Agency Securities. Represents mortgage-related securities issued by Freddie Mac and Ginnie Mae.

Non-Fannie Mae Non-Agency Securities. These primarily include private-label securities, mortgage revenue bonds, and commercial mortgage-backed securities.

Table 4

Fannie Mae Guaranty Book of Business. Consists of securities and mortgage loans for which Fannie Mae manages credit risk. This table excludes non-Fannie Mae securities held in the mortgage portfolio, which are shown in

Table 3.

Total Fannie Mae MBS. Includes Fannie Mae MBS, private label wraps, whole loan REMICs, and Ginnie Mae wraps. Also includes Multifamily discount MBS ("DMBS") that Fannie Mae guarantees, regardless of whether those

MBS are held in the mortgage portfolio or held by investors other than Fannie Mae. If an MBS has been resecuritized into another MBS, the principal amount is only included once in this total.

Issuances. Represents the total amount of Fannie Mae MBS created during the month, including lender-originated issues and Fannie Mae MBS created from mortgage loans previously held in Fannie MaeÑs portfolio. Fannie

Mae MBS may be held in portfolio after their creation.

Liquidations. Represents the total amount of repayments, curtailments, payoffs, and foreclosures on mortgages underlying Fannie Mae MBS, including Fannie Mae MBS held in the mortgage portfolio.

Other Fannie Mae Guarantees. Outstanding balance of Fannie Mae guarantees, other than Fannie Mae MBS. This primarily includes long-term standby commitments we have issued and credit enhancements we have

provided.

Annualized Liquidation Rate. The liquidation rate is calculated as liquidations divided by the prior period ending balance of total Fannie Mae MBS, annualized.

Table 5

Other Investments. Primarily consists of cash and readily marketable instruments such as certificates of deposit, federal funds sold, securities purchased under agreements to resell and Treasury bills.

Table 6

Debt Activity. Debt is classified in the table based on its original maturity. For debt with an original term of more than one year, the portion of that long-term debt that is due within one year is not reclassified to "Original Maturity <

1 Year." For more information about Fannie Mae's debt activity, please visit http://www.fanniemae.com/portal/funding-the-market/debt/reports/index.html.

Table 7

Serious Delinquency Rates. A measure of credit performance and indicator of future defaults for the single-family and multifamily mortgage credit books. We include single-family loans that are three months or more past due or

in the foreclosure process, and multifamily loans that are 60 days or more past due. We include conventional single-family loans that we own and that back Fannie Mae MBS in our single-family delinquency rate.

Table 8

Our interest rate risk measures provide useful estimates of key interest-rate risk and include the impact of our purchases and sales of derivative instruments, which we use to limit our exposure to changes in interest rates. While

we believe that our market value sensitivity and duration gap metrics are useful risk management tools, they should be understood as estimates rather than precise measurements. Methodologies employed to calculate interestrate risk sensitivity disclosures are periodically changed on a prospective basis to reflect improvements in the underlying estimation processes.

Market Value Sensitivity to Rate Level Shock (50bp). This measurement shows the most adverse pre-tax impact on the market value of Fannie MaeÑs assets and liabilities from an immediate adverse 50 basis point shift in the

level of LIBOR rates. The amounts shown are estimates, not precise measurements. The measurement excludes any sensitivity of the guaranty business. Fannie Mae tracks the daily average of this measurement for the reported

month.

Market Value Sensitivity to Rate Slope Shock (25bp). This measurement shows the most adverse pre-tax impact on the market value of Fannie MaeÑs assets and liabilities from an immediate adverse 25 basis point change in

the slope of the LIBOR yield curve. To calculate the adverse change in the slope of the LIBOR yield curve, the company calculates the effect of a 25 basis point change in slope that results in a steeper LIBOR yield curve and the

effect of a 25 basis point change in slope that results in a flatter LIBOR yield curve, and reports the more adverse of the two results. The amounts shown are estimates, not precise measurements. The measurement excludes any

sensitivity of the guaranty business. Fannie Mae tracks the daily average of this measurement for the reported month.

Effective Duration Gap. The effective duration gap estimates the net sensitivity of the fair value of Fannie MaeÑs assets and liabilities to movements in interest rates. This statistic is expressed as a number of months, based on

the daily average for the reported month. A duration gap of zero implies that the change in the fair value of assets from an interest rate move will be offset by an equal move in the fair value of liabilities, including debt and

derivatives, resulting in no change in the fair value of the net assets. The calculation excludes any sensitivity of the guaranty business.

Page 4 of 4