2017CreditSupplement

February14,2018

©2018FannieMae.TrademarksofFannieMae.
§

ThispresentationincludesinformationaboutFannieMae,includinginformationcontainedin

FannieMae’sAnnualReportonForm10-KfortheyearendedDecember31,2017,the“2017

Form10-K.”Someofthetermsusedinthesematerialsaredefinedanddiscussedmorefully

inthe2017Form10-K.Thesematerialsshouldbereviewedtogetherwiththe2017Form

10-K,copiesofwhichareavailablethroughthe“SECFilings”pageinthe

“AboutUs/InvestorRelations”sectionofFannieMae’swebsiteatwww.fanniemae.com.

Someoftheinformationinthispresentationisbaseduponinformationthatwereceived

from third-partysourcessuchassellersandservicersofmortgageloans.Althoughwe

generallyconsiderthisinformationreliable,wedonotindependentlyverifyallreported

information.

Duetorounding,amountsreportedinthispresentationmaynotaddtototalsindicated(or

100%).

Unlessotherwiseindicateddatalabeledas“2017”isasofDecember31,2017orforthefull

yearof2017.

§

§

§

©2018FannieMae.TrademarksofFannieMae.
TableofContents

HomePriceGrowth/DeclineRatesintheU.S.

OneYearHomePriceChangeasof2017Q4

HomePriceChangeFrom2006Q3Through2017Q4 5

4

3

HomePrices

CreditCharacteristicsofSingle-FamilyBusinessAcquisitions

CreditRiskProfileSummaryofSingle-FamilyBusinessAcquisitions

CertainCreditCharacteristicsofSingle-FamilyBusinessAcquisitions:2006-2017

Single-FamilyBusinessAcquisitionsbyLoanPurpose

CreditCharacteristicsofSingle-FamilyConventionalGuarantyBookofBusinessbyOriginationYear

CreditCharacteristicsofSingle-FamilyConventionalGuarantyBookofBusinessbyCertainProductFeatures 11

10

9

8

7

6

CreditProfileofFannieMaeSingle-FamilyLoans

CreditCharacteristicsofSingle-FamilyConventionalGuarantyBookofBusinessandSingle-FamilyRealEstateOwned(REO)inSelectStates

SeriouslyDelinquentLoanandREOEndingInventorySharebySelectStates

Single-FamilyShortSalesandREOSalesPricestoUnpaidPrincipalBalance(UPB)ofMortgageLoans 14

13

12

GeographicCreditProfileofFannieMaeSingle-FamilyLoansandForeclosedProperties(REO)

Single-FamilyLoanWorkouts

Re-performanceRatesofModifiedSingle-FamilyLoans 16

15

WorkoutsofFannieMaeSingle-FamilyLoans

CreditLossConcentrationofSingle-FamilyConventionalGuarantyBookofBusiness

CumulativeDefaultRatesofSingle-FamilyConventionalGuarantyBookofBusinessbyOriginationYear 18

17

AdditionalCreditInformationforFannieMaeSingle-FamilyLoans

MultifamilyCreditProfilebyLoanAttributes

SeriousDelinquencyRatesofMultifamilyBookofBusiness

CumulativeCreditLossRatesofMultifamilyGuarantyBookofBusinessbyAcquisitionYear 22

21

19-20

CreditProfileofFannieMaeMultifamilyLoans

©2018FannieMae.TrademarksofFannieMae. 2
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

-10.0%

-5.0%

0.0%

5.0%

10.0%

-3.7%

-9.0%

-4.8%

-4.2%

-3.5%

2.6%

4.0%

7.6%

4.2%

4.6%

5.7% 5.6%

FannieMaeHomePriceIndex

Basedonourhomepriceindex,weestimatethathomepricesonanationalbasisincreasedby5.6%in2017,followingincreasesof5.7%in2016,4.6%in2015

and4.2%in2014.Ourhomepriceestimatesarebasedonpreliminarydataandaresubjecttochangeasadditionaldatabecomesavailable.

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

1.7% -5.4% -12.0% -3.8% -4.1% -3.9% 6.5% 10.7% 4.5% 5.2% 5.4% 5.7%

S&P/Case-ShillerIndex

HomePriceGrowth/DeclineRatesintheU.S.

Note:EstimatebasedonpurchasetransactionsinFannie-FreddieacquisitionandpublicdeeddataavailablethroughtheendofDecember2017.Includingsubsequentdatamayleadtomateriallydifferentresults.

*Year-to-dateasofQ32017.Ascomparison,FannieMae'sindexforthesameperiodis5.4%.

*

©2018FannieMae.TrademarksofFannieMae. 3
OneYearHomePriceChangeasof2017Q4(1)

NC

5.3%

2.6%

FL

5.9%

5.7%

CA

7.0%

19.5%

WA

11.1%

3.6%

UT

10.0%

1.3%

ID

11.1%

0.6%

NV

11.9%

1.1%

KS

3.6%

0.5%

LA

2.4%

0.9%

MO

4.5%

1.3%

MS

1.7%

0.4%

ND

1.7%

0.2%

NM

3.8%

0.5%

NY

4.8%

5.1%

OK

2.7%

0.7%

PA

4.0%

3.0%

TX

4.5%

6.2%

VA

3.3%

3.5%

WV

1.8%

0.2%

WY

4.4%

0.2%

AZ

6.5%

2.5%

AL

4.4%

1.0%

GA

6.4%

2.7%

IN

5.1%

1.2%

KY

6.2%

0.6%

ME

6.2%

0.3%

MI

7.9%

2.3%

MN

7.3%

2.1%

MT

6.2%

0.3%

NE

6.8%

0.5% OH

5.3%

2.0%

OR

7.7%

1.8%

SC

5.6%

1.2%

SD

6.9%

0.2%

TN

7.4% AR 1.3% 3.6%

0.5%

WI

6.3%

1.8%

IA

4.1%

0.7%

IL

4.4%

CO 3.7%

8.8%

3.0%

State:FL

GrowthRate:5.9%

UPB%(2):5.7%

UnitedStates:5.6%

(1)Source:FannieMae.HomepriceestimatesarebasedonpurchasetransactionsinFannie-FreddieacquisitionandpublicdeeddataavailablethroughtheendofDecember2017.UPBestimatesarebasedon

dataavailablethroughtheendofDecember2017.Includingsubsequentdatamayleadtomateriallydifferentresults.

(2)“UPB%”referstounpaidprincipalbalanceofloansonpropertiesintheapplicablestateasapercentageofunpaidprincipalbalanceofsingle-familyconventionalguarantybookofbusinessforwhichFannie

Maehasaccesstoloan-levelinformation.

AK

2.2%

0.2%

Growth

Rate

UPB%

CT

DC

DE

MA

MD

NH

NJ

RI

VT 0.1%

0.3%

3.7%

0.5%

2.7%

2.9%

0.4%

0.4%

1.2%

5.7%

7.8%

3.4%

7.2%

3.3%

6.6%

1.0%

8.9%

1.4%

HI

2.8%

0.7% StateGrowthRate

0%to5%

5%to10%

10%andAbove

©2018FannieMae.TrademarksofFannieMae. 4

(2)
TN

19.5%

1.3%

SC

7.3%

1.2%

NC

9.2%

2.6%

AZ

-17.7%

2.5%

FL

-18.1%

5.7%

NV

-20.3%

1.1%

CA

-5.1%

19.5%

ID

10.4%

0.6%

IN

14.5%

1.2% KS

17.1%

0.5%

KY

16.3%

0.6%

LA

18.1%

0.9%

MT

23.9%

0.3%

ND

53.8%

0.2%

NE

23.8%

0.5%

OK

17.8%

0.7%

OR

16.5%

1.8%

SD

31.8%

0.2%

TX

35.9%

6.2%

UT

26.6%

1.3%

WA

19.2%

3.6%

WY

18.9%

0.2%

CO

41.3%

3.0%

IA

18.6%

0.7%

IL

-9.4%

3.7%

VA

-6.0%

3.5%

NM

-1.5%

0.5%

AL

3.5%

1.0%

GA

2.5%

2.7%

MI

1.3%

2.3%

MN

4.1%

2.1%

MS

2.5%

0.4%

OH

4.1%

2.0%

AR

8.5%

0.5%

ME

5.2%

0.3%

MO

7.2%

1.3%

NY

5.1%

5.1%

PA

7.8%

3.0%

WV

6.6%

0.2%

WI

6.2%

1.8%

State:FL

GrowthRate:-18.1%

UPB%(2):5.7%

UnitedStates:4.1%

HomePriceChangeFrom 2006Q3Through2017Q4(1)

(1)Source:FannieMae.HomepriceestimatesarebasedonpurchasetransactionsinFannie-FreddieacquisitionandpublicdeeddataavailablethroughtheendofDecember2017.UPBestimatesarebasedon

dataavailablethroughtheendofDecember2017.Includingsubsequentdatamayleadtomateriallydifferentresults.

(2)“UPB%”referstounpaidprincipalbalanceofloansonpropertiesintheapplicablestateasapercentageofunpaidprincipalbalanceofsingle-familyconventionalguarantybookofbusinessforwhichFannieMae

hasaccesstoloan-levelinformation.

Note:Homepricesonanationalbasispriortothehousingcrisisof2008reachedapeakinthethirdquarterof2006.

AK

11.7%

0.2%

HI

9.3%

0.7%

Growth

Rate

UPB%

CT

DC

DE

MA

MD

NH

NJ

RI

VT 0.1%

0.3%

3.7%

0.5%

2.7%

2.9%

0.4%

0.4%

1.2%

4.2%

-10.1%

-15.2%

-0.9%

-14.5%

8.0%

-11.9%

48.9%

-17.0%

StateGrowthRate

Below-15%

-15%to-5%

-5%to0%

0%to5%

5%to10%

10%andAbove

(2)

©2018FannieMae.TrademarksofFannieMae. 5
FullYear2017

Single-Family

Acquisitions

Excl.

RefiPlus

Q42017

Single-Family

Acquisitions

Excl.

RefiPlus

Q32017

Single-Family

Acquisitions

Excl.

RefiPlus

Q22017

Single-Family

Acquisitions

Excl.

RefiPlus

Q12017

Single-Family

Acquisitions

Excl.

RefiPlus

FullYear2016

Single-Family

Acquisitions

Excl.

RefiPlus

UnpaidPrincipalBalance(UPB)($B)

WeightedAverageOriginationNoteRate 4.12%

$487.7

4.12%

$501.8

4.09%

$125.2

4.09%

$127.9

4.13%

$131.5

4.13%

$134.2

4.25%

$117.6

4.26%

$121.2

4.00%

$113.4

4.00%

$118.5

3.73%

$558.9

3.74%

$581.0

<=60%

60.01%to70%

70.01%to80%

80.01%to90%

90.01%to100%

>100%

WeightedAverageOriginationLTVRatio 75.6%

0.0%

18.1%

12.3%

39.3%

12.8%

17.4%

75.4%

0.2%

17.8%

12.3%

38.8%

12.9%

17.9%

75.8%

0.0%

18.5%

12.3%

39.1%

13.2%

16.9%

75.7%

0.1%

18.2%

12.3%

38.7%

13.2%

17.4%

76.6%

0.0%

19.7%

12.9%

39.6%

12.0%

15.8%

76.5%

0.1%

19.5%

12.9%

39.2%

12.0%

16.2%

76.3%

0.0%

19.2%

12.7%

39.9%

12.0%

16.2%

76.1%

0.2%

18.8%

12.7%

39.3%

12.1%

16.8%

73.3%

0.0%

14.8%

11.1%

38.6%

14.4%

21.1%

73.2%

0.3%

14.5%

11.1%

37.8%

14.5%

21.7%

73.6%

0.0%

14.8%

11.5%

38.8%

14.5%

20.4%

73.6%

0.4%

14.6%

11.6%

38.1%

14.5%

20.7%

OriginationLoan-to-Value(LTV)Ratio

<620

620to<660

660to<700

700to<740

>=740

WeightedAverageFICOCreditScore 746

59.3%

22.6%

13.0%

5.1%

0.0%

745

58.6%

22.6%

13.2%

5.3%

0.3%

744

57.8%

23.1%

13.5%

5.5%

0.0%

743

57.3%

23.1%

13.7%

5.7%

0.2%

746

59.7%

22.5%

12.9%

5.0%

0.0%

745

59.2%

22.4%

13.0%

5.1%

0.2%

746

59.5%

22.6%

12.8%

5.0%

0.0%

745

58.7%

22.6%

13.1%

5.2%

0.3%

747

60.4%

22.2%

12.7%

4.7%

0.0%

746

59.4%

22.1%

13.0%

5.0%

0.4%

752

64.9%

20.4%

10.9%

3.8%

0.0%

750

63.9%

20.4%

11.3%

4.1%

0.3%

FICO CreditScores

CreditCharacteristicsofSingle-FamilyBusinessAcquisitions(1)

Fixed-rate

Adjustable-rate

Alt-A

InterestOnly

Investor

Condo/Co-op

Refinance 42.6%

9.8%

6.6%

0.0%

0.0%

2.6%

97.4%

44.2%

9.8%

6.9%

0.0%

0.3%

2.6%

97.4%

44.7%

9.7%

6.3%

0.0%

0.0%

1.9%

98.1%

45.9%

9.7%

6.5%

0.0%

0.2%

1.9%

98.1%

36.1%

9.6%

6.1%

0.0%

0.0%

3.0%

97.0%

37.4%

9.6%

6.4%

0.0%

0.2%

3.0%

97.0%

37.1%

9.9%

6.7%

0.0%

0.0%

3.4%

96.6%

39.0%

10.0%

7.0%

0.0%

0.3%

3.4%

96.6%

53.4%

9.9%

7.3%

0.0%

0.0%

2.2%

97.8%

55.4%

9.8%

7.7%

0.0%

0.3%

2.1%

97.9%

54.0%

9.6%

5.6%

0.0%

0.0%

1.6%

98.4%

55.7%

9.6%

6.0%

0.0%

0.3%

1.5%

98.5%

CertainCharacteristics

Purchase

Cash-outrefinance

Otherrefinance 20.5%

22.1%

57.4%

22.7%

21.5%

55.8%

20.7%

24.0%

55.3%

22.4%

23.5%

54.1%

16.3%

19.8%

63.9%

17.9%

19.5%

62.6%

16.9%

20.2%

62.9%

19.4%

19.6%

61.0%

28.7%

24.7%

46.6%

31.8%

23.6%

44.6%

33.9%

20.1%

46.0%

36.4%

19.3%

44.3%

LoanPurpose

Percentagecalculatedbasedonunpaidprincipalbalanceofloansattimeofacquisition.Single-familybusinessacquisitionsrefertosingle-familymortgageloansweacquirethroughpurchaseorsecuritizationtransactions.

Single-familybusinessacquisitionsfortheapplicableperiodexcludingloansacquiredunderourRefiPlusinitiative,whichincludestheHomeAffordableRefinanceProgram®(“HARP®”).OurRefiPlusinitiativeprovidesexpandedrefinance

opportunitiesforeligibleFannieMaeborrowers,andmayinvolvetherefinanceofexistingFannieMaeloanswithhighloan-to-valueratios,includingloanswithloan-to-valueratiosinexcessof100%.

FICOcreditscoreisasofloanorigination,asreportedbythesellerofthemortgageloan.

NewlyoriginatedAlt-AloansfortheapplicableperiodsconsistoftherefinanceofexistingloansunderourRefiPlusinitiative.ForadescriptionofourAlt-Aloanclassificationcriteria,refertoFannieMae's2017Form10-K.

(1)

(2)

(3)

(4)

Single-FamilyAcquisitions

6.0%

7.3%

20.3%

Single-FamilyAcquisitions

6.8%

7.6%

18.9%

Single-FamilyAcquisitions

California

Texas

Florida 6.1%

7.2%

19.5%

Single-FamilyAcquisitions

5.1%

6.9%

22.9%

Single-FamilyAcquisitions

6.1%

7.0%

18.4%

Single-FamilyAcquisitions

5.5%

7.1%

20.4%

AcquisitionPeriod

(4)

Top3GeographicConcentrations

©2018FannieMae.TrademarksofFannieMae. 6

(3)

(2) (2) (2) (2) (2) (2)

®
Percentagecalculatedbasedonunpaidprincipalbalanceofloansattimeofacquisition.Single-familybusinessacquisitionsrefertosingle-familymortgageloansweacquirethroughpurchaseor

securitizationtransactions.

FICOcreditscoreisasofloanorigination,asreportedbythesellerofthemortgageloan.FICOcreditscoresatoriginationbelow620primarilyconsistoftherefinanceofexistingloansunderourRefiPlus

initiative,whichincludestheHomeAffordableRefinanceProgram(“HARP”).OurRefiPlusinitiativeprovidesexpandedrefinanceopportunitiesforeligibleFannieMaeborrowers,andmayinvolvethe

refinanceofexistingFannieMaeloanswithhighloan-to-valueratios,includingloanswithloan-to-valueratiosinexcessof100%.

Single-familybusinessacquisitionsfortheapplicableperiodexcludingloansacquiredunderourRefiPlusinitiative,whichincludesHARP.

<=60%

60.01%

to80%

80.01%

to100% >100% Total

>=740

660to<740

620to<660

<620

Total 100.0%

0.3%

5.3%

35.8%

58.6%

0.2%

0.0%

0.0%

0.1%

0.1%

30.2%

0.1%

1.3%

12.1%

16.7%

51.7%

0.1%

2.9%

18.2%

30.5%

17.9%

0.1%

1.1%

5.4%

11.4%

<=60%

60.01%

to80%

80.01%

to100% >100% Total

>=740

660to<740

620to<660

<620

Total 100.0%

0.3%

4.1%

31.6%

63.9%

0.4%

0.0%

0.1%

0.2%

0.1%

26.2%

0.1%

1.0%

10.0%

15.2%

52.7%

0.1%

2.2%

16.5%

33.8%

20.7%

0.1%

0.8%

5.0%

14.8%

<=60%

60.01%

to80%

80.01%

to95% >95% Total

>=740

660to<740

620to<660

Total 100.0%

5.1%

35.6%

59.3%

4.7%

0.2%

2.2%

2.3%

25.7%

1.0%

9.9%

14.7%

52.2%

2.9%

18.3%

31.0%

17.4%

1.0%

5.1%

11.3%

<=60%

60.01%

to80%

80.01%

to95% >95% Total

>=740

660to<740

620to<660

Total 100.0%

3.8%

31.3%

64.9%

2.4%

0.1%

1.1%

1.2%

23.9%

0.8%

8.8%

14.3%

53.3%

2.1%

16.6%

34.6%

20.4%

0.7%

4.8%

14.9%

CreditProfileforSingle-FamilyAcquisitions(ExcludingRefiPlus)(3)

FICOCreditScoreFICOCreditScoreFICOCreditScore

FICOCreditScoreFICOCreditScoreFICOCreditScore

(1)

(2)

(3)

<=60%

60.01%

to80%

80.01%

to95% >95% Total

>=740

660to<740

620to<660

Total 0.0%

1.3%

4.3%

-5.6%

2.3%

0.1%

1.1%

1.1%

1.8%

0.2%

1.1%

0.4%

-1.1%

0.7%

1.7%

-3.6%

-2.9%

0.3%

0.3%

-3.5%

<=60%

60.01%

to80%

80.01%

to100% >100% Total

>=740

660to<740

620to<660

<620

Total 0.0%

-0.1%

1.2%

4.1%

-5.3%

-0.2%

0.0%

0.0%

-0.1%

0.0%

3.9%

0.0%

0.3%

2.1%

1.5%

-0.9%

0.0%

0.7%

1.7%

-3.3%

-2.8%

0.0%

0.3%

0.4%

-3.4%

CreditProfileforSingle-FamilyAcquisitions

CreditRiskProfileSummaryofSingle-FamilyBusinessAcquisitions(1)

2017

2017 2016

2016

Changein

Acquisitions

Profile

Changein

Acquisitions

Profile

OriginationLTVRatio OriginationLTVRatio OriginationLTVRatio

OriginationLTVRatio OriginationLTVRatio OriginationLTVRatio

©2018FannieMae.TrademarksofFannieMae. 7

(2) (2)

(2)(2)

(2)

(2)
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

40%

60%

80%

100%

OriginationLTV

Ratio

0%

5%

10%

15%

20%

%ofSingle-FamilyBusinessAcquisitions

OriginationLoan-to-Value(OLTV)Ratio(2)

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

660

680

700

720

740

760

780

FIC

O

CreditScore

0%

5%

10%

15%

20%

%ofSingle-FamilyBusinessAcquisitions

FICOCreditScore(2)

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

0%

20%

40%

60%

80%

100%

%ofSingle-FamilyBusinessAcquisitions

ShareofSingle-FamilyBusinessAcquisitions:

Fixed-rateProduct

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

0%

20%

40%

60%

80%

100%

%ofSingle-FamilyBusinessAcquisitions

ShareofSingle-FamilyBusinessAcquisitions:

LoanPurpose-Purchase

ProductFeature(2)

WeightedAverageOriginationLTVRatio OriginationLTV>90% WeightedAverageFICOCreditScore FICOCreditScore<620

Percentagecalculatedbasedonunpaidprincipalbalanceofloansattimeofacquisition.Single-familybusinessacquisitionsrefertosingle-familymortgageloansweacquirethroughpurchaseorsecuritization

transactions.

FICOcreditscoreisasofloanorigination,asreportedbythesellerofthemortgageloan.Loansacquiredafter2009withFICOcreditscoresatoriginationbelow620primarilyconsistoftherefinanceofexisting

loansunderourRefiPlusinitiative,whichincludesHARP.

CertainCreditCharacteristicsofSingle-FamilyBusinessAcquisitions:2006-2017(1)

(1)

(2)

.

©2018FannieMae.TrademarksofFannieMae. 8
2010 2011 2012 2013 2014 2015 2016 2017

0%

20%

40%

60%

80%

100%

%ofSingle-FamilyBusinessAcquisitions

2% 1% 1%

4% 3% 2%

6% 10% 10%

16% 14% 6%

14% 14%

9% 9%

41%

36% 48% 52%

48%

54% 52% 55%

56%

45% 44%

52%

30%

23% 24% 21%

HARP RefiPlusAcquisitions(ExcludingHARP) RefinanceAcquisitions(ExcludingRefiPlus) PurchaseAcquisitions

2010

HARP

RefiPlus

(Excl.

HARP)

2011

HARP

RefiPlus

(Excl.

HARP)

2012

HARP

RefiPlus

(Excl.

HARP)

2013

HARP

RefiPlus

(Excl.

HARP)

2014

HARP

RefiPlus

(Excl.

HARP)

2015

HARP

RefiPlus

(Excl.

HARP)

2016

HARP

RefiPlus

(Excl.

HARP)

2017

HARP

RefiPlus

(Excl.

HARP)

UnpaidPrincipalBalance(UPB)($B)

WeightedAverageOriginationNoteRate 4.68%

$80.5

5.00%

$59.0

4.44%

$81.2

4.78%

$55.6

3.89%

$73.8

4.14%

$129.9

3.80%

$64.4

4.04%

$99.5

4.39%

$23.5

4.62%

$21.5

4.08%

$19.2

4.23%

$11.2

3.89%

$14.7

4.05%

$7.4

4.13%

$10.1

4.28%

$4.0

CreditCharacteristicsofSingle-FamilyBusinessAcquisitionsUndertheRefiPlusInitiative(1)

OurRefiPlusinitiative,whichstartedinApril2009,includestheHomeAffordableRefinanceProgram(“HARP”).OurRefiPlusinitiativeprovidesexpandedrefinanceopportunitiesforeligibleFannieMae

borrowers,andmayinvolvetherefinanceofexistingFannieMaeloanswithhighloan-to-valueratios,includingloanswithloan-to-valueratiosinexcessof100%.

FICOcreditscoreisasofloanorigination,asreportedbythesellerofthemortgageloan.

<=80%

80.01%to105%

105.01%to125%

>125%

WeightedAverageOriginationLTVRatio 62.3%

0.0%

0.0%

0.0%

100.0%

92.2%

0.0%

5.6%

94.4%

0.0%

60.2%

0.0%

0.0%

0.0%

100.0%

94.3%

0.0%

11.9%

88.1%

0.0%

61.1%

0.0%

0.0%

0.0%

100.0%

111.0%

20.7%

22.1%

57.2%

0.0%

60.2%

0.0%

0.0%

0.0%

100.0%

109.8%

20.1%

21.5%

58.4%

0.0%

61.3%

0.0%

0.0%

0.0%

100.0%

101.5%

9.9%

16.9%

73.3%

0.0%

60.4%

0.0%

0.0%

0.0%

100.0%

98.4%

7.0%

15.0%

78.0%

0.0%

60.0%

0.0%

0.0%

0.0%

100.0%

96.9%

5.4%

13.5%

81.1%

0.0%

58.6%

0.0%

0.0%

0.0%

100.0%

96.0%

4.7%

12.4%

82.8%

0.0%

OriginationLTVRatio

<620

620to<660

660to<740

>=740

WeightedAverageFICOCreditScore 760

72.3%

23.9%

2.4%

1.4%

746

61.2%

33.1%

3.6%

2.0%

758

70.0%

25.6%

2.8%

1.7%

746

61.5%

32.6%

3.8%

2.1%

753

66.9%

26.0%

4.2%

2.9%

738

56.6%

33.8%

6.0%

3.7%

737

55.8%

31.9%

6.9%

5.3%

722

45.1%

38.7%

9.5%

6.7%

717

43.0%

36.5%

11.2%

9.3%

704

33.9%

41.0%

14.5%

10.6%

722

46.3%

34.4%

10.5%

8.8%

706

34.8%

41.1%

14.6%

9.5%

717

41.6%

37.5%

11.6%

9.2%

703

30.8%

44.9%

15.3%

9.1%

711

37.6%

40.1%

12.5%

9.8%

702

29.8%

46.2%

15.2%

8.8%

FICOCreditScores

(1)

(2)

Single-FamilyBusinessAcquisitionsbyLoanPurpose

AcquisitionYear

©2018FannieMae.TrademarksofFannieMae. 9

(2)

Acquisitions
OverallBook

OriginationYear

2017 2016 2015 2014 2013 2012 2011 2010 2009

2008&

Earlier

UnpaidPrincipalBalance(UPB)($B)

ShareofSingle-FamilyConventionalGuarantyBook

AverageUnpaidPrincipalBalance

SeriousDelinquencyRate

WeightedAverageOriginationLTVRatio

OriginationLTVRatio>90%

WeightedAverageMark-to-MarketLTVRatio

Mark-to-MarketLTVRatio>100%and<=125%

Mark-to-MarketLTVRatio>125%

WeightedAverageFICOCreditScore

FICO<620

InterestOnly

NegativeAmortizing

Fixed-rate

PrimaryResidence

Condo/Co-op

CreditEnhanced

CumulativeDefaultRate

40.5%

9.3%

88.5%

95.2%

0.1%

1.2%

1.7%

745

0.2%

0.8%

58.1%

16.7%

75.0%

1.24%

$166,643

100.0%

$2,858.9

15.3%

9.1%

89.5%

71.0%

1.0%

10.9%

9.6%

698

1.4%

4.3%

57.7%

14.5%

75.3%

4.85%

$98,374

9.7%

$277.5

0.9%

3.2%

8.6%

90.6%

97.4%

0.0%

1.1%

1.0%

751

0.0%

0.1%

46.6%

6.2%

69.4%

1.07%

$131,428

2.8%

$80.6

0.7%

4.2%

8.1%

89.1%

96.9%

0.0%

0.9%

0.8%

756

0.0%

0.1%

44.8%

9.9%

71.0%

0.66%

$133,401

4.1%

$117.2

0.4%

6.5%

8.3%

86.9%

96.5%

0.0%

0.5%

0.8%

757

0.0%

0.1%

43.2%

12.1%

71.1%

0.57%

$134,278

5.0%

$143.9

0.4%

22.8%

8.7%

88.6%

98.3%

0.0%

0.2%

1.1%

759

0.2%

0.8%

47.0%

18.8%

76.4%

0.44%

$166,455

14.4%

$411.6

0.4%

46.0%

9.9%

86.0%

98.1%

0.0%

0.2%

1.9%

750

0.3%

1.0%

51.8%

20.5%

76.8%

0.62%

$164,031

12.5%

$357.8

0.2%

60.3%

9.7%

85.7%

96.2%

0.0%

0.0%

1.5%

743

0.1%

0.5%

58.8%

19.8%

76.9%

0.84%

$167,657

6.8%

$195.7

0.1%

64.8%

9.6%

88.0%

97.8%

0.0%

0.0%

0.7%

748

0.0%

0.2%

61.4%

16.7%

75.1%

0.57%

$196,783

11.6%

$331.7

0.0%

63.6%

9.5%

90.4%

98.8%

0.0%

0.0%

0.3%

751

0.0%

0.1%

65.5%

15.5%

73.7%

0.40%

$220,287

18.1%

$518.0

0.0%

41.7%

9.7%

88.9%

97.4%

0.0%

0.0%

0.3%

744

0.0%

0.2%

73.4%

18.7%

75.9%

0.21%

$222,105

14.9%

$424.9

Excludesnon-FannieMaesecuritiesheldinportfolioandthoseAlt-AandsubprimewrapsforwhichFannieMaedoesnothaveloan-levelinformation.FannieMaehadaccesstodetailedloan-levelinformation

forapproximately99%ofitssingle-familyconventionalguarantybookofbusinessasofDecember31,2017.

FICOcreditscoreisasofloanorigination,asreportedbythesellerofthemortgageloan.Loansacquiredafter2009withFICOcreditscoresatoriginationbelow620primarilyconsistoftherefinanceofexisting

loansunderourRefiPlusinitiative,whichincludesHARP.

Percentageofloansinoursingle-familyconventionalguarantybookofbusiness,measuredbyunpaidprincipalbalance,includedinanagreementusedtoreducecreditriskbyrequiringcollateral,lettersof

credit,mortgageinsurance,corporateguarantees,inclusioninacreditrisktransfertransactionreferencepool,orotheragreementthatprovidesforourcompensationtosomedegreeintheeventofafinancial

lossrelatingtotheloan.BecauseweincludeloansinreferencepoolsforourConnecticutAvenueSecuritiesTM andCreditInsuranceRiskTransferTM creditrisktransfertransactionsonalaggedbasis(typically

aboutsixmonthstooneyearafterweinitiallyacquiretheloans),weexpectthepercentageofour2017single-familyloanacquisitionswithcreditenhancementwillincreaseinthefuture.

Defaultsincludeloanforeclosures,shortsales,salestothirdpartiesatthetimeofforeclosureanddeeds-in-lieuofforeclosure.CumulativeDefaultRateisthetotalnumberofsingle-familyconventionalloansin

theguarantybookofbusinessoriginatedintheidentifiedyearthathavedefaulted,dividedbythetotalnumberofsingle-familyconventionalloansintheguarantybookofbusinessoriginatedintheidentified

year.For2008andearliercumulativedefaultrates,refertoslide18.

(1)

(2)

(3)

(4)

.

CreditCharacteristicsofSingle-FamilyConventionalGuarantyBookofBusinessbyOriginationYear

(1)

(1)

(3)

(4)

AsofDecember31,2017

©2018FannieMae.TrademarksofFannieMae. 10

(2)

(2)

n/a n/a
CategoriesNotMutuallyExclusive

InterestOnly

Loans

Loanswith

FICO<620

LoanswithFICO≥

620and<660

Loanswith

OriginationLTV

Ratio>90%

LoanswithFICO<

620 and

OriginationLTV

Ratio>90%

Alt-ALoans

RefiPlus

IncludingHARP

UnpaidPrincipalBalance(UPB)($B)

ShareofSingle-FamilyConventionalGuarantyBook

AverageUnpaidPrincipalBalance

SeriousDelinquencyRate

AcquisitionYears2005-2008

WeightedAverageOriginationLTVRatio

OriginationLTVRatio>90%

WeightedAverageMark-to-MarketLTVRatio

Mark-to-MarketLTVRatio>100%and<=125%

Mark-to-MarketLTVRatio>125%

WeightedAverageFICOCreditScore

FICO<620

Fixed-rate

PrimaryResidence

Condo/Co-op

CreditEnhanced 11.3%

9.3%

84.3%

99.0%

5.8%

731

0.6%

2.6%

57.6%

38.4%

86.0%

0.0%

0.99%

$139,763

13.2%

$378.5

8.9%

9.4%

76.8%

69.2%

3.5%

709

1.9%

6.0%

63.9%

17.8%

79.3%

54.5%

4.95%

$140,147

2.5%

$71.2

48.4%

5.9%

93.9%

90.6%

100.0%

582

4.4%

11.6%

81.6%

100.0%

109.0%

26.9%

8.74%

$129,754

0.5%

$15.0

72.0%

9.4%

94.5%

97.5%

3.1%

732

0.9%

3.2%

79.1%

100.0%

101.4%

5.8%

1.98%

$174,961

16.7%

$478.8

34.4%

6.0%

93.4%

91.1%

0.0%

642

0.8%

2.7%

63.3%

21.8%

78.2%

20.7%

4.31%

$139,130

5.2%

$149.7

19.9%

4.6%

94.2%

86.1%

100.0%

582

1.8%

5.2%

63.8%

30.6%

82.0%

37.1%

7.59%

$114,488

1.7%

$49.2

12.7%

14.1%

86.0%

25.5%

1.7%

721

2.5%

8.3%

69.9%

8.2%

74.1%

81.0%

6.68%

$219,381

1.2%

$34.5

Loanswithmultipleproductfeaturesareincludedinallapplicablecategories.

FICOcreditscoreisasofloanorigination,asreportedbythesellerofthemortgageloan.

ForadescriptionofourAlt-Aloanclassificationcriteria,refertoFannieMae's2017Form10-K.

OurRefiPlusinitiative,whichstartedinApril2009,includestheHomeAffordableRefinanceProgram(“HARP”).OurRefiPlusinitiativeprovidesexpandedrefinanceopportunitiesforeligibleFannieMae

borrowers,andmayinvolvetherefinanceofexistingFannieMaeloanswithhighloan-to-valueratios,includingloanswithloan-to-valueratiosinexcessof100%.

Thesubtotaliscalculatedbycountingaloanonlyonceevenifitisincludedinmultiplecategories.

Excludesnon-FannieMaesecuritiesheldinportfolioandthoseAlt-AandsubprimewrapsforwhichFannieMaedoesnothaveloan-levelinformation.FannieMaehadaccesstodetailedloan-level

informationforapproximately99%ofitssingle-familyconventionalguarantybookofbusinessasofDecember31,2017.

Percentageofloansinoursingle-familyconventionalguarantybookofbusiness,measuredbyunpaidprincipalbalance,includedinanagreementusedtoreducecreditriskbyrequiringcollateral,lettersof

credit,mortgageinsurance,corporateguarantees,inclusioninacreditrisktransfertransactionreferencepool,orotheragreementthatprovidesforourcompensationtosomedegreeintheeventofa

financiallossrelatingtotheloan.

Subtotalof

CertainProduct

Features

43.3%

8.6%

91.2%

93.1%

5.5%

719

0.6%

2.3%

66.8%

53.9%

86.6%

12.2%

2.35%

$151,436

31.1%

$888.4

CreditCharacteristicsofSingle-FamilyConventionalGuarantyBookofBusiness

byCertainProductFeatures

(1)

(2)

(3)

(4)

(5)

(6)

(7).

AsofDecember31,2017

©2018FannieMae.TrademarksofFannieMae. 11

(6)

(2)

(2)

(6)

(2)

(2) (3) (4)

(7)

(2) (5)

(1)
Midwest

Northeast

Southeast

Southwest

West 12.0%

7.3%

24.3%

38.0%

18.4%

905

637

823

1,467

591

2,203

2,929

6,933

8,076

6,170

802

1,307

2,927

2,540

2,324

535

1,050

1,894

1,957

1,762

0.49%

0.99%

1.74%

2.11%

0.92%

8.4%

15.2%

33.6%

28.7%

14.1%

0.4%

0.4%

1.6%

1.6%

1.1%

51.4%

59.9%

62.0%

58.6%

62.4%

28.0%

17.3%

22.1%

17.8%

14.7%

$801.4

$495.8

$633.1

$508.6

$419.9

Regions

Basedontheunpaidprincipalbalance(UPB)ofthesingle-familyconventionalguarantybookofbusinessasofDecember31,2017.Excludesnon-FannieMaesecuritiesheldinportfolioandthoseAlt-Aand

subprimewrapsforwhichFannieMaedoesnothaveloan-levelinformation.FannieMaehadaccesstodetailedloan-levelinformationforapproximately99%ofitssingle-familyconventionalguarantybookof

businessasofDecember31,2017.

“Seriouslydelinquentloans”referstosingle-familyconventionalloansthatare90daysormorepastdueorintheforeclosureprocess.“Seriouslydelinquentloanshare”referstothepercentageofour

single-familyseriouslydelinquentloanpopulationintheapplicablestateorregion.“Seriousdelinquencyrate”referstothenumberofsingle-familyconventionalloansthatwereseriouslydelinquentinthe

applicablestateorregion,dividedbythenumberofloansinoursingle-familyconventionalguarantybookofbusinessinthatstateorregion.

Measuredfromtheborrowers’lastpaidinstallmentontheirmortgagestowhentherelatedpropertieswereaddedtoourREOinventoryforforeclosurescompletedin2017.HomeEquityConversion

Mortgages(HECMs)insuredbyDepartmentofHousingandUrbanDevelopment(HUD)areexcludedfromthiscalculation.

Expressedasapercentageofthesingle-familycreditlossesforthetimeperiodsnoted.Creditlossesconsistof(a)charge-offsnetofrecoveriesand(b)foreclosedpropertyexpense(income).Percentages

excludetheimpactofrecoveriesthathavenotbeenallocatedtospecificloans.Formoreinformationoncreditlosses,refertoFannieMae’s2017Form10-K.

SelectstatesrepresentthetoptenstatesinUPBofthesingle-familyconventionalguarantybookofbusinessasofDecember31,2017.

Forinformationonwhichstatesareincludedineachregion,refertothesingle-familymortgagecreditriskmanagementdiscussioninFannieMae’s2017Form10-K.

CreditCharacteristicsofSingle-FamilyConventionalGuarantyBookofBusiness

andSingle-FamilyRealEstateOwned(REO)inSelectStates

SFConventionalGuarantyBookofBusiness

asofDecember31,2017

SeriouslyDelinquentLoans

asofDecember31,2017

RealEstateOwned(REO) CreditLoss

(1)

(2)

(3)

(4)

(5)

(6)

AllStates $2,858.9 100.0% 58.1% 1.0% 100.0% 1.24% 7,198 9,900 26,311 912 100.0%

UnpaidPrincipal

Balance(UPB)

($B)

Shareof

Single-Family

Conventional

GuarantyBook

Weighted

Average

Mark-to-Market

LTVRatio

Mark-to-Market

LTV>100%

Seriously

DelinquentLoan

Share

Serious

Delinquency

Rate

Q42017

Acquisitions

(#ofproperties)

Q42017

Dispositions

(#ofproperties)

REOEnding

Inventory

asof12/31/17

AverageDaysto

Foreclosure

%of2017Credit

Losses

California

Texas

Florida

NewYork

Illinois

NewJersey

Washington

Virginia

Pennsylvania

Colorado 0.1%

4.5%

1.9%

0.6%

13.7%

9.4%

11.5%

10.4%

0.9%

8.3%

665

836

530

1,139

1,877

736

1,948

1,334

629

626

71

1,164

724

342

2,714

1,872

1,661

1,870

596

900

29

507

250

126

879

639

497

1,118

199

372

29

365

214

62

678

542

364

393

179

297

0.26%

1.39%

0.65%

0.49%

2.15%

1.24%

2.02%

3.71%

1.46%

0.42%

0.5%

4.0%

1.6%

1.2%

5.4%

4.3%

7.2%

19.2%

8.2%

4.6%

0.0%

1.0%

0.9%

0.1%

3.2%

2.8%

1.4%

3.3%

0.0%

0.4%

54.8%

62.5%

62.1%

53.4%

62.1%

64.0%

53.4%

62.1%

59.0%

49.4%

3.0%

3.0%

3.5%

3.6%

3.7%

3.7%

5.1%

5.7%

6.2%

19.5%

$84.9

$85.1

$99.0

$103.6

$105.0

$106.8

$145.7

$161.7

$178.3

$557.2

SelectStates

Total

©2018FannieMae.TrademarksofFannieMae. 12

(3) (4)

(5)

(6)

(2)

(1) (2)
Basedonstateswiththelargestvolumeofseriouslydelinquentloansinoursingle-familyconventionalguarantybookofbusinessasofDecember31,2017.

“Seriouslydelinquentloanshare”referstothepercentageofoursingle-familyseriouslydelinquentloanpopulationintheapplicablestate.

ShareofREOendinginventorycalculatedasthenumberofpropertiesinthesingle-familyREOendinginventoryforthestatedividedbythetotalnumberofsingle-familypropertiesintheREOendinginventory

forthespecifiedtimeperiod.

2015

Q3

2015

Q4

2016

Q1

2016

Q2

2016

Q3

2016

Q4

2017

Q1

2017

Q2

2017

Q3

2017

Q4

0K

40K

80K

120K

160K

200K

240K

280K

320K

360K

SDQ

Volume

0%

5%

10%

15%

20%

25%

212K

19.2%

8.2%

12.5%

7.2%

5.4%

4.6%

3.1%

10.6%

10.1%

5.2%

SeriouslyDelinquentLoanSharebySelectStates(2)

California

Florida

NewJersey

NewYork

Texas

SDQVolume

2015

Q3

2015

Q4

2016

Q1

2016

Q2

2016

Q3

2016

Q4

2017

Q1

2017

Q2

2017

Q3

2017

Q4

0K

10K

20K

30K

40K

50K

60K

70K

80K

90K

100K

REOEndingInventory

0%

5%

10%

15%

20%

25%

26K

1.8%

2.3%

4.3%

6.3%

6.8%

10.3%

18.0%

7.1%

3.9%

3.4%

REOEndingInventorySharebySelectStates(3)

California

Florida

NewJersey

NewYork

Texas

REOEndingInventory

(1)

(2)

(3)

.

SeriouslyDelinquentLoanandREOEndingInventorySharebySelectStates(1)

©2018FannieMae.TrademarksofFannieMae. 13
Single-FamilyShortSalesandREOSalesPricestoUnpaidPrincipalBalance

(UPB)ofMortgageLoans

2015

Q3

2015

Q4

2016

Q1

2016

Q2

2016

Q3

2016

Q4

2017

Q1

2017

Q2

2017

Q3

2017

Q4

60%

70%

80%

90%

72.4% 72.6% 73.1%

75.0% 73.9% 73.6%

74.1% 75.2% 75.8% 75.5%

79.3% 79.9%

81.9% 80.9% 80.3% 80.9% 82.3% 83.0% 82.7%

79.7%

REO(1)DirectSaleDispositions:SalesPricestoUPB(2)

NetSalesPricestoUPBTrendsforTop10States(2)(3)

REOGrossSales/UPB REONetSales/UPB

2015

Q3

2015

Q4

2016

Q1

2016

Q2

2016

Q3

2016

Q4

2017

Q1

2017

Q2

2017

Q3

2017

Q4

60%

70%

80%

90%

73.8% 73.5% 73.3% 74.1% 74.6% 73.7% 74.1%

75.3% 75.5% 75.8%

82.0% 81.7%

83.2% 82.7% 82.4% 82.5%

84.5%

82.4%

84.2% 84.3%

ShortSales:SalesPricestoUPB(2)

Q42016 Q12017 Q22017 Q32017 Q42017

Florida

NewJersey

Illinois

Ohio

NewYork

Pennsylvania

Michigan

California

Maryland

Georgia 83.8%

71.8%

88.3%

70.1%

69.6%

71.8%

57.3%

63.5%

64.3%

82.7%

83.2%

70.4%

89.4%

69.6%

68.8%

71.3%

63.3%

64.9%

64.1%

83.1%

80.8%

67.7%

87.7%

68.0%

66.6%

70.3%

60.0%

62.5%

65.2%

81.7%

79.9%

70.4%

88.3%

62.4%

60.6%

68.3%

58.6%

64.7%

63.9%

80.5%

79.1%

70.4%

87.2%

60.9%

64.9%

66.9%

58.1%

63.3%

63.0%

79.7%

Q42016 Q12017 Q22017 Q32017 Q42017

Florida

NewJersey

Illinois

NewYork

California

Maryland

Nevada

Virginia

Connecticut

Pennsylvania 71.6%

72.5%

77.1%

76.1%

73.7%

82.3%

81.1%

70.5%

65.0%

77.2%

71.7%

74.2%

76.7%

75.6%

72.9%

83.7%

76.0%

70.6%

68.0%

76.0%

74.3%

71.5%

80.3%

76.2%

72.7%

84.1%

73.1%

70.2%

64.0%

77.5%

72.5%

65.4%

79.5%

70.7%

70.0%

81.9%

74.7%

70.6%

62.5%

74.3%

73.7%

69.9%

78.2%

73.3%

73.0%

81.4%

74.8%

69.1%

65.1%

73.4%

ShortSalesGrossSales/UPB ShortSalesNetSales/UPB

IncludesREOpropertiesthathavebeensoldtoathirdparty(excludingpropertiesthathavebeenrepurchasedbytheseller/servicer,acquiredbyamortgageinsurancecompany,orredeemedbyaborrower).

SalesPricestoUPBarecalculatedasthesumofsalesproceedsreceiveddividedbytheaggregateunpaidprincipalbalance(UPB)oftherelatedloans.Grosssalespricerepresentsthecontractsaleprice.Net

salespricerepresentsthecontractsalepricelesscharges/creditspaidbyorduetothesellerorotherpartiesatclosing.

Thestatesshownhadthegreatestvolumeofpropertiessoldin2017ineachrespectivecategory.

(1)

(2)

(3)

REONetSales

PricestoUPB

ShortSales

NetSales

PricestoUPB

©2018FannieMae.TrademarksofFannieMae. 14
ForeclosureAlternatives(2)

Consistsof(a)modifications,whichdonotincludetrialmodifications,loanstocertainborrowerswhohavereceivedbankruptcyreliefthatareaccountedforastroubleddebtrestructurings,orrepaymentplans

orforbearancesthathavebeeninitiatedbutnotcompletedand(b)repaymentplansandforbearancescompleted.

Consistsof(a)shortsales,inwhichtheborrower,workingwiththeservicerandFannieMae,sellsthehomepriortoforeclosureforlessthantheamountowedtopayofftheloan,accruedinterestandother

expensesfromthesaleproceedsand(b)deeds-in-lieuofforeclosure,whichinvolvetheborrower’svoluntarilysigningovertitletotheproperty.

2015

Q3

2015

Q4

2016

Q1

2016

Q2

2016

Q3

2016

Q4

2017

Q1

2017

Q2

2017

Q3

2017

Q4

0K

2K

4K

6K

8K

10K

12K

14K

16K

18K

20K

22K

24K

#ofLoans

0K

2K 2K

2K 2K 2K

3K 3K 3K 3K

4K 1K

1K 1K

1K

1K

2K 2K

2K

2K

6K

5K 5K 4K

4K

4K 3K 3K

2K

2K

ShortSales

Deeds-in-Lieu

2015

Q3

2015

Q4

2016

Q1

2016

Q2

2016

Q3

2016

Q4

2017

Q1

2017

Q2

2017

Q3

2017

Q4

0K

2K

4K

6K

8K

10K

12K

14K

16K

18K

20K

22K

24K

#ofLoans

22K

20K

22K

20K

17K

21K 21K 21K

19K

22K

1K

1K

2K

2K

2K

2K

2K

1K

1K

1K

24K

20K

22K

23K 22K

19K

22K

23K

21K

23K

Modifications

RepaymentPlansandForbearancesCompleted

(1)

(2)

HomeRetentionSolutions(1)

Single-FamilyLoanWorkouts

©2018FannieMae.TrademarksofFannieMae. 15
Modificationsreflectpermanentmodificationswhichdoesnotincludeloanscurrentlyintrialmodifications.

Definedastotalnumberofcompletedmodificationsforthetimeperiodsnoted.

2015Q1 2015Q2 2015Q3 2015Q4 2016Q1 2016Q2 2016Q3 2016Q4 2017Q1 2017Q2 2017Q3

Modifications 26,700 26,214 22,199 19,099 20,899 21,278 20,802 17,325 19,928 21,539 19,927

Re-performanceRatesofModifiedSingle-FamilyLoans(1)

(1)

(2)

2015Q1 2015Q2 2015Q3 2015Q4 2016Q1 2016Q2 2016Q3 2016Q4 2017Q1 2017Q2 2017Q3

3MonthsPostModification

6MonthsPostModification

9MonthsPostModification

12MonthsPostModification

15MonthsPostModification

18MonthsPostModification

21MonthsPostModification

24MonthsPostModification

70%

65%

75%

64%

70%

79%

63%

66%

71%

77%

62%

65%

67%

69%

75%

62%

64%

66%

67%

68%

77%

63%

65%

65%

66%

65%

70%

79%

65%

65%

65%

64%

64%

67%

72%

78%

65%

65%

63%

62%

64%

67%

69%

76%

68%

65%

64%

64%

67%

67%

69%

77%

67%

65%

65%

66%

67%

68%

72%

79%

%CurrentorPaidOff

©2018FannieMae.TrademarksofFannieMae. 16

n/a

n/a n/a

n/a n/a n/a

n/a n/a n/a n/a

n/a n/a n/a n/a n/a

n/a n/a n/a n/a n/a n/a

n/a n/a n/a n/a n/a n/a n/a

(2)
Basedontheunpaidprincipalbalance(UPB)ofthesingle-familyconventionalguarantybookofbusinessasofDecember31forthetimeperiodsnoted.

Basedonsingle-familycreditlossesfortheyearendedDecember31forthetimeperiodsnoted.Expressedasapercentageofsingle-familycreditlossesforthetimeperiodsnoted.Creditlossesconsistof(a)charge-offsnet

ofrecoveriesand(b)foreclosedpropertyexpense(income).Percentagesexcludetheimpactofrecoveriesthathavenotbeenallocatedtospecificloans.Negativevaluesaretheresultofrecoveriesonpreviouslyrecognized

creditlosses.Formoreinformationoncreditlosses,refertoFannieMae’s2017Form10-K.

Loanswithmultipleproductfeaturesareincludedinallapplicablecategories.Categoriesarenotmutuallyexclusive.

FICOcreditscoreisasofloanorigination,asreportedbythesellerofthemortgageloan.

NewlyoriginatedAlt-Aloansacquiredafter2008consistoftherefinanceofexistingloansunderourRefiPlusInitiative.ForadescriptionofourAlt-Aloanclassificationcreteria,refertoFannieMae's2017Form10-K.

Foradescriptionofoursubprimeloanclassificationcriteria,refertoFannieMae’s2017Form10-K.

Selectstatesrepresentthetoptenstateswiththehighestpercentageofsingle-familycreditlossesfortheyearendedDecember31,2017.

CreditLossConcentrationofSingle-FamilyConventionalGuarantyBookofBusiness

(1)

(2)

(3)

(4)

(5)

(6)

(7)

NewJersey

NewYork

Florida

Illinois

California

Maryland

Pennsylvania

Ohio

Connecticut

Nevada

AllOtherStates 50.6%

1.0%

1.4%

2.2%

3.1%

2.8%

19.0%

4.2%

6.0%

5.6%

4.0%

50.8%

1.0%

1.4%

2.1%

3.1%

2.8%

19.6%

4.1%

5.7%

5.6%

4.0%

51.0%

1.0%

1.3%

2.1%

3.0%

2.7%

19.6%

4.1%

5.6%

5.5%

4.0%

51.4%

1.0%

1.3%

2.0%

3.0%

2.7%

19.7%

4.0%

5.6%

5.4%

3.9%

51.9%

1.0%

1.3%

2.0%

3.0%

2.7%

19.6%

3.9%

5.6%

5.2%

3.8%

52.4%

1.1%

1.2%

2.0%

3.0%

2.7%

19.5%

3.7%

5.7%

5.1%

3.7%

35.4%

4.8%

0.9%

3.3%

1.6%

1.8%

18.4%

9.6%

21.4%

0.9%

2.0%

32.1%

3.8%

1.4%

4.1%

3.0%

3.1%

5.1%

12.9%

28.9%

1.9%

3.7%

26.7%

1.4%

2.8%

4.2%

4.2%

5.9%

-0.8%

10.9%

32.6%

4.8%

7.2%

18.6%

1.8%

2.3%

2.2%

3.4%

3.8%

1.4%

7.8%

20.8%

16.4%

21.6%

29.5%

1.2%

2.7%

4.3%

5.0%

3.9%

2.1%

8.7%

7.9%

18.3%

16.5%

28.9%

2.2%

2.8%

3.6%

4.5%

4.7%

8.3%

9.4%

10.4%

11.5%

13.7%

SelectState

%ofSingle-FamilyConventionalGuarantyBookofBusiness

2017 2016 2015 2014 2013 2012

%ofSingle-FamilyCreditLosses

2017 2016 2015 2014 2013 2012

NegativeAmortizing

InterestOnly

FICO<620

FICO620to<660

OriginationLTVRatio>90%

FICO<620andOriginationLTVRatio>90%

Alt-A

Subprime

RefiPlusincludingHARP 16.5%

0.2%

5.6%

0.7%

12.8%

6.0%

2.9%

3.7%

0.3%

19.5%

0.1%

4.7%

0.7%

15.1%

5.5%

2.6%

2.9%

0.2%

19.1%

0.1%

4.2%

0.7%

15.9%

5.5%

2.5%

2.5%

0.2%

17.6%

0.1%

3.7%

0.7%

16.3%

5.5%

2.3%

2.1%

0.1%

15.4%

0.1%

3.1%

0.6%

16.4%

5.3%

2.0%

1.7%

0.1%

13.2%

0.1%

2.5%

0.5%

16.7%

5.2%

1.7%

1.2%

0.1%

3.5%

1.1%

23.7%

2.3%

16.8%

14.2%

7.8%

21.8%

0.5%

7.4%

-0.2%

26.0%

2.0%

20.8%

15.7%

7.0%

18.7%

0.8%

10.4%

1.3%

17.4%

2.9%

15.3%

17.6%

12.1%

10.2%

0.9%

7.8%

1.6%

29.3%

2.7%

16.4%

18.3%

11.1%

18.0%

1.2%

14.0%

1.3%

24.9%

3.9%

21.9%

21.3%

14.5%

12.2%

0.3%

15.9%

1.6%

21.9%

4.0%

23.9%

19.5%

13.5%

15.7%

0.2%

2009-2017

2005-2008

2004&Prior 13.1%

21.7%

65.3%

9.1%

14.7%

76.2%

7.3%

12.2%

80.5%

5.8%

10.1%

84.1%

4.5%

8.1%

87.4%

3.5%

6.2%

90.3%

13.1%

81.8%

5.1%

12.4%

77.6%

10.0%

12.0%

74.7%

13.3%

12.1%

77.6%

10.3%

16.4%

64.7%

19.0%

12.2%

64.8%

23.1%

Vintage

CertainProductFeatures(3)

©2018FannieMae.TrademarksofFannieMae. 17

(4)

(4)

(4)

(5)

(6)

(1) (2)

(7)
Note:Defaultsincludeloanforeclosures,shortsales,salestothirdpartiesatthetimeofforeclosureanddeeds-in-lieuofforeclosure.CumulativeDefaultRateisthetotalnumberofsingle-familyconventionalloansin

theguarantybookofbusinessoriginatedintheidentifiedyearthathavedefaulted,dividedbythetotalnumberofsingle-familyconventionalloansintheguarantybookofbusinessoriginatedintheidentifiedyear.

*AsofDecember31,2017,cumulativedefaultrateontheloansoriginatedfrom2012to2017waslessthan1.2%.

DataasofDecember31,2017isnotnecessarilyindicativeoftheultimateperformanceoftheloansandperformanceislikelytochange,perhapsmaterially,infutureperiods.

Yr1-Q1Yr1-Q2Yr1-Q3Yr1-Q4Yr2-Q1Yr2-Q2Yr2-Q3Yr2-Q4Yr3-Q1Yr3-Q2Yr3-Q3Yr3-Q4Yr4-Q1Yr4-Q2Yr4-Q3Yr4-Q4Yr5-Q1Yr5-Q2Yr5-Q3Yr5-Q4Yr6-Q1Yr6-Q2Yr6-Q3Yr6-Q4Yr7-Q1Yr7-Q2Yr7-Q3Yr7-Q4Yr8-Q1Yr8-Q2Yr8-Q3Yr8-Q4Yr9-Q1Yr9-Q2Yr9-Q3Yr9-Q4

Yr10-Q1Yr10-Q2Yr10-Q3Yr10-Q4Yr11-Q1Yr11-Q2Yr11-Q3Yr11-Q4

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

CumulativeDefaultRate

2007

2006

2005

2004

2003

2002

2017* 2016* 2015* 2014* 2013* 2012* 2011 2010

2009

2008

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012*

2013*

2014*

2015*

2016*

2017*

CumulativeDefaultRatesofSingle-FamilyConventionalGuarantyBookofBusinessbyOriginationYear

TimeSinceBeginningofOriginationYear

©2018FannieMae.TrademarksofFannieMae. 18
LoanCount UPB($B)

%ofMultifamily

GuarantyBookof

Business

%DUS Loans

%Seriously

Delinquent

2017Multifamily

CreditLosses($M)

2016Multifamily

CreditLosses($M)

2015Multifamily

CreditLosses($M)

TotalMultifamilyGuarantyBookofBusiness 28,184 $277.3 100% 97.4% 0.11% ($20) ($4) ($56)

Loansmaturingin2018

Loansmaturingin2019

Loansmaturingin2020

Loansmaturingin2021

Loansmaturingin2022

Othermaturities ($56)

$1

$2

($1)

($2)

$0

($15)

$2

$1

$5

$0

$4

($7)

$0

($1)

($5)

($1)

($7)

0.07%

0.18%

0.31%

0.07%

0.34%

0.18%

98%

97%

97%

97%

98%

94%

75%

8%

6%

5%

5%

2%

$207.0

$22.8

$16.4

$13.5

$12.9

$4.6

17,867

3,154

2,262

2,172

1,715

1,014

MaturityDates

Lessthanorequalto70%

Greaterthan70%andlessthanorequalto80%

Greaterthan80% $2

($34)

($24)

$0

$3

($7)

($2)

$0

($18)

0.21%

0.11%

0.10%

92%

99%

96%

2%

44%

55%

$4.2

$121.4

$151.7

945

9,960

17,279

OriginationLTVRatio

Lessthanorequalto$750K

Greaterthan$750Kandlessthanorequalto$3M

Greaterthan$3Mandlessthanorequalto$5M

Greaterthan$5Mandlessthanorequalto$25M

Greaterthan$25M ($15)

($60)

$9

$9

$1

$0

($15)

$6

$5

$0

($2)

($22)

$1

$3

$0

0.07%

0.12%

0.20%

0.29%

0.34%

98%

99%

93%

85%

25%

51%

39%

5%

4%

0%

$142.1

$108.4

$13.6

$12.2

$1.0

2,786

9,794

3,743

7,763

4,098

LoanSizeDistribution

(1)

(2)

(3)

(4)

(5)

(6)

Representsthepercentageofloansforagivencategory(row)comprisedofDUSloans,measuredbyunpaidprincipalbalance.

Multifamilyloansareclassifiedasseriouslydelinquentwhenpaymentis60daysormorepastdue.

Dollaramountofmultifamilycredit-relatedlosses/(gains)fortheapplicableperiodandcategory.Totalcreditlossesforeachperiodmaynottietosumofallcategoriesduetorounding.

Weightedaverageoriginationloan-to-valueratiois67%asofDecember31,2017.

UndertheDelegatedUnderwritingandServicing,orDUS,program,FannieMaeacquiresindividual,newlyoriginatedmortgagesfromspeciallyapprovedDUSlendersusingDUSunderwritingstandardsand/orDUSloandocuments.Because

DUSlendersgenerallysharetheriskoflosswithFannieMae,theyareabletooriginate,underwrite,closeandservicemostloanswithoutourpre-review.

Multifamilyloanswithanoriginalunpaidbalanceofupto$3millionnationwideorupto$5millioninhighcostmarkets.

DUS-SmallBalanceLoans

DUS-NonSmallBalanceLoans

Total ($54)

($57)

$3

($3)

($6)

$2

($19)

($25)

$5

0.11%

0.10%

0.24%

100%

100%

100%

97%

93%

5%

$270.0

$257.4

$12.6

22,598

15,793

6,805

DelegatedUnderwritingandServicing(DUS)Loans

Non-DUS-SmallBalanceLoans

Non-DUS-NonSmallBalanceLoans

Total ($2)

($5)

$2

($1)

($2)

$1

($1)

$0

$0

0.08%

0.00%

0.18%

0%

0%

0%

3%

1%

1%

$7.2

$3.9

$3.3

5,586

262

5,324

Non-DelegatedUnderwritingandServicing(Non-DUS)Loans

LenderRisk-Sharing

NoRecoursetotheLender ($32)

($24)

($14)

$10

($14)

($6)

0.02%

0.11%

68%

98%

4%

96%

$10.1

$267.2

1,763

26,421

LenderRisk-Sharing

Fixed

Variable ($22)

($34)

$2

($6)

$0

($20)

0.09%

0.11%

97%

98%

18%

82%

$51.1

$226.2

5,964

22,220

InterestRateType

MultifamilyCreditProfilebyLoanAttributes

AsofDecember31,2017

©2018FannieMae.TrademarksofFannieMae. 19

® (1)

(4)

(5)

(6)

(6)

(2) (3) (3) (3)

($19)
UPB($B)

%ofMultifamily

GuarantyBookof

Business

%DUSLoans

%Seriously

Delinquent

2017Multifamily

CreditLosses($M)

2016Multifamily

CreditLosses($M)

2015Multifamily

CreditLosses($M)

TotalMultifamilyGuarantyBookofBusiness $277.3 100% 97% 0.11% ($20) ($4) ($56)

MultifamilyCreditProfilebyLoanAttributes(cont.)

California

Texas

NewYork

Florida

Washington $1

($3)

$1

($6)

$0

$0

$0

$0

($5)

$0

$0

$0

($1)

($3)

$0

0.00%

0.00%

0.01%

0.50%

0.00%

99%

98%

85%

100%

97%

4%

7%

9%

12%

20%

$10.6

$20.6

$24.1

$33.9

$54.6

SelectStates

PrivatelyOwnedwithSubsidy $33.3 12% 95% 0.21% ($1) $2 ($4)

TargetedAffordableSegment

DUS:Bank(DirectorGuaranteedEntity)

DUS:Non-BankFinancialInstitution

Non-DUS:Bank(DirectorGuaranteedEntity)

Non-DUS:Non-BankFinancialInstitution

Non-DUS:PublicAgency/NonProfit $0

$0

$0

($13)

($44)

$0

($2)

$0

($5)

$3

$0

$0

$0

($4)

($16)

0.00%

0.00%

0.11%

0.12%

0.07%

3%

1%

0%

100%

97%

0%

0%

1%

66%

33%

$0.2

$0.2

$3.2

$181.8

$91.9

DUS&Non-DUSLenders/Servicers

Representsthepercentageofloansforagivencategory(row)comprisedofDUSloans,measuredbyunpaidprincipalbalance.

Multifamilyloansareclassifiedasseriouslydelinquentwhenpaymentis60daysormorepastdue.

Dollaramountofmultifamilycredit-relatedlosses/(gains)fortheapplicableperiodandcategory.Totalcreditlossesforeachperiodwillnottietosumofallcategoriesduetorounding.

TheMultifamilyAffordableBusinessChannelfocusesonfinancingpropertiesthatareunderanagreementthatprovideslong-termaffordability,suchaspropertieswithrentsubsidiesorincomerestrictions.

Seehttps://www.fanniemae.com/multifamily/productsfordefinitions.

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

Priorto2007 ($24)

($17)

($20)

$4

($1)

$2

$0

$0

$0

$0

$0

$0

($7)

($3)

($1)

$0

$3

$0

$2

$0

$0

$0

$0

$0

$2

($14)

($5)

$0

($5)

($1)

$0

$0

$2

$0

$1

$0

0.15%

0.63%

0.07%

0.06%

0.00%

0.38%

0.30%

0.11%

0.15%

0.09%

0.02%

0.04%

95%

69%

93%

97%

95%

96%

97%

98%

99%

99%

99%

97%

4%

1%

2%

3%

3%

5%

8%

8%

9%

14%

19%

24%

$12.4

$2.8

$4.9

$8.9

$9.0

$13.3

$22.2

$21.4

$24.1

$37.8

$53.4

$67.0

ByAcquisitionYear

Midwest

Northeast

Southeast

Southwest

West ($31)

($11)

($19)

$4

$1

($7)

($7)

$6

$1

$3

$0

($18)

$2

($1)

($2)

0.00%

0.30%

0.06%

0.13%

0.02%

97%

99%

99%

90%

99%

27%

23%

26%

15%

9%

$75.3

$63.7

$72.2

$41.2

$24.9

Regions

Conventional/Co-op

SeniorsHousing

ManufacturedHousing

StudentHousing ($7)

$0

$7

($56)

($5)

$0

$2

($1)

$1

$0

($1)

($20)

0.00%

0.00%

0.00%

0.12%

100%

100%

98%

97%

4%

3%

5%

88%

$9.8

$9.5

$14.8

$243.1

AssetClass

(1)

(2)

(3)

(4)

(5)

AsofDecember31,2017

©2018FannieMae.TrademarksofFannieMae. 20

(1)

(2) (3) (3) (3)

(4)

(5)

($19)
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

0.00%

0.20%

0.40%

0.60%

0.80%

1.00%

1.20%

1.40%

1.60%

SeriousDelinquencyRate

0.09%

0.44%

0.55%

0.34%

0.15%

0.08%

0.08%

1.36%

1.20%

0.24%

0.30%

0.71%

0.18%

0.21%

0.56%

0.24%

0.21%

0.63%

0.50%

0.11%

0.10%

0.59%

0.07%

0.07% 0.06% 0.05%

0.05%

0.92%

0.08%

0.04%

0.39%

MultifamilyTotalSeriousDelinquencyRate DUS SeriousDelinquencyRate Non-DUSSeriousDelinquencyRate

SeriousDelinquency(1)RatesofMultifamilyBookofBusiness

Multifamilyloansareclassifiedasseriouslydelinquentwhenpaymentis60daysormorepastdue.Seriousdelinquencyraterepresentstheyear-endpercentageofunpaidprincipalbalancethatisseriously

delinquentasofDecember31forthetimeperiodsnoted.

UndertheDelegatedUnderwritingandServicing,orDUS,program,FannieMaeacquiresindividual,newlyoriginatedmortgagesfromspeciallyapprovedDUSlendersusingDUSunderwritingstandards

and/orDUSloandocuments.BecauseDUSlendersgenerallysharetheriskoflosswithFannieMae,theyareabletooriginate,underwrite,closeandservicemostloanswithoutourpre-review.

(1)

(2)

.

©2018FannieMae.TrademarksofFannieMae. 21

(2)
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

0

20

40

60

UPB($B)

$19

$33

$19

$24 $22

$46

$34

$19 $17

$24

$33

$29 $29

$42

$55

$67

DUS/Non-DUSAcquisitionUnpaidPrincipalBalance($B)(2)

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

0.0%

0.5%

1.0%

1.5%

2.0%

CreditLossRate

0.2%

0.0%

0.1%

0.2%

0.0%

0.1%

0.4%

0.0%

0.3%

0.5%

0.0%

0.4%

0.9%

0.2%

0.7%

1.2%

0.9%

1.1%

0.8%

1.4%

0.9%

0.3%

0.1%

0.2%

0.1%

0.0%

0.1%

0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

DUS/Non-DUSCumulativeCreditLossRatesthroughDecember31,2017(1)

DUSCreditLossRate Non-DUSCreditLossRate MultifamilyTotalCreditLossRate

CumulativeCreditLossRatesofMultifamilyGuarantyBookofBusinessby

AcquisitionYear

DUS Non-DUS

*Year-to-datethroughDecember31,2017. AcquisitionYear

Cumulativecreditlossrateisthecumulativecreditlosses(gains)throughDecember31,2017onthemultifamilyloansthatwereacquiredintheapplicableperiod,asapercentageofthetotalacquiredunpaid

principalbalanceofmultifamilyloansintheapplicableperiod.

AcquisitionunpaidprincipalbalancerepresentsthetotalMultifamilyvolumeacquiredthroughpurchaseorsecuritizationtransactionsfortheapplicableperiod.

(1)

(2)

©2018FannieMae.TrademarksofFannieMae. 22