Second Quarter 2013 

Financial Results 

Supplement

August 7, 2013
2

Table of contents

Business Results Credit Supplement

3 - Quarterly Net Income and Comprehensive Income 21 - National Home Prices

4 - Comprehensive Income (Loss) 22 - State-by-State Home Prices: June 2006 to June 2013

5 - Senior Preferred Stock Purchase Agreement with Treasury 23 - State-by-State Home Prices: June 2012 to June 2013

6 - Treasury Draw Requests and Dividend Payments 24 - Mortgage Market and Freddie Mac Serious Delinquency Rates

7 - Total Equity (Deficit) and Senior Preferred Stock Activity 25 -

8 - Single-Family Guarantee Fees Charged on New Acquisitions 26 -

9 - Loan Loss Reserves 27 -

 10 - Deferred Tax Asset Valuation Allowance 28 -

 11 - 29 -

 12 - 30 -

 13 - 31 -

 14 - 32 -

 15 - 33 - Multifamily Portfolio Composition

 16 - 34 - Multifamily New Business Volume by State

 17 - 35 - Multifamily Mortgage Portfolio UPB Concentration by State

 18 - 36 - Multifamily Mortgage Portfolio by Attribute

 19 - 37 - Multifamily Mortgage Portfolio by Attribute, Continued

 38 - Multifamily Market and Freddie Mac Delinquency Rates

Real Estate Owned

Single-Family Cumulative Foreclosure Transfer and Short Sale 

Rates by Book Year

Market Liquidity Provided

Single-Family Refinance Activity

Performance of Single-Family Modified Loans

Single-Family Loan Modifications

Single-Family Loan Workouts

Administrative Expenses

Repurchase Requests

Purchase Agreement Portfolio Limits

Loan Purpose of Single-Family Credit Guarantee Portfolio 

Purchases

Credit Quality of Single-Family Credit Guarantee Portfolio Purchases

Single-Family Credit Guarantee Portfolio Characteristics

Single-Family 2Q 2013 Credit Losses and REO by Region and State

Single-Family Credit Profile by Book Year and Product Feature

Single-Family Serious Delinquency Rates by State and Region

Aging of Single-Family Seriously Delinquent Loans by Judicial and 

Non-Judicial States
3

Quarterly net income and comprehensive income 

 Line 4: Derivative gains increased in 2Q13 primarily due 

to higher gains on the net pay-fixed swap portfolio as 

long-term interest rates increased more in 2Q13 as 

compared to 1Q13. 

 Line 6: The shift from other non-interest income in 1Q13 

to other non-interest loss in 2Q13 primarily reflects higher 

losses on mortgage loans recorded at fair value in 2Q13.

 Line 15: The shift from total other comprehensive 

income in 1Q13 to total other comprehensive loss in 

2Q13 primarily reflects that 1Q13 results benefited from 

significant spread tightening on non-agency available-forsale securities whereas spreads on commercial 

mortgage-backed securities widened during 2Q13.

($ Millions) 2Q 2013

vs

1Q 2013 2Q 2013 1Q 2013

1 Net interest income $4,265 $4,144 ($121)

2 Benefit (provision) for credit losses 503 623 120

3 Net interest income after benefit (provision) 

for credit losses 4,768 4,767 (1)

Non-interest income (loss)

4 Derivative gains (losses) 375 1,362 987

5 Net impairment of available-for-sale securities 

recognized in earnings (43) (44) (1)

6 Other non-interest income (loss) 70 (640) (710)

7 Non-interest income (loss) 402 678 276

Non-interest expense

8 Total administrative expenses (432) (444) (12)

9 Real estate owned operations income (expense) (6) 110 116

10 Other expenses (186) (164) 22

11 Non-interest expense (624) (498) 126

12 Income before income tax benefit 4,546 4,947 401

13 Income tax benefit 35 41 6

14 Net income 4,581 4,988 407

15 Total other comprehensive income (loss), 

net of taxes 2,390 (631) (3,021)

16 Comprehensive income $6,971 $4,357 ($2,614)
$(1.1)

$(4.4)

$1.5 $1.8 

$2.9 

$5.6 $5.7 

$7.0 

$4.4 

(6)

(4)

(2)

0

2

4

6

8

2Q

 2011

3Q

 2011

4Q

 2011

1Q

 2012

2Q

 2012

3Q

2012

4Q

2012

1Q

2013

2Q

2013

$ Billions

Net income (loss)

Total other comprehensive income (loss), net of taxes

Comprehensive income (loss)

4

Comprehensive income (loss) 

 1

1 Consists of the after-tax changes in: (a) the unrealized gains and losses on available-for-sale securities; (b) the effective portion of derivatives previously designated as cash flow 

hedges; and (c) defined benefit plans. 

A

B

C = A + B
Senior Preferred Stock Purchase Agreement with 

Treasury

 Senior preferred stock outstanding and held by Treasury remained $72.3 billion at June 

30, 2013. 1

» Dividend payments do not reduce prior Treasury draws.

» Any future draws will increase the balance of senior preferred stock outstanding.

 Since entering conservatorship in September 2008, Freddie Mac has:

» Received cumulative draws of $71.3 billion from Treasury. No draws have been requested for 

the past five quarters; last draw request was $19 million for first quarter 2012.

 Freddie Mac’s net worth was $7.4 billion at June 30, 2013. As a result:

» The company’s dividend obligation to Treasury will be $4.4 billion in September 2013. 

» The company’s aggregate cash dividends paid to Treasury will total approximately $41 billion 

including the September obligation.

 The amount of remaining Treasury funding currently available to Freddie Mac under the 

Purchase Agreement is $140.5 billion. Any future draws will reduce this amount.

1 Senior preferred stock outstanding of $72.3 billion at June 30, 2013 includes cumulative draws of $71.3 billion plus the initial liquidation preference of $1 billion. 5
$0.2 

$4.1 $5.7 $6.5 $7.2 

$12.8 

2008 2009 2010 2011 2012 YTD

2Q 2013

$44.6 

$6.1 

$13.0 

$7.6 

$0.02 $0.0 

2008 2009 2010 2011 2012 YTD

2Q 2013

Draw Request from Treasury Dividend Payment to Treasury

6

Treasury draw requests and dividend payments

1 Amounts may not add due to rounding.

2 Data as of June 30, 2013. 

3 Amount does not include the September 2013 dividend obligation of $4.4 billion. 

4 Annual amounts represent the total draws requested based on Freddie Mac’s quarterly net deficits for the periods presented. Draw requests are funded in the subsequent quarter 

(e.g., $19 million draw request for 1Q 2012 was funded in 2Q 2012).

5 Represents quarterly cash dividends paid by Freddie Mac to Treasury during the periods presented. Through December 31, 2012, Treasury was entitled to receive cumulative 

quarterly cash dividends at the annual rate of 10% per year on the liquidation preference of the senior preferred stock. However, the fixed dividend rate was replaced with a net 

worth sweep dividend payment beginning in the first quarter of 2013. See the company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2013 for more information. 

$ Billions

4 5

2, 3 2

($ Billions) Cumulative 

Total

Initial Liquidation Preference $1.0

Treasury Draw Requests $71.3

 Total Senior Preferred Stock 

 Outstanding $72.3

($ Billions) Cumulative 

Total

Dividend Payments as of 6/30/13 $36.6

3Q 2013 Dividend Obligation $4.4

 Total Dividend Payments1 $40.9
7

Total equity (deficit) and Senior Preferred Stock activity

1 See the company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2013 for a description of the company’s dividend obligation to Treasury.

2 Includes the initial liquidation preference of Freddie Mac’s senior preferred stock of $1.0 billion.

($ Millions)

2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013

1 Beginning balance - Total equity (deficit) / GAAP net worth ($18) $1,086 $4,907 $8,827 $9,971

2 Capital draw funded by Treasury 19 0 0 0 0

3 Net income 3,020 2,928 4,457 4,581 4,988

4 Total other comprehensive income (loss), net of taxes (128) 2,702 1,271 2,390 (631)

5 Comprehensive income 2,892 5,630 5,728 6,971 4,357

6 Dividends paid to Treasury (1,809) (1,809) (1,808) (5,827) (6,971)

7 Other 2 0 0 0 0

8 Ending balance - Total equity / GAAP net worth1 $1,086 $4,907 $8,827 $9,971 $7,357

9 Requested capital draw $0 $0 $0 $0 $0

10 Aggregate liquidation preference of the senior preferred stock2 $72,336 $72,336 $72,336 $72,336 $72,336

11 Remaining senior preferred stock funding beginning in 2013 N/A N/A N/A $140,474 $140,474
8

Single-family guarantee fees charged on new 

acquisitions

1 Effective April 1, 2012, guarantee fees charged on single-family loans sold to Freddie Mac were increased by 10 basis points. Under the Temporary Payroll Tax Cut Continuation Act 

of 2011, Freddie Mac is required to remit the proceeds from this increase to Treasury. Given the April 1, 2012 effective date, the impact of the increase on average guarantee fees for 

full-year 2012 was 7.5 basis points. 

2 Represents the estimated rate of management and guarantee fees for new acquisitions during the period assuming amortization of delivery fees using the estimated life of the related 

loans rather than the original contractual maturity date of the related loans. Also includes the effect of pricing adjustments that are based on the relative performance of our PCs 

compared to comparable Fannie Mae securities. 

Quarterly

In Basis Points, Annualized

Annual

In Basis Points

40 42 44

49 51

0

10

20

30

40

50

60

2Q

2012

3Q

2012

4Q

2012

1Q

2013

2Q

2013

20

25 27

38

50

0

10

20

30

40

50

60

2009 2010 2011 2012 YTD 2013 1

Legislated 10 Basis Point Guarantee Fee Remitted 

to Treasury

Single-Family Guarantee Fee Charged on New 

Acquisitions (excluding amounts remitted to Treasury) 2 1
$3.1 $3.2 $3.2 $3.3 $2.9 $3.0 

$2.5 

$2.1 $1.9 

$2.5 

$3.6 

$2.6 

$1.8 

$0.2 

$0.6 

($0.7) ($0.5) ($0.6)

$39.1 $39.7 $39.5 $38.3

$35.8

$33.8

$30.9

$28.6 $26.4

$5.0

$15.0

$25.0

$35.0

$45.0

($2.0)

($1.0)

$0.0

$1.0

$2.0

$3.0

$4.0

$5.0

$6.0

2Q 2011 3Q 2011 4Q 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013

Period End Balances

$ Billions $ Billions

Net Charge-offs Provision (Benefit) Loan Loss Reserves

9

Loan loss reserves

1

 1 

1 Includes amounts related to certain loans purchased under financial guarantees and reflected within other expenses on the company’s consolidated statements of comprehensive 

income.

2 Consists of the allowance for loan losses and the reserve for guarantee losses. 

 2
Deferred tax asset valuation allowance

 A deferred tax asset (DTA) is recorded on the company’s balance sheet and reflects future deductions against the 

company’s taxable income. The realization of these net DTAs depends on sufficient taxable income in future periods. 

 Valuation allowances are recorded to reduce net DTAs when it is more likely than not that a tax benefit will not be 

realized. As of June 30, 2013, the company maintains a valuation allowance of $28.6 billion on its net DTAs. 

 The company determines whether a valuation allowance is necessary on its net DTAs considering objective and 

subjective evidence including, but not limited to, the following:

 The company’s consideration of evidence requires significant judgments, estimates, and assumptions about inherently 

uncertain matters.

 If the housing market continues to improve, the company’s positive trend in book and taxable income continues, and 

the company retains its positive outlook for book and taxable income, then the company may release its valuation 

allowance in 2013. Any release of the valuation allowance would be recognized in income and the company would 

expect to report a significant tax benefit and a corresponding increase in net worth in that period. The increase in net 

worth would result in an increased dividend obligation to Treasury.

10

Objective Evidence Subjective Evidence

 Its cumulative income position for the past three years  Difficulty in predicting unsettled circumstances related 

to conservatorship

 The trend of the company’s financial and tax results  Its estimated 2012 taxable income (loss), which is 

expected to be breakeven

 Its significant tax net operating loss and low income 

housing tax credit carryforwards

 Forecasts of future book and tax income

 Its access to capital under the agreements associated 

with the conservatorship
47,974 44,628 

16,420

(19,766) 

3/31/13

 Inventory

Acquisitions Dispositions 6/30/13

 Inventory

11

Real estate owned1

Property Inventory 

2Q 2013 Activity

Geographic Distribution2

Based on Number of Properties in Inventory

Historical Trend

Ending Property Inventory

1 Includes single-family and multifamily REO. Multifamily ending property inventory was 6 properties as of March 31, 2013 and 5 properties as of June 30, 2013.

2 Region designation: West (AK, AZ, CA, GU, HI, ID, MT, NV, OR, UT, WA); Northeast (CT, DE, DC, MA, ME, MD, NH, NJ, NY, PA, RI, VT, VA, WV); Southeast (AL, FL, GA, KY, MS, 

NC, PR, SC, TN, VI); North Central (IL, IN, IA, MI, MN, ND, OH, SD, WI); and Southwest (AR, CO, KS, LA, MO, NE, NM, OK, TX, WY).

((Number of Properties)

 In 2Q13 REO dispositions continued to exceed the volume of REO acquisitions. 

The volume of our single-family REO acquisitions in recent periods has been 

significantly affected by the length of the foreclosure process and a high volume of 

foreclosure alternatives, which result in fewer loans proceeding to foreclosure, and 

thus fewer properties transitioning to REO.

 The North Central region comprised 40 percent of our REO property inventory at 

June 30, 2013. This region generally has experienced more challenging economic 

conditions, and includes a number of states with longer foreclosure timelines due to 

the local laws and foreclosure process in the region. Seven of the nine states in the 

North Central region require a judicial foreclosure process. Foreclosures generally 

take longer to complete in states where judicial foreclosures (those conducted under 

the supervision of a court) are required than in states where non-judicial 

foreclosures are permitted.

61k 

48k 

60k 61k 59k 

53k

51k 49k

45k

30,000

40,000

50,000

60,000

70,000

2Q

2011

3Q

2011

4Q

2011

1Q

2012

2Q

2012

3Q

2012

4Q

2012

1Q

2013

2Q

2013

Number of 

Properties 

5k 

12k 

20k 

5k 

6k 6k 

12k 

18k 

5k 5k

0

5,000

10,000

15,000

20,000

25,000

Northeast Southeast North Central Southwest West

Number of 

Properties

3/31/2013 6/30/2013
2,480

2,089

1,830

2,472

1,466

540 600 755 723 743

0

500

1,000

1,500

2,000

2,500

3,000

2009 2010 2011 2012 YTD

2013

2Q

 2012

3Q

2012

4Q

2012

1Q

2013

2Q

2013

12

Market liquidity provided

Number of Families Freddie Mac 

Helped to Own or Rent a Home1

In Thousands

Purchase and Issuance Volume2, 3 

(Single-Family and Multifamily)

$ Billions

1 For the periods presented, a borrower may be counted more than once if the company purchased more than one loan (purchase or refinance mortgage) relating to the same 

borrower.

2 Includes cash purchases of single-family and multifamily mortgage loans, issuances of Freddie Mac mortgage-related securities through the company’s guarantor swap program, 

issuances of other guarantee commitments and purchases of non-Freddie Mac mortgage-related securities.

3 In the first quarter of 2013, Freddie Mac made certain changes to more closely align the presentation of the company’s single-family and multifamily securitization activities. As a 

result, the purchase and issuance volumes for all prior periods have been revised to conform with the current period presentation.

$546

$406

$349

$456

$276

$95 $110 $140 $138 $138

0

100

200

300

400

500

600

2009 2010 2011 2012 YTD

2013

2Q

 2012

3Q

2012

4Q

2012

1Q

2013

2Q

2013

Number of Families Freddie Mac Helped to Own or Rent a Home1 (In Thousands)

 Refinance borrowers (includes HARP)

 Purchase borrowers

 Multifamily rental units

Freddie Mac Purchase and Issuance Volume2

Cumulative Totals 

Since 2009

10,337

$2.0 Trillion

7,167

1,751

1,419
13

Single-family refinance activity1

1 Consists of all single-family refinance mortgage loans that the company either purchased or guaranteed during the period, including those associated with other guarantee commitments and 

Other Guarantee Transactions. 

2 Some loans have multiple borrowers, but the company has counted them as one borrower for this purpose. For the periods presented, a borrower may be counted more than once if the 

company purchased more than one refinance loan relating to the same borrower.

3 The relief refinance mortgage initiative is Freddie Mac’s implementation of the Home Affordable Refinance Program (HARP). Under the program, the company allows eligible borrowers who 

have mortgages with high current LTV ratios to refinance their mortgages without obtaining new mortgage insurance in excess of what was already in place. HARP is targeted at borrowers 

with current LTV ratios above 80%; however, Freddie Mac’s program also allows borrowers with LTV ratios at or below 80% to participate. 

2009 2010 2011 2012 1Q

2013

2Q

2013

Cumulative 

Total

Number of Borrowers2 (In Thousands)

Other Refinance 1,595 947 740 996 343 308 4,929

Relief Refinance - LTV ≤ 80% 83 324 268 253 84 89 1,101

Relief Refinance - LTV > 80% to 100% (HARP) 3 72 166 126 191 52 54 661

Relief Refinance - LTV > 100% to 125% (HARP) 3 14 43 59 144 37 36 333

Relief Refinance - LTV > 125% (HARP) 3 0 0 0 99 24 20 143

 Total Number of Borrowers 1,764 1,480 1,193 1,683 540 507 7,167

$ Volume (In Billions)

Other Refinance $345 $200 $168 $228 $78 $68 $1,087

Relief Refinance - LTV ≤ 80% $15 $58 $42 $36 $11 $12 $174

Relief Refinance - LTV > 80% to 100% (HARP) 3 $17 $38 $27 $37 $10 $10 $139

Relief Refinance - LTV > 100% to 125% (HARP) 3 $3 $10 $13 $30 $7 $7 $70

Relief Refinance - LTV > 125% (HARP) 3 $0 $0 $0 $20 $5 $3 $28

 Total $ Volume $380 $306 $250 $351 $111 $100 $1,498
0

50

100

150

200

250

300

2009 2010 2011 2012 YTD

2013

Number of Loans

(000)

0

30

60

2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013

Number of Loans 

(000) 

Repayment plans

14

Loan modifications Forbearance agreements Short sales and deed-in-lieu of foreclosure transactions

Single-family loan workouts

Home Retention Actions 1 Foreclosure Alternatives 1

 133

 275

 41

45 43 208

1 These categories are not mutually exclusive and a borrower in one category may also be included within another category in the same period. For the periods presented, borrowers 

helped through home retention actions in each period may subsequently lose their home through foreclosure or a short sale or deed-in-lieu transaction.

 46

 169

 41

 87

Number of Families Avoiding Foreclosure1 (In Thousands)

Families Retaining Homes

Cumulative Totals Since 

2009

872

8 out of every 10
0

40

80

120

160

200

2009 2010 2011 2012 YTD

2013

Number of 

Loans

(000)

0

10

20

30

2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013

Number of 

Loans

(000)

No change in terms Term extension

Reduction of contractual interest rate, and in certain cases, 

term extension

Rate reduction, term extension and principal forbearance 

15

Single-family loan modifications

1 Includes completed loan modifications under HAMP and under the company’s other modification programs. Excludes those loan modification activities for which the borrower has 

started the required process, but the modification has not been made permanent or effective, such as loans in a modification trial period.

2 Principal forbearance is a change to a loan’s terms to designate a portion of the principal as non-interest bearing and non-amortizing.

Single-family Loan Modifications 

(HAMP and non-HAMP) 1

2

65

170

109 15

21 20

70

21 19

40
16

Quarterly Percentages of Modified Single-Family Loans

(HAMP and non-HAMP) 1

Performance of single-family modified loans

1 Represents the percentage of loans that are current and performing (no payment is 30 days or more past due) or have been paid in full. Excludes loans in modification trial periods.

2 Loan modifications are recognized as completed in the quarterly period in which the servicer has reported the modification as effective and the agreement has been accepted by the 

company. For loans that have been remodified (e.g., where a borrower has received a new modification after defaulting on the prior modification) the rates reflect the status of each 

modification separately. For example, in the case of a remodified loan where the borrower is performing, the previous modification would be presented as being in default in the 

applicable period.

Time Since Modification 2Q 2011 3Q 2011 4Q 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013

3 to 5 months 83% 81% 86% 85% 87% 84% 85% 86%

6 to 8 months 77% 79% 80% 80% 83% 82% 81% N/A

9 to 11 months 76% 75% 75% 77% 81% 78% N/A N/A

12 to 14 months 73% 71% 73% 76% 78% N/A N/A N/A

15 to 17 months 69% 69% 73% 74% N/A N/A N/A N/A

18 to 20 months 68% 69% 71% N/A N/A N/A N/A N/A

21 to 23 months 68% 67% N/A N/A N/A N/A N/A N/A

24 to 26 months 66% N/A N/A N/A N/A N/A N/A N/A

% Current and Performing

Quarter of Loan Modification Completion2
$3.6 $4.2 $3.8

$2.7 $3.0 $3.2

20% 20% 

34% 

39% 41% 

45% 

0

5

10

15

20

25

30

35

40

45

50

0

1

2

3

4

5

6

12/31/2008 12/31/2009 12/31/2010 12/31/2011 12/31/2012 6/30/2013

Percent

(%)

UPB 

$ Billions

Outstanding repurchase requests

Requests outstanding more than 4 months

$3.0 $3.2 

$4.9

($1.7)

($2.9)

UPB of

outstanding

requests at

12/31/2012

New Requests

Issued

Requests

Collected

Requests

Cancelled

UPB of

outstanding

requests at

6/30/2013

17

 The UPB of outstanding repurchase requests issued to our single-family seller/servicers 

based on breaches of representations and warranties increased from $3.0 billion as of 

December 31, 2012 to $3.2 billion as of June 30, 2013.1

1 The amount the company expects to collect on outstanding requests is significantly less than the unpaid principal balance (UPB) of the loans subject to repurchase requests primarily 

because many of these requests are likely to be satisfied by reimbursement of the company’s realized credit losses by seller/servicers, or rescinded in the course of the contractual appeals 

process. Based on historical loss experience and the fact that many of these loans are covered by credit enhancements (e.g., mortgage insurance), Freddie Mac expects the actual credit 

losses experienced by the company should it fail to collect on these repurchase requests to also be less than the UPB of the loans.

2 Approximately $1.2 billion of the total amount of repurchase requests outstanding at June 30, 2013 were issued due to mortgage insurance rescission or mortgage insurance claim denial.

3 Repurchase requests outstanding more than four months include repurchase requests for which appeals were pending.

4 Requests collected are based on the UPB of the loans associated with the repurchase request, which in many cases is more than the amount of payments received for reimbursement of 

losses for requests associated with foreclosed mortgage loans, negotiated settlements and other alternative remedies. 

5 During the first half of 2013, repurchase requests related to $2.9 billion of UPB of loans were cancelled, primarily as a result of the servicer providing missing documentation or a successful 

appeal of the request. In addition, requests cancelled includes $80 million of other items that affect the UPB of the loan while the repurchase request is outstanding, such as a change in 

UPB due to payments made on the loan, as well as requests deemed uncollectible due to the insolvency or other failure of the counterparty. 

Repurchase requests

Trend in Repurchase Requests Outstanding YTD June 2013 Repurchase Request Activity

4

2

$ Billions

3

5
18

Administrative expenses

Quarterly Annual

$401 $401 $422 $432 $444

0

200

400

600

2Q

2012

3Q

2012

4Q

2012

1Q

2013

2Q

2013

$ Millions

$1,685 $1,597 $1,506 $1,561

$876

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2009 2010 2011 2012 YTD

2013

$ Millions
$558 $534 $521

$650 $650 $650 $650 

$553

12/31/2012 3/31/2013 6/30/2013 9/30/2013 12/31/2013

Mortgage-related investments portfolio ending balance

Mortgage-related investments portfolio limit

19

Purchase Agreement portfolio limits

Indebtedness 1, 3

($ Billions)

Mortgage Assets 1, 2

($ Billions)

1 The company’s Purchase Agreement with Treasury limits the amount of mortgage assets the company can own and indebtedness it can incur. Under the Purchase Agreement, 

mortgage assets and indebtedness are calculated without giving effect to the January 1, 2010 change in the accounting guidance related to the transfer of financial assets and 

consolidation of variable interest entities (VIEs). See the company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2013 for more information. 

2 Represents the unpaid principal balance (UPB) of the company’s mortgage-related investments portfolio. The company discloses its mortgage assets on this basis monthly in its 

Monthly Volume Summary reports, which are available on its Web site and in Current Reports on Form 8-K filed with the Securities and Exchange Commission (SEC).

3 Represents the par value of the company’s unsecured short-term and long-term debt securities issued to third parties to fund its business activities. The company discloses its 

indebtedness on this basis monthly in its Monthly Volume Summary reports, which are available on its Web site and in Current Reports on Form 8-K filed with the SEC.

4 Limit under the Purchase Agreement, as amended on August 17, 2012.

Indebtedness limit

Total debt outstanding

4

4

4

4

$552 $535 $526

$874.8

$780 $780 $780 $780 

$663 

12/31/2012 3/31/2013 6/30/2013 9/30/2013 12/31/2013 1/1/2014
20

Credit

Supplement
2.5 

5.2 

2.4 

1.3 

2.9 

4.7

2.6 

0.4 

1.3 

2.2 

(0.8)

(1.6)

0.8 0.8

(2.1)

(4.3)

(3.1)

(0.7)

(2.8)

(5.4)

(2.6)

1.2 

(0.0)

(1.6)

(0.4)

0.7

(2.5)(2.8)

(1.3)

1.1 

(1.1)

(2.1)

0.5 

4.1 

1.1

0.1

2.7

5.2 

(6)

(4)

(2)

0

2

4

6

1Q

2004

1Q

2005

1Q

2006

1Q

2007

1Q

2008

1Q

2009

1Q

2010

1Q

2011

1Q

2012

1Q

2013

Percent 

(%)

1 National home prices use the Freddie Mac House Price Index for the U.S., which is a value-weighted average of the state indexes where the value weights are based on Freddie Mac’s 

single-family credit guarantee portfolio. Other indices of home prices may have different results, as they are determined using different pools of mortgage loans and calculated under 

different conventions than Freddie Mac’s. The Freddie Mac House Price Index for the U.S. is a non-seasonally adjusted monthly series; quarterly growth rates are calculated as a 3-month 

change based on the final month of each quarter. Seasonal factors typically result in stronger house-price appreciation during the second and third quarters. Historical quarterly growth 

rates change as new data becomes available. Values for the most recent periods typically see the largest changes. Cumulative decline calculated as the percent change from June 2006 

to June 2013. 

 Source: Freddie Mac. 21

National home prices have experienced a cumulative 

decline of 16% since June 20061

2Q

2013
Home Price Performance By State

June 2006 to June 20131

-9%

AL

6%

AK

≥ 0%

-12 to -1%

≤-21%

-20 to -13%

-1%

AR

-32%

AZ

-26%

CA

4%

CO

CT -19%

DC 20%

DE -20%

 -37%

FL

-19%

GA

-4%

HI

1%

IA

-16%

ID

-24%

IL

-5%

IN

0%

KS KY -1%

2%

LA

-12%

-21%

-10%

ME

-23%

MI

-16%

MN

-14%

MO

-4%

MS

1%

MT

NC -7%

33%

ND

1%

NE

-12%

NM

-45%

NV

-12%

NY

-13%

OH

8%

OK

-14%

OR

-7%

PA

RI -29%

-9%

SC

11%

SD

TN -3%

13%

TX

-1%

UT -14%

VA

-3%

VT

-15%

WA

-15%

WI

 1%

WV

6%

WY

-20%

NH

MA

MD

NJ -21%

United States -16%

1 The Freddie Mac House Price Index for the U.S. is a value-weighted average of the state indexes where the value weights are based on Freddie Mac’s single-family credit 

guarantee portfolio. Other indices of home prices may have different results, as they are determined using different pools of mortgage loans and calculated under different 

conventions. The Freddie Mac House Price Index for the U.S. is a non-seasonally adjusted monthly series.

Source: Freddie Mac

22
Home Price Performance By State

June 2012 to June 20131

3%

AL

4%

AK

≥ 10%

5 to 9%

0 to 2%

3 to 4%

4%

AR

19%

AZ

23%

CA

10%

CO

CT 2%

DC 14%

DE 1%

14%

FL

12%

GA

10%

HI

2%

IA

9%

ID

5%

IL

4%

IN

3%

KS KY 3%

4%

LA

6%

4%

ME

12%

MI

9%

MN

3%

MO

6%

MS

7%

MT

NC 4%

8%

ND

4%

NE

NJ 3%

2%

NM

30%

NV

1%

NY

4%

OH

5%

OK

14%

OR

2%

PA

RI 2%

4%

SC

6%

SD

TN 5%

7%

TX

13%

UT

5%

VA

11%

WA

2%

WI

 2%

WV

3%

WY

3%

2%

VT

6%

MD

MA

NH

United States 9%

1 The Freddie Mac House Price Index for the U.S. is a value-weighted average of the state indexes where the value weights are based on Freddie Mac’s single-family credit 

guarantee portfolio. Other indices of home prices may have different results, as they are determined using different pools of mortgage loans and calculated under different 

conventions. The Freddie Mac House Price Index for the U.S. is a non-seasonally adjusted monthly series.

Source: Freddie Mac

23
0

4

8

12

16

20

24

28

32

Dec08Mar09Jun09Sep09Dec09Mar10Jun10Sep10Dec10Mar11Jun11Sep11Dec11Mar12Jun12Sep12Dec12Mar13

Seriously Delinquent (%) 

 Total Mortgage Market Prime Subprime Freddie Mac

24

1 Source: National Delinquency Survey from the Mortgage Bankers Association. Categories represent first lien single-family loans. Data is not yet available for the second quarter of 

2013. 

2 See “MD&A – RISK MANAGEMENT – Credit Risk – Mortgage Credit Risk – Single-Family Mortgage Credit Risk – Credit Performance – Delinquencies” in Freddie Mac’s Form 10-K for 

the year ended December 31, 2012, for information about the company’s reported delinquency rates. The single-family serious delinquency rate at June 30, 2013 was 2.79%. 

1 1 1

20.36%

6.39%

4.05%

3.03%

Single-family Serious Delinquency Rates 

Mortgage market and Freddie Mac serious delinquency 

rates

 2
44 53 47 41

20 20 22 18 16 23

56 47 53 59

73

52 52 53 59 52

4

12 12 20 16 16

3

16 14 9 9 9

0

10

20

30

40

50

60

70

80

90

100

2005 2006 2007 2008 2009 2010 2011 2012 1Q

2013

2Q

2013

Percent 

(%)

Purchase Other Refinance HARP Relief Refinance (Non-HARP)

25

77%

Loan purpose of single-family credit guarantee 

portfolio purchases

1 The relief refinance mortgage initiative is Freddie Mac’s implementation of the Home Affordable Refinance Program (HARP). Under the program, the company allows eligible 

borrowers who have mortgages with high current LTV ratios to refinance their mortgages without obtaining new mortgage insurance in excess of what was already in place. HARP is 

targeted at borrowers with current LTV ratios above 80%; however, Freddie Mac’s relief refinance initiative also allows borrowers with LTV ratios at or below 80% to participate. 

1 1
26

Credit quality of single-family credit guarantee portfolio 

purchases

1 Original LTV ratios are calculated as the unpaid principal balance (UPB) of the mortgage Freddie Mac guarantees including the credit-enhanced portion, divided by the lesser of the 

appraised value of the property at the time of mortgage origination or the mortgage borrower’s purchase price. Second liens not owned or guaranteed by Freddie Mac are excluded 

from the LTV ratio calculation. The existence of a second lien mortgage reduces the borrower’s equity in the home and, therefore, can increase the risk of default.

2 Credit score data is based on FICO scores at the time of origination and may not be indicative of the borrowers’ creditworthiness at June 30, 2013. FICO scores can range between 

approximately 300 to 850 points.

3 HARP is the portion of the company’s relief refinance initiative targeted at borrowers with current LTV ratios above 80%. In April 2013, HARP was extended by two years to 

December 31, 2015. 

2009 2010 2011 2012 1Q

2013

2Q

2013

Weighted Average Original LTV Ratio1

Relief refinance (includes HARP) 80% 77% 77% 97% 93% 91%

All other 66% 67% 67% 68% 68% 70%

 Total purchases 67% 70% 70% 76% 74% 75%

Weighted Average Credit Score2

Relief refinance (includes HARP) 738 747 744 740 731 729

All other 757 758 759 762 760 757

 Total purchases 756 755 755 756 753 750

2009 2010 2011 2012 1Q

2013

2Q

2013

Purchase of Relief Refinance Mortgages > 80% LTV (HARP loans)3

$ Billions $19.6 $47.9 $39.7 $86.9 $21.5 $20.3

% of single-family credit guarantee portfolio purchases 4% 12% 12% 20% 16% 16%
27

Single-family 2Q 2013 credit losses and REO 

by region and state

1 Based on the unpaid principal balance (UPB) of the single-family credit guarantee portfolio at June 30, 2013. 

2 UPB amounts exclude $487 million of Other Guarantee Transactions since these securities are backed by non-Freddie Mac issued securities for which loan characteristic data was 

not available. 

3 Based on the number of loans that are three monthly payments or more past due or in the process of foreclosure. 

4 Based on the UPB of loans at the time of REO acquisition. 

5 Consist of the aggregate amount of charge-offs, net of recoveries, and REO operations expense for 2Q 2013.

6 Region designation: West (AK, AZ, CA, GU, HI, ID, MT, NV, OR, UT, WA); Northeast (CT, DE, DC, MA, ME, MD, NH, NJ, NY, PA, RI, VT, VA, WV); Southeast (AL, FL, GA, KY, MS, 

NC, PR, SC, TN, VI); North Central (IL, IN, IA, MI, MN, ND, OH, SD, WI); and Southwest (AR, CO, KS, LA, MO, NE, NM, OK, TX, WY).

7 States presented are those with the highest credit losses during the three months ended June 30, 2013.

($ Billions) % of Total

UPB2

($ Millions) % of Total

Serious 

Delinquency 

Rate3 

(%)

2Q 2013 

Acquisitions

($ Millions)

REO

Inventory

($ Millions)

% of Total

Inventory ($ Millions) % of Total

Region6

1 West $459 28% $11,314 22% 2.17% $367 $1,044 15% $480 27%

2 Northeast 427 26 17,620 34 3.55% 362 1,000 15 242 14

3 North Central 292 18 6,881 13 2.12% 628 2,400 35 376 21

4 Southeast 275 17 13,553 26 4.19% 827 1,778 26 607 35

5 Southwest 193 11 2,779 5 1.47% 213 605 9 58 3

6 Total $1,646 100% $52,147 100% 2.79% $2,397 $6,827 100% $1,763 100%

State7

7 California $269 16% $5,260 10% 1.71% $133 $461 7% 246 14%

8 Florida 93 6 9,501 18 8.18% 537 1,043 15 496 28

9 Illinois 83 5 3,372 6 3.43% 232 891 13 190 11

10 Washington 55 3 1,824 4 2.93% 77 194 3 65 4

11 Ohio 46 3 1,031 2 2.33% 106 296 4 63 3

12 Michigan 46 3 720 1 1.54% 106 557 8 55 3

13 Nevada 16 1 1,350 3 6.41% 27 56 1 85 5

14 All other 1,038 63 29,089 56 2.45% 1,179 3,329 49 563 32

15 Total $1,646 100% $52,147 100% 2.79% $2,397 $6,827 100% $1,763 100%

Total Portfolio UPB1 Credit Losses5 REO Acquisitions & Balance4 Seriously Delinquent Loans
0

2

4

6

8

10

12

14

2Q

2010

3Q

2010

4Q

2010

1Q

 2011

2Q

2011

3Q

2011

4Q

2011

1Q

2012

2Q

 2012

3Q

2012

4Q

2012

1Q

2013

2Q

2013

Percent

California Florida Illinois New Jersey New York Total

0

1

2

3

4

5

6

2Q

2010

3Q

2010

4Q

2010

1Q

 2011

2Q

2011

3Q

2011

4Q

2011

1Q

2012

2Q

 2012

3Q

2012

4Q

2012

1Q

2013

2Q

2013

Percent

West Northeast North Central Southeast Southwest Total

1.7%

Single-family serious delinquency rates by state and 

region

28

Single-family Serious Delinquency Rates 

By State1,2

Single-family Serious Delinquency Rates 

By Region1,3

1 Based on the number of loans that are three monthly payments or more past due or in the process of foreclosure. See “MD&A – RISK MANAGEMENT – Credit Risk – Mortgage 

Credit Risk – Single-Family Mortgage Credit Risk – Credit Performance – Delinquencies” in Freddie Mac’s Form 10-K for the year ended December 31, 2012, for information about 

the company’s reported delinquency rates. 

2 States presented are those with the highest number of seriously delinquent loans as of June 30, 2013. 

3 Region designation: West (AK, AZ, CA, GU, HI, ID, MT, NV, OR, UT, WA); Northeast (CT, DE, DC, MA, ME, MD, NH, NJ, NY, PA, RI, VT, VA, WV); Southeast (AL, FL, GA, KY, MS, 

NC, PR, SC, TN, VI); North Central (IL, IN, IA, MI, MN, ND, OH, SD, WI); and Southwest (AR, CO, KS, LA, MO, NE, NM, OK, TX, WY).

1.5%

2.1%

2.2%

2.8%

3.6%

4.2% 8.2%

6.6%

2.8%

3.4%

4.6%
Aging of single-family seriously delinquent loans by 

judicial and non-judicial states

29

1 Excludes loans underlying single-family Other Guarantee Transactions since the geographic information is not available to us for these loans. As of June 30, 2013, the states and 

territories classified as having a judicial foreclosure process consist of: CT, DE, FL, HI, IA, IL, IN, KS, KY, LA, ME, ND, NE, NJ, NM, NY, OH, OK, PA, PR, SC, SD, VI, VT and WI. All 

other states are classified as having a non-judicial foreclosure process. Judicial foreclosures are those conducted under the supervision of a court.

2 Prior periods revised to reflect changes made in second quarter 2013 to states and territories classified as having a judicial foreclosure process. 

# of Seriously 

Delinquent 

Loans

Percent

# of Seriously 

Delinquent 

Loans

Percent

# of Seriously 

Delinquent 

Loans

Percent

Judicial Review States1

 Less than or equal to 1 year 87,839 23% 73,887 23% 64,772 22%

 More than 1 year and less than or equal to 2 years 58,738 15% 45,464 14% 39,054 13%

 More than 2 years 74,336 20% 76,125 24% 71,789 24%

Non-Judicial States1

 Less than or equal to 1 year 101,453 26% 78,209 24% 72,185 24%

 More than 1 year and less than or equal to 2 years 36,762 10% 26,764 8% 25,360 9%

 More than 2 years 23,929 6% 23,062 7% 24,133 8%

Combined1

 Less than or equal to 1 year 189,292 49% 152,096 47% 136,957 46%

 More than 1 year and less than or equal to 2 years 95,500 25% 72,228 22% 64,414 22%

 More than 2 years 98,265 26% 99,187 31% 95,922 32%

Total 383,057 100% 323,511 100% 297,293 100%

As of 6/30/20122 As of 3/31/20132 As of 6/30/2013
30

Single-family credit guarantee portfolio characteristics1

1 Portfolio characteristics are based on the unpaid principal balance (UPB) of the single-family credit guarantee portfolio. Approximately $1 billion in UPB for Other Guarantee Transactions 

is included in total UPB and percentage seriously delinquent but not included in the calculation of other statistics since these securities are backed by non-Freddie Mac issued securities for 

which loan characteristic data was not available. 

2 For a description of Alt-A, see the “Glossary” in the company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2013. 

3 Beginning September 1, 2010, the company fully discontinued purchases of interest-only loans.

4 Represents the FICO score of the borrower at loan origination. The company estimates that less than 1% of loans within the portfolio are missing origination FICO scores and as such are 

excluded. 

5 Indicates year of loan origination. Calculated based on the loans remaining in the portfolio as of June 30, 2013, rather than all loans originally guaranteed by the company and originated in 

the respective year. Each Book Year category represents the percentage of loans referenced in line 1 of the same vertical column. 

6 Based on the number of loans that are three monthly payments or more past due or in the process of foreclosure. 

Note: Individual categories are not mutually exclusive, and therefore are not additive across columns. 

Option FICO FICO

Original 

LTV

FICO < 620 & 

Original 

Attribute Alt-A2 Interest-only3 ARM < 6204 620 - 6594 > 90% LTV > 90%4

1 UPB $ Billions $1,646 $64 $41 $7 $49 $99 $244 $13

2 Percent of Total Portfolio 100% 4% 2% 0% 3% 6% 15% 1%

3 Average UPB per loan $152,797 $152,877 $228,749 $202,641 $126,137 $132,619 $168,148 $134,734

4 Fixed Rate (% of total portfolio) 93% 63% 20% 0% 94% 93% 98% 98%

5 Owner Occupied 90% 82% 81% 76% 95% 94% 91% 96%

6 Original Loan-to-Value (OLTV) 74% 73% 74% 71% 81% 79% 106% 106%

7 OLTV > 90% 15% 4% 3% 2% 26% 22% 100% 100%

8 Current Loan-to-Value (CLTV) 73% 92% 100% 94% 86% 84% 103% 107%

9 CLTV > 90% 21% 52% 62% 51% 42% 38% 72% 73%

10 CLTV > 100% 13% 39% 47% 38% 30% 26% 45% 55%

11 CLTV > 110% 8% 29% 33% 28% 20% 18% 29% 38%

12 Average FICO Score4 739 712 718 711 585 642 724 583

13 FICO < 6204 3% 5% 3% 4% 100% 0% 5% 100%

Book Year5

14 2013 12% 0% 0% 0% 6% 6% 15% 10%

15 2012 24% 0% 0% 0% 10% 10% 35% 22%

16 2011 12% 0% 0% 0% 5% 6% 12% 7%

17 2010 12% 0% 1% 0% 5% 6% 11% 7%

18 2009 10% 0% 1% 0% 4% 5% 5% 4%

19 2008 4% 7% 9% 0% 6% 7% 3% 3%

20 2007 6% 30% 36% 2% 20% 16% 6% 18%

21 2006 4% 27% 28% 10% 11% 11% 3% 6%

22 2005 5% 20% 21% 59% 10% 11% 2% 5%

23 2004 and prior 11% 16% 4% 29% 23% 22% 8% 18%

24 % of Loans with Credit Enhancement 13% 13% 10% 16% 24% 21% 49% 59%

25 % Seriously Delinquent6 2.79% 10.69% 14.56% 14.28% 10.96% 8.02% 3.78% 10.64%

Total Portfolio 

as of 

June 30, 2013
31

Single-family credit profile by book year and product 

feature1

1 Portfolio characteristics are based on the unpaid principal balance (UPB) of the single-family credit guarantee portfolio. Approximately $1 billion in UPB for Other Guarantee Transactions 

is included in total UPB and percentage seriously delinquent but not included in the calculation of other statistics since these securities are backed by non-Freddie Mac issued securities 

for which loan characteristic data was not available. 

2 Indicates year of loan origination. Calculated based on the loans remaining in the portfolio as of June 30, 2013, rather than all loans originally guaranteed by the company and originated 

in the respective year. 

3 Represents the average of the borrowers’ FICO scores at origination. The company estimates that less than 1% of loans within the portfolio are missing FICO scores and as such are 

excluded. 

4 Beginning September 1, 2010, the company fully discontinued purchases of interest-only loans.

5 States presented are those with the highest percentage of credit losses during the three months ended June 30, 2013.

6 Based on the number of loans that are three monthly payments or more past due or in the process of foreclosure.

Attribute 2013 2012 2011 2010 2009 2008 2007 2006 2005

2004 and 

prior

1 UPB $ Billions $1,646 $202 $398 $193 $197 $161 $61 $97 $74 $83 $180

2 Original Loan-to-Value (OLTV) 74% 75% 78% 72% 72% 71% 74% 77% 75% 73% 72%

3 OLTV > 90% 15% 18% 22% 15% 14% 8% 10% 16% 9% 7% 10%

4 Current Loan-to-Value (CLTV) 73% 76% 73% 65% 67% 67% 84% 101% 98% 83% 53%

5 CLTV > 100% 13% 11% 11% 4% 4% 4% 22% 47% 43% 24% 4%

6 CLTV > 110% 8% 7% 8% 2% 2% 1% 12% 34% 31% 16% 2%

7 Average FICO Score3 739 751 754 751 750 748 716 697 703 710 712

8 FICO < 6203 3% 1% 1% 1% 1% 1% 5% 10% 8% 6% 6%

9 Adjustable-rate 7% 3% 4% 7% 4% 1% 7% 11% 18% 21% 11%

10 Interest-only4 2% 0% 0% 0% 0% 0% 7% 15% 16% 10% 1%

11 Investor 5% 8% 6% 5% 4% 3% 8% 7% 6% 5% 5%

12 Condo 8% 7% 6% 6% 6% 7% 11% 11% 12% 12% 8%

Geography5

13 California 16% 20% 20% 16% 15% 12% 15% 16% 15% 15% 12%

14 Florida 6% 4% 4% 4% 4% 4% 8% 10% 12% 11% 8%

15 Illinois 5% 5% 5% 5% 6% 5% 5% 5% 5% 5% 5%

16 Washington 3% 3% 3% 4% 4% 4% 4% 3% 3% 2% 2%

17 Ohio 3% 3% 3% 3% 3% 2% 2% 2% 2% 3% 4%

18 Michigan 3% 3% 3% 2% 2% 2% 1% 2% 2% 3% 5%

19 Nevada 1% 1% 1% 0% 0% 1% 1% 2% 2% 2% 1%

20 All other 63% 61% 61% 66% 66% 70% 64% 60% 59% 59% 63%

21 % of Loans with Credit Enhancement 13% 15% 13% 10% 8% 8% 25% 26% 15% 12% 12%

22 % Seriously Delinquent6 2.79% 0.00% 0.11% 0.35% 0.60% 1.00% 7.13% 12.00% 10.95% 7.07% 3.26%

Total Portfolio 

as of 

June 30, 2013

Book Year 2
0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

8.00%

9.00%

10.00%

11.00%

Yr1

Q1

Yr1

Q3

Yr2

Q1

Yr2

Q3

Yr3

Q1

Yr3

Q3

Yr4

Q1

Yr4

Q3

Yr5

Q1

Yr5

Q3

Yr6

Q1

Yr6

Q3

Yr7

Q1

Yr7

Q3

Yr8

Q1

Yr8

Q3

Yr9

Q1

Yr9

Q3

Yr10

Q1

Yr10

Q3

Yr11

Q1

Cumulative Foreclosure Transfer and Short Sale Rate

Quarter Post Origination

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

2012

32

Single-family cumulative foreclosure transfer and 

short sale rates1 by book year

1 Rates are calculated for each year of origination as the number of loans that have proceeded to foreclosure transfer or short sale and resulted in a credit loss, excluding any 

subsequent recoveries, divided by the number of loans originated in that year that were acquired in the company’s single-family credit guarantee portfolio. Includes Other Guarantee 

Transactions where loan characteristic data is available. 

2007

2006

2005

2004

2003

2008

2009 2010 2013 2011

Yr11

Q2
$180

$135

$154

$164 $169 $177 $180

0

20

40

60

80

100

120

140

160

180

200

12/31/2007 12/31/2008 12/31/2009 12/31/2010 12/31/2011 12/31/2012 6/30/2013

MF loan portfolio MF investment securities portfolio MF guarantee portfolio

UPB

$ Billions

33

Total Multifamily (MF) Portfolio

Multifamily portfolio composition
Multifamily new business volume by state1 (%)

AL

0.8%

AK

0.0%

> 5%

> 3% - 5%

≤ 1%

> 1% - 3%

MF New Business Volume $13.5B

Six Months Ended June 30, 2013

AR

<0.1%

AZ

3.3%

CA

13.8%

CO

3.2%

CT 

0.4%

DC

0.2%

DE

0.5%

FL

10.0%

GA

6.3%

HI

0.0%

IA

0.2%

ID

0.1%

IL

2.7%

IN

0.6%

KS

0.2%

KY

0.4%

LA

0.1%

MD

3.0%

ME

0.1%

MI

1.0%

MN

0.5%

MO

0.4%

MS

0.1%

MT

0.0%

NC

2.3%

ND

<0.1%

NE 

0.2%

NJ

7.5%

NM

0.1%

NV

1.0%

NY

8.6%

OH

1.4%

OK

0.3%

OR

1.5%

PA

4.5%

RI

0.4%

SC

0.4%

SD

0.0%

TN

0.4%

TX

11.4%

UT

1.1% VA

6.7%

VT

0.0%

WA 

3.0%

WI

0.3%

WV

0.0%

WY

<0.1%

NH

0.0%

34

1 Based on the unpaid principal balance (UPB) of the multifamily loan purchases and issuance of other guarantee commitments. Percentages shown above are rounded to the 

nearest tenth of a percent although classifications are based on unrounded figures.

MA 1.1%
Multifamily mortgage portfolio UPB concentration by 

state1

AL

0.9%

AK

0.0%

MF Mortgage Portfolio $131.8B2

As of June 30, 2013

AR

0.3%

AZ

2.4%

CA

16.2%

CO

3.0%

CT

0.9%

DC

0.7%

DE

0.2%

FL

7.0%

GA

4.7%

HI

0.2%

IA

0.3%

ID

0.1%

IL

2.6%

IN

0.6%

KS

0.8%

KY

0.5%

LA

0.8%

MA 1.9%

MD

5.2%

ME

<0.1%

MI

0.9%

MN

1.2%

MO

1.1%

MS

0.4%

MT

<0.1%

NC

2.8%

ND

0.1%

NE

0.5%

NJ

2.9%

NM

0.3%

NV

1.1%

NY

8.5%

OH

1.9%

OK

0.5%

OR

0.8%

PA

2.6%

RI

0.2%

SC

1.0%

SD

0.1%

TN

1.4%

TX

12.5%

UT

0.6% VA

5.4%

VT

0.0%

WA

3.2%

WI

0.6%

WV

0.1%

WY

<0.1%

NH

0.1%

35

> 5%

> 2% - 5%

≤ 1%

> 1% - 2%

1 Based on the unpaid principal balance (UPB) of unsecuritized mortgage loans, other guarantee commitments, and collateral underlying both Freddie Mac guaranteed mortgagerelated securities and related unguaranteed K Certificates. Percentages shown above are rounded to the nearest tenth of a percent although classifications are based on unrounded 

figures. 

2 Consists of the UPB of unsecuritized multifamily loans, other guarantee commitments, and guaranteed Freddie Mac mortgage-related securities. Excludes the UPB associated with 

unguaranteed K Certificates.
36

Multifamily mortgage portfolio by attribute1

1 Based on the unpaid principal balance (UPB) of the multifamily mortgage portfolio. 

2 Based on the UPB of mortgages two monthly payments or more past due or in the process of foreclosure. 

3 Based on either: (a) the year of acquisition, for loans recorded on the company’s consolidated balance sheets; or (b) the year that the company issued its guarantee, for the 

remaining loans in its multifamily mortgage portfolio.

4 Presents the six states with the highest UPB at June 30, 2013.

Year of Acquisition or Guarantee3

1 2004 and prior $11.1 0.22% $8.3 0.19% $7.6 0.06%

2 2005 6.9 0.64 6.3 0.14 6.0 -

3 2006 10.3 0.47 9.5 - 9.2 -

4 2007 19.4 0.73 16.5 0.89 16.1 0.53

5 2008 18.7 0.38 16.0 0.22 15.0 0.11

6 2009 13.1 - 12.1 - 11.8 -

7 2010 12.4 - 11.8 - 11.5 0.08

8 2011 17.5 - 16.9 - 16.6 -

9 2012 12.0 - 25.6 - 24.5 -

10 2013 N/A N/A 6.0 - 13.5 -

Total $121.4 0.27% $129.0 0.16% $131.8 0.09%

Maturity Dates

11 2013 $5.7 0.49% $1.9 1.07% $1.1 1.02%

12 2014 7.3 0.66 5.2 - 4.3 -

13 2015 10.7 0.27 9.2 0.15 8.7 -

14 2016 14.0 0.16 12.6 0.05 12.4 -

15 2017 10.4 0.38 10.6 0.19 10.5 0.45

16 Beyond 2017 73.3 0.22 89.5 0.17 94.8 0.06

Total $121.4 0.27% $129.0 0.16% $131.8 0.09%

Geography4

17 California $21.0 0.14% $21.2 0.10% $21.5 0.04%

18 Texas 14.7 0.50 16.0 0.13 16.2 0.13

19 New York 10.1 0.10 10.8 0.09 11.3 0.09

20 Florida 7.8 - 9.0 0.04 9.2 -

21 Virginia 6.4 - 7.0 - 7.1 0.35

22 Maryland 5.8 - 6.6 - 6.8 -

23 All other states 55.6 0.39 58.4 0.26 59.7 0.09

 Total $121.4 0.27% $129.0 0.16% $131.8 0.09%

UPB

($ Billions)

June 30, 2013

UPB

($ Billions)

Delinquency 

Rate2 

(%) 

March 31, 2013

Delinquency 

Rate2

(%) 

June 30, 2012

Delinquency 

Rate2 

 (%) 

UPB

($ Billions)
37

Multifamily mortgage portfolio by attribute, continued1

1 Based on the unpaid principal balance (UPB) of the multifamily mortgage portfolio. 

2 Based on the UPB of mortgages two monthly payments or more past due or in the process of foreclosure. 

3 DSCR – Debt Service Coverage Ratio – is an indicator of future credit performance for multifamily loans. DSCR estimates a multifamily borrower’s ability to service its mortgage 

obligation using the secured property’s cash flow, after deducting non-mortgage expenses from income. The higher the DSCR, the more likely a multifamily borrower will be able to 

continue servicing its mortgage obligation.

Current Loan Size

1 > $25M $44.4 0.12% $49.1 - % $49.9 0.05%

2 > $5M & <= $25M 67.8 0.38 71.0 0.26 73.0 0.09

3 > $3M & <= $5M 5.8 0.15 5.7 0.17 5.8 0.22

4 > $750K & <= $3M 3.2 0.25 3.0 0.56 2.9 0.46

5 <= $750K 0.2 0.67 0.2 0.37 0.2 0.38

6 Total $121.4 0.27% $129.0 0.16% $131.8 0.09%

Legal Structure

7 Unsecuritized Loans $79.6 0.18% $73.7 0.06% $69.4 0.04%

8 Freddie Mac mortgage-related securities 32.3 0.45 46.0 0.35 53.1 0.17

9 Other guarantee commitments 9.5 0.40 9.3 - 9.3 -

10 Total $121.4 0.27% $129.0 0.16% $131.8 0.09%

Credit Enhancement

11 Credit Enhanced $39.5 0.44% $52.2 0.34% $59.3 0.15%

12 Non-Credit Enhanced 81.9 0.19 76.8 0.04 72.5 0.04

13 Total $121.4 0.27% $129.0 0.16% $131.8 0.09%

Other

14 Original LTV > 80% $6.1 2.64% $5.6 2.34% $5.5 0.51%

15 Original DSCR below 1.103 $2.7 2.35% $2.2 3.76% $2.1 0.91%

June 30, 2013

UPB

($ Billions)

Delinquency 

Rate2

(%) 

March 31, 2013

Delinquency 

Rate2 

(%) 

June 30, 2012

Delinquency 

Rate2 

 (%) 

UPB

($ Billions)

UPB

($ Billions)
0

2

4

6

8

10

12

14

1Q 2009 3Q 2009 1Q 2010 3Q 2010 1Q 2011 3Q 2011 1Q 2012 3Q 2012 1Q 2013

Freddie Mac (60+ day) FDIC Insured Institutions (90+ day)

MF CMBS Market (60+ day) ACLI Investment Bulletin (60+ day)

0.01%

Multifamily market and Freddie Mac delinquency rates

Percent

1 See “MD&A – RISK MANAGEMENT – Credit Risk – Mortgage Credit Risk – Multifamily Mortgage Credit Risk ” in Freddie Mac’s Form 10-K for the year ended December 31, 

2012, for information about the company’s reported multifamily delinquency rate. The multifamily delinquency rate at June 30, 2013 was 0.09%. 

Source: Freddie Mac, FDIC Quarterly Banking Profile, TREPP (CMBS multifamily 60+ delinquency rate, excluding REOs), American Council of Life Insurers (ACLI). Non-Freddie 

Mac data is not yet available for the second quarter of 2013.

 

38

8.54%

1.35%

0.16%

1
39

Safe Harbor Statements

Freddie Mac obligations

Freddie Mac’s securities are obligations of Freddie Mac only. The securities, including any interest or return of discount on the securities, 

are not guaranteed by and are not debts or obligations of the United States or any federal agency or instrumentality other than Freddie 

Mac.

No offer or solicitation of securities 

This presentation includes information related to, or referenced in the offering documentation for, certain Freddie Mac securities, 

including offering circulars and related supplements and agreements. Freddie Mac securities may not be eligible for offer or sale in 

certain jurisdictions or to certain persons. This information is provided for your general information only, is current only as of its specified 

date and does not constitute an offer to sell or a solicitation of an offer to buy securities. The information does not constitute a sufficient 

basis for making a decision with respect to the purchase or sale of any security. All information regarding or relating to Freddie Mac 

securities is qualified in its entirety by the relevant offering circular and any related supplements. Investors should review the relevant 

offering circular and any related supplements before making a decision with respect to the purchase or sale of any security. In addition, 

before purchasing any security, please consult your legal and financial advisors for information about and analysis of the security, its 

risks and its suitability as an investment in your particular circumstances.

Forward-looking statements 

Freddie Mac's presentations may contain forward-looking statements, which may include statements pertaining to the conservatorship, 

the company’s current expectations and objectives for its efforts under the MHA Program, the servicing alignment initiative and other 

programs to assist the U.S. residential mortgage market, future business plans, liquidity, capital management, economic and market 

conditions and trends, market share, the effect of legislative and regulatory developments, implementation of new accounting guidance, 

credit losses, internal control remediation efforts, and results of operations and financial condition on a GAAP, Segment Earnings and 

fair value basis. Forward-looking statements involve known and unknown risks and uncertainties, some of which are beyond the 

company’s control. Management’s expectations for the company’s future necessarily involve a number of assumptions, judgments and 

estimates, and various factors, including changes in market conditions, liquidity, mortgage-to-debt option-adjusted spread, credit outlook, 

actions by FHFA, Treasury, the Federal Reserve, the SEC, HUD, other federal agencies, the Administration and Congress, and the 

impacts of legislation or regulations and new or amended accounting guidance, could cause actual results to differ materially from these 

expectations. These assumptions, judgments, estimates and factors are discussed in the company’s Annual Report on Form 10-K for

the year ended December 31, 2012, Quarterly Reports on Form 10-Q for the quarters ended March 31, 2013 and June 30, 2013 and 

Current Reports on Form 8-K, which are available on the Investor Relations page of the company’s Web site at 

www.FreddieMac.com/investors and the SEC’s Web site at www.sec.gov. The company undertakes no obligation to update forwardlooking statements it makes to reflect events or circumstances after the date of this presentation.