Freddie Mac 2015 Annual Report Download - page 238

Financial Statements Notes to the Consolidated Financial Statements | Note 4
Freddie Mac 2015 Form 10-K 236
The table below summarizes the delinquency rates of loans within our single-family credit guarantee and
multifamily mortgage portfolios.
(dollars in millions) December 31, 2015 December 31, 2014
Single-family:(1)
Non-credit-enhanced portfolio
Serious delinquency rate 1.30%1.74%
Total number of seriously delinquent loans 105,071 150,300
Credit-enhanced portfolio:(2)
Primary mortgage insurance:
Serious delinquency rate 2.06%3.10%
Total number of seriously delinquent loans 27,813 38,595
Other credit protection:(3)
Serious delinquency rate 0.58%1.21%
Total number of seriously delinquent loans 9,422 12,175
Total single-family:
Serious delinquency rate 1.32%1.88%
Total number of seriously delinquent loans 141,255 200,069
Multifamily:(4)
Non-credit-enhanced portfolio:
Delinquency rate 0.03%0.02%
UPB of delinquent loans $ 19 $ 11
Credit-enhanced portfolio:
Delinquency rate 0.02%0.05%
UPB of delinquent loans $ 20 $ 44
Total Multifamily:
Delinquency rate 0.02%0.04%
UPB of delinquent loans $ 39 $ 55
(1) Serious delinquencies on single-family loans underlying certain REMICs, other securitization products, and other mortgage-
related guarantees may be reported on a different schedule due to variances in industry practice.
(2) The credit enhanced categories are not mutually exclusive as a single loan may be covered by both primary mortgage
insurance and other credit protection.
(3) Consists of single-family loans covered by financial arrangements (other than primary mortgage insurance) that are designed
to reduce our credit risk exposure. See "Credit Protection and Other Forms of Credit Enhancement" for more information.
(4) Multifamily delinquency performance is based on UPB of loans that are two monthly payments or more past due or those in
the process of foreclosure.
We continue to implement a number of initiatives to refinance and modify single-family loans, including
the MHA Program. Our implementation of the MHA Program includes HAMP. As part of these initiatives,
we pay various incentives to servicers and borrowers. Except as described below, we bear the full costs
associated with these loan workout and foreclosure alternatives on loans that we own or guarantee,
including the cost of any monthly payment reductions. In January 2015, FHFA instructed us to implement
a new $5,000 incentive for eligible borrowers who remain in good standing on their HAMP modified
mortgage loans through the sixth anniversary of their modification. Treasury will pay the $5,000 incentive
for certain of our eligible HAMP modified mortgage loans, and we will bear the cost of the $5,000
incentive on our other eligible HAMP modified mortgage loans. The MHA Program also includes an
initiative to allow loans currently owned or guaranteed by us to be refinanced without obtaining additional
credit enhancement beyond that already in place for the loan (i.e., our relief refinance initiative, which is
our implementation of HARP). HAMP and HARP will end in December 2016.