Fannie Mae issued nearly $70 billion in MBS in October — its highest since the 2009 refinancing boom fueled by Federal Reserve purchases of agency MBS.

In October, Fannie issued $69.7 billion in MBS, compared to $79.7 billion in July 2009 during the previous boom.

The GSE's monthly activity report also shows higher commitments to purchase mortgages.
The secondary market agency said net purchase commitments rose by $9 billion during October to $70.2 billion.

Meanwhile, the percentage of single-family loans 90-days or more past due fell 14 basis points since August to 4.56% in September. [Fannie has a one-month lag in reporting delinquencies.]

Fannie's serious delinquency rate peaked in February 2010 at 5.59% and it is now below the 4.72% rate in September of 2009.

"We experienced the first year-over-year decline in our serious delinquency rate since 2007," the agency said in its third quarter financial report.

Fannie attributes the decline to "improved servicing," refinancing initiatives and foreclosed property acquisitions along with loan workouts and modifications.

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