|Bid||0.0000 x N/A|
|Ask||0.0000 x N/A|
|Day's range||2.1400 - 2.1400|
|52-week range||2.1400 - 2.1400|
|Beta (5Y monthly)||2.55|
|PE ratio (TTM)||490.00|
|Earnings date||12 Feb 2021|
|Forward dividend & yield||N/A (N/A)|
|1y target est||N/A|
Fannie Mae is a type of conventional loan backed by the U.S. government. Buyers must work with a licensed contractor and have a credit score of 620 or higher. While it's possible to use a Fannie Mae HomeStyle® renovation loan to make upgrades to a rental property, it's not as easy as it once was, and Fannie Mae carefully controls the number of investors it approves.
(Bloomberg) -- Fannie Mae could be among green and social debt issuers worldwide that Canadian lenders could look to as the North American country seeks to bridge a funding gap of as much as C$120 billion ($95 billion) for affordable housing as well as reducing greenhouse gas emissions, the federal government’s housing agency said.The sustainable mortgage bonds, whose underlying collateral include a range of eligible housing loans, could be issued as government guaranteed or private-label residential mortgage-backed securities as well as covered bonds, the Canada Mortgage and Housing Corp. said in a report Thursday.Fannie Mae’s multifamily green bond framework and Nederlandse Waterschapsbank NV’s SDG housing bond structure are among ESG programs that could offer “plausible lessons” for issuers in Canada considering sustainable mortgage funding programs, said the agency.The Canadian instruments could be used to support affordable and accessible housing for vulnerable groups including seniors, refugees, victims of domestic violence or people with disabilities. Also they may be used to finance the development or retrofitting of buildings to reduce the residential sector’s environmental footprint.“While this type of ESG bond might not be the sole solution to address the affordable housing gap, we expect them to become a catalyst for the housing sector,” said Carlos Mandujano, a project manager at CMHC. “SMBs would also play a relevant role in achieving energy efficiencies.”The national housing agency is detailing the potential for SMBs at a time when institutions from the central bank to research departments of the country’s largest banks are raising concerns about a potential bubble in the housing market fueled by historically low interest rates as well as foreign investment. The residential sector accounts for almost 19% of emissions in Canada amid a goal of reaching net-zero discharges by 2050.“The stage is set for SMBs to move into the spotlight in the housing market as they continue to grow and become more mainstream, and as the impacts of Covid-19 continue to materialize,” Mandujano said in the report. “It is thus imperative for issuers, investors, housing proponents and developers to have clarity on what SMBs are and why they could be so relevant for Canada and its housing market.”If Canada sets its own ESG framework, the SMBs can help leverage its program of government guaranteed mortgage-backed securities, the report said.Separately, CMHC said in November that it was working on a new framework for government-guaranteed mortgage-backed securities that would include affordability-linked mortgages, as well as those associated with energy efficiency and low-carbon residential properties.(Updates headline and lead and adds second to last paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
One of the most vexing challenges for the U.S. government since the 2008-09 Great Recession has been to rebuild the mortgage finance system. During the crisis, Fannie Mae and Freddie Mac were rescued by the government, which took a 79% stake in the companies. Since then, almost all of the mortgages originated in the U.S. have been backed by the U.S. taxpayer.